Colgate Palmolive Case Study

1402 Words6 Pages
The purpose of this research is critically analysing supplier managed inventory as a purchasing strategy in all aspects. Colgate-Palmolive is the case study of this research. Systematically the importance of outsourcing and procurement functions in supply chain analysed and then SMI process critically evaluated. Benefits and risk of SMI was researched and key elements for successful implementation explained. The importance of IT infrastructure and strategic relationship analysed in detail. Colgate-Palmolive procurement department was the focus of empirical study of this research. The data was collected by conducting interviews with procurement professionals. The information of theoretical study and empirical study applied together in order to achieve consistent results. The differences between Colgate-Palmolive practice and theoretical study lead researcher to recommend develop new strategic relationship techniques and new implementation areas and contingency plans. In these recommendations possible challenges and solutions was mentioned. This research also provides the understanding of supply chain echelons and way of working in fast moving consumer goods sector. General terminology in SMI process, all operational activities and implementation stages of SMI from supplier selection, master data creation to contract management and invoicing were explained in detail to be a reference guide for all companies that plan to implement supplier managed inventory sourcing method

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