This chapter details the information regarding sourcing process. The detailed information about sourcing process, different types of souring methods and the factors affecting sourcing also discussed. Along with this information, the vendor management and evaluation methods also described for the better understanding of sourcing process.
Key word: Sourcing, Process, Types, Vendor management, Vendor evaluation
Sourcing is defined as the process of determining how and from where manufactured goods or components or raw materials will be procured. The main motivation of the sourcing process is to obtain high satisfaction with the low cost. Materials essentially incorporate piece products that will be cut and converted into the garments. …show more content…
- The form uses this method must invest lots of money on inventory
- This system motivates to achieve maximum production capacity in terms of labor and machine in any firm.
- The important factor which decides the effectiveness of the system is the accuracy of the forecasting process and their result.
b) Make to order
Make to order is one of the strategies generally a process of demand management. In this strategy product is specifically manufactured for a sale order or customer order. There is no forecasting involved. Sale order or customer order will be the trigger point for production. The fundamental aim of this strategy is not to maintain any inventory in the firm. The fatory should have zero inventories at the beginning and end of any order. This Make or order strategy reduces the risk of creating unwanted inventory. This strategy is useful or applied in the following situations in the industries. 1. Product is very slow moving product in the market.
2. You cannot anticipate the future forecast of the product
3. Product is newly launched in the market
4. Product is very costly product and you cannot keep the inventory or stock in the …show more content…
to get right fabric/trims at right place on correct time and with right cost. During this order execution process, merchandiser handles whole order form the initial stage and thus he is a key individual in sourcing process compared to the sourcing department. Since, the merchandiser know all about the particular order, merchandiser is the decision making authority in sourcing process, whenever a critical situation is faced. The responsibilities of merchandiser in sourcing can be depicted as follows,
• In small scale industry merchandiser bares the maximum responsibility of sourcing process throughout the order processing.
• In large scale industry sourcing team coordinates merchandiser to source the fabric and trims in all aspects.
• Merchandiser’s major responsibility is to calculate the requirement of fabric and trim per garment and coordinate it with sourcing department.
• To get the approvals related to fabric i.e. lab-dips, desk-loom, print-strike-off, dye-lot, thread run, needs to get from buyer within time frame.
• The art work, trim card need to get approved from buyer which is responsibility of merchandiser.
• To maintain the proper buffer time for every stages of sourcing process in Time and action calendar is the responsibility of merchandiser.
Even though the merchandiser along with the sourcing
Business Name: Dymocks Booksellers Dymocks is the leading bookseller in Australia and is recognised for quality advice, value for money, professionalism and customer service. Dymocks has been franchising for over 30 years and would like to secure the vacant store in the shopping centre. Dymocks’ mission statement is “As a family owned business and the oldest Australian owned bookstore, Dymocks prides itself on meeting the leisure, learning and gift needs of all booklovers by offering superior customer service and an enhanced book buying experience.” Legal Structure Legal structure of a business determines who shares in the profit and losses, how tax is paid and where legal liability rests. The legal structure of Dymocks will be a sole trader.
Marketing Management Project PROJECT OUTLINE: Choose one company which has a turnaround in the past and one company which failed in the past. Discuss each company’s marketing strategy and reasons for their success or failure. Marketing Strategy Failure: Gap Inc. How Gap turned into Crap! What went wrong?
A huge sum has been invested, so now it is really crucial for the product to succeed. Moreover the current product mix is not sufficient to bring long term profits for the company. As far as short term goals are considered, management wanted a successful launch for the product which will provide the right marketing and target of the new product line. While the long term goals involved adding variety and diversity to the product line to achieve a long term sustainable growth rather than just achieving short term
Before the product enters the market, there are no sales, as the product is being prepared for the market. There is market research that is being conducted. Introduction stage begins with the launching of the product followed by growth where there is an increase in the market share. When the product reaches maturity stage, the sales are at their peak. At the decline stage, the sales are declining.
Fine Tuning the forecast The method used to forecast the expected sales lacks the input of external data like market condition (recession, boom etc), competitors, changing preferences, change in fashion, demographics etc. Only the internally available data has been used to estimate the demand for next period. The adjustments in the demand forecast can be made according to the following to reduce the chances of stock outs or over stocking: Market Condition:
On the other hand the fact that Zara produces the remaining 40% internally, is a strong asset, providing better control, and short lead-times. Finally the fact that Zara owns 450 workshops were garments are to be sewed is a major asset ensuring quality. Another important asset in terms of production, is the technologies involved, for instance the cutting machines, to minimize waste (Ferdows & co. 2014 p9), used in combination with the last-final hand-made sewing. The ease of the connection between the production center and the distribution center is also an important time-saver element, and therefore
The manufacturing department is the most important one because it is the last stage before delivery. Due dates should be respected, production should not lag for any reason and therefore this department should be controlled and supervised well. Moreover, a unified clothing is not necessary in this organization, because let’s face it, we expect people who work in plastics for toy industries to be fun and happy and lively, and wearing formal clothing will do nothing but kill the child spirit of a
EXECUTIVE SUMMARY M. PROCESS --> situational analysis - product life cycle Product life cycle involves four main stages which a product has to pass through such an introduction, growth maturity and decline. Numerous business innovate or invent inspired by someone’s great idea to produce a product which would be fresh in market, different compared to others and which also is innovative and perhaps superior to the one which available. Similarly with the most successful company Microsoft corporation’s product Microsoft office which as already touched to maturity stage according to its features: • Product features and packaging try to differentiate the product from those of competitors: Microsoft office is a brand that has extensively diversified
The Harvard Model of HRM: Back in 1984, Beer et al developed the Harvard model of the HRM. Beer et al believe that the human resource is passes many of pressures nowadays, therefore, eliminating the pressures is required. These pressures could be eliminating by having a long-term perspective in terms of controlling people and potential assets rather than just variable costs. As a result, Beer et al approach the Harvard Model of the HRM. The purpose of this model is to solve the pressures that may occur in the HR of any organizations; these pressures include all management decisions that will affect the relationship between the organizations and their workers, in addition to a clear plan for the HRM policies and procedures by the manager of
Coordinate with customer relationship management to identify customer articulated needs 2. Select materials and suppliers in conjunction with procurement 3. Develop production technology in manufacturing flow to manufacture and integrate in to the best supply chain flow for the product/market combination G. Manufacturing Flow Management The manufacturing process produces and supplies products to the distribution channels based on past forecasts. The production process has to be flexible to respond to market changes and Mass Customization must absorb.