Supply Chain Management Essay Example | Topics and Well Written Essays - 1000 words

Supply Chain Management - Essay ExampleConsumers everlastingly desired to get newer stocks and also other modified and sophisticated inventories which they considered would help oneself meet the value of their expenses. still the consumers also are found to gear up for getting the repeat stocks owing to the quality advantage obtained from such(prenominal). provided the present practice followed by the order in regards to stocking of the inventory make outd a problem for the consumers for they failed to get the office stock ordered for and also failed to regain the reorders made. The huge pile of unwanted and unsold inventories added to the problem for which the honorable and strong stock failed to be procured rightly and stocked for being weared to the consumers. This problem of overstocking also led the companionship encounter huge losses and also blocked a large part of the working nifty. This capital thus blocked could have been used by the company in other productive purposes. frankincense the company not only suffers from lack of proper revenues emanating from the sales of inventories but also large number of complaints lodged in by the different customers for not getting the proper stocks required for. This fact in duty tour is found to hamper the goodwill of the firm and led the company counter a failure in the competitive business market. Moreover the presence of large number of unused and unsold stocks in the storage warehouse makes matters worse for specifically identifying those stocks which lead to the menace. Thus having large stocks spread around 30,000 stock keeping units create large number of problems for the warehouse manager to rightly identify and reduce the number of such homophile(a) stocks. Hence the management of Champion Electric thinks it feasible enough to reduce the inventory level so as to help in the effective management of the right and productive stock for the business come to to sale and gain considerable profi t. Thus the management of the concern was found to be touch in management of the stock levels of the firm in a smart manner so as to help enhance the productivity climate of the organization. Hence this effective management of the stock level would help the company in firstly assessing the productive stock level and secondly in meeting the needs of the consumers in an effective manner. It would thereby save the concern in times of emergency when it required procuring products from external markets with superfluous amounts so as to meet customer requirements (Case, 232). A.2. President Campos of Champion Electric also was found concerned regarding the piling up of the stock levels in the warehouse leading to locking of considerable amount of fiscal investments rendered for such purpose. These unused levels of stocks in the concern not only made the management feel sleepless but also led to rise in the event of consumer dissatisfaction. Thus the president desired the effective mana gement of such stock levels which would help the concern to enhance the level of service it required to deliver to the consumers by catering to their demands effectively (Case, 232). Thus Barb Patterson in order to abide by the order of the president was required to fulfill certain salient steps. Firstly Barb is required to identify such stocks which have been piled up in the warehouse for six months through the use of stock codes or labels in the computer. Secondly Barb is require