Demand forecasting Indian market demand for paint is mainly governed by festivals that is the demand is seasonal based. Asian Paints takes advantage of this point and captures the same in its forecasting model. Past data analysis helps Asian Paints in their forecasting for demand. Accordingly, a relevant manufacturing and distribution plan is designed to meet the demand of the market place. A poor forecast not only leads to lost opportunity in the market place but also imbalanced inventory in the supply chain. Quality policies Asian Panits was the first Indian Paint Manufacturer to be recommended for ISO: TS 16949 was Asian Paints. The first time it was certified with ISO: TS 16949:1999 was in the year 2001 that was later updated to the latest …show more content…
• It shall improve processes to meet changing customer needs and preferences and use them as inputs for improving performance standards of products and services. • It shall strive to achieve Zero Defect as a quality absolute, and operate its quality system accordingly. • It shall schedule work practices in a way to do a job right the first time, every time. • It will be committed for continual improvement in quality of all business processes and track improvements through measurable indicators. Supply chain Asian paints uses state-of-the-art supply chain using latest technologies in its plants and has successfully integrated the same across all branches. The supply chain has complete integration across all departments starting from procurement to production and delivery systems. This has significantly helped in bringing about flexibility in operations, reducing delivery costs and higher standards of customer service and profitability. IT system has also been developed to latest technology standards to help the company in demand forecasting, deriving optimal consumption pattern, warehousing and SKU combinations, reduction in procurement costs, developing long term vendor …show more content…
JDA has helped Asian Paints to reduce finished goods inventory from 56 days to 30 days. It has also helped to achieve 87-90 % service levels for SKU sales at location level and has dramatically improved debt-to-service ratio. Asian Paints incorporated solutions from JDA’s advanced planning solutions to ensure proper sales forecasting, master production planning, raw material planning, distribution planning and shop floor scheduling. The dynamic master planning system enables Asian Paints to optimize the kinds and size of inventory it holds, and to deal more effectively and efficiently with variations in the volatile paints markets. A better materials planning system allows the company to develop newer complex paint formulas, and to select the best vendor and manufacturing method for any given situation. The different business solutions that Asian Paints has adopted are JDA order promiser, JDA demand, JDA factory planner, JDA supply chain planner and JDA enterprise
In today’s operational management arena, there are certain expectations from a managerial aspect that must be met in order to be successful. A comprehensive look at the Space Age Furniture Company will show exactly what the Materials Requirement Planning (MRP) calculations are for this company at present time and then take the information given in order to properly suggest ways to improve the sub-assemblies. In addition, there will be an analysis on the trade-offs between the overtime and inventory costs. A calculation will be made on the new MRP that will improve the base MRP. This paper will also compare and contrast the types of production processing to include the job shop, batch, repetitive, or continuous, and determine which the primary mode of operation should be and exactly why. A detailed description on how management can keep track of the job status and location during production will also be addressed. Finally, there will be a recommendation on they type of changes that need to occur that will be beneficial to the company and at the same time add value to the customer. This paper will conclude with summary of the major points.
Supply chain management is connected with the flow of products and information between supply chain members and organizations. New development in technologies enables organization to get correct information easily in their premises. Technologies used are helpful in coordinating the activities which manage the supply chain. By this the cost of information is decreased because now we have increasing rate of technologies. In an integrated supply chain where product or raw material and information flow in a bi-directional we as managers needs to understand that information technology is more than just computers.
In addition, on day 105, the reorder quantity was 13,200. This approach was effective as it increased the number of inventory kits available for production. In total, the company used $2,059,000 to increase its inventory levels. The increased inventory levels and the readjustments of reorder points enabled the factory to increase the number of jobs accepted each day as well as to reduce the number of jobs waiting for kits. In addition, there was a high number of kits queued at station one from day 80 which was accompanied by increased utilization of station one. Besides, we were able to reduce the lead time for all the orders and this enabled the company to increase its revenues.
Management intends to focus on further improvement and will continue to build on these competencies through marketing efforts that increase the number of units sold and by constantly adapting to market changes and needs.
Our commitment to steady, long-term improvement in our products and processes is the cornerstone of our business strategy. To achieve this objective, we must work to continuously improve the overall quality of our design, manufacturing, administrative, and support organizations.
KEDA was founded in 1992, mainly into manufacturing of Ceramics Machinery. The other major offerings by Keda involved stone processing, building materials processing and energy resource management. They had more than 2000 employees and a broad product offering by 2010. In this industry, managing infrastructure for inventory was of extreme importance because of the various, customizable offerings across multiple plants. It had become a world leader in building materials machinery by early 2000s. All the units including sales & marketing, logistics, production & inventory was acting separately. Thus for a sustainable business, it was highly important to move from decentralization to a centralized system. For this purpose
After a lot of research a three step supply chain transformation was decided. According to the plan, the company decided to reorganize its supply chain organization, simplify the structure and define functional roles. Cost to serve its stores along with day to day supply chain reduction was planed. Finally foundation for improved supply chain capability for the future was
Target Corporation needs to increase product availability based on the customer needs using a forecasting and supply chain
The furniture company Somerset needs to retain its customer service record and remedy any of its global supply chain issues before it has an adverse effect on the brand and start losing customers. With a frequent change in the product catalog, keeping an excessive inventory will cut its profit and some of the product may become obsolete even before the furniture hits the retail outlet stores. In order to achieve profit and success, business employee many strategies and the supply chain strategy are one of the operational management techniques that use analytical decision making process to achieve the company goals and provide tools to effectively compete in the market (Taylor and Russell, 2014).
We will focus not merely on identifying and mitigating risk in all of our activities, but on assure quality through communication, training, and development, everyone will have the competence to perform their tasks efficiently.
The performance measurement should be built around quality and quantity. I recommend to record production statistics such as number of products and number of defects for each individual or team. The performance of each team should be evaluated by the management. The team which produces the highest quality and quantity will be awarded to encourage a quality focused culture. The team who demonstrates the most significant improvement based on the metrics will also be recognized.
Supply chain management has been defined as that process that involves the management of information, materials, and all the finances that are handled within and across the entire supply chain process (Christopher, 2016). The management is usually done through out the entire supply chain management from that moment when the suppliers are involved through all the manufacturing activities, different distribution activities, and the way that the products are served to the final product consumer (Turban, et al., 2002). The process also includes all the activities that different organizations offers to their customers as after sale services for purposes perfecting their services and products towards their highly valued customers (Christopher,
In order to ensure quality, a continual quality process will be used throughout the project life cycle. This iterative process includes measuring process metrics, analyzing process data, and continuously improving the process.
Inventory management is a method through which a business handles tangible resources and materials to ensure availability of resources for use. It is a collection of interdisciplinary processes including a full circle of the demand forecasting, supply chain management, inventory control and reverse logistics. Inventory management is the optimization of inventories of manufactured goods, work in progress, and raw materials. According to Doucette (2001) inventory management can be challenging at times; however, the need for effective inventory management is largely seen more as a necessity than a mere trend when customer satisfaction and service have become a prime reason for a business to stand apart from its competition. For example, Wal-Mart’s inventory management is one of the biggest contributors to the success of the company; effective and efficient inventory management is of critical importance.
...st manufacturing company, actual time of occurrence and vigorous and purposeful customer demand analysis is required by most, if not all manufacturing companies to efficiently and automatically act in response of customers demand.