Supply Chain Management Case Study

969 Words4 Pages
Overview Many small hospitals in Africa are facing severe problems of shortages of supplies. This is an internal-control system designed to help the Sisters of Charity of St Capitanio and Gerosa and their small hospital in Chriundu to improve the efficiency of planning and security to alleviate the shortages of supplies. The goals of our internal-control system are: establishing collaborative relationship with suppliers; improving inventory control and enhancing employee control. Once the hospital received the funds, we need to record the sum of funding and make sure it matches with the sum of donation. As the hospital is facing a problem of counterfeit drugs, it can select suppliers with high prestige and seize purchase drugs from untrustworthy…show more content…
It is believed that the stronger the link within the supply chain, the better and easier the process. It is vital to establish collaborative relationship with suppliers in order to ensure the quality and timeliness of Menderes Mission Hospital’s medical supplies. We are designing a supplier selection system that includes five main criteria: delivery, quality, cost, organizational change and relationship (Langfield-Smith, Thorne, Smith, & Hilton, 2015). The system will be addressing delivery and quality criteria as the hospital’s main issues are drug shortage and poor-quality drugs. The two criteria help filter through suppliers with lowest counterfeit risk and highest delivery performance. The hospital will undertake a formal process to select suppliers and the performance of suppliers selected will be examined on an ongoing basis. The supplier selection and its incidental performance monitoring systems provide opportunities in negotiating favorable prices and conditions while maintaining high…show more content…
Then the hospital needs to assign two people to deal with the selection process. Firstly, each potential supplier’s delivery performance will be examined by obtaining its historical percentage of orders delivered on time and average lead-time for deliveries. Secondly, quality will be investigated by looking at suppliers’ achievement of quality certification and reputation among the industry. All the suppliers should be required to possess quality certification, for example ISO 9000. Other information will also be considered. For instance, how many percentage reductions in price of supplies are offered by
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