The Importance Of Supply Chain Management

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The company has established, documented, implemented and maintained a quality management system with defined Quality policy and objectives to continually improve its effectiveness in accordance with local regulatory GMP guidelines. Quality Manual describes the system of procedures available to ensure that quality policy and its objectives are achieved. The responsibilities are shared by Quality Assurance and Quality Control department. A written procedure exists in the form of SOP which outlines the activities of Q.A and QC departments. The processes needed for quality management system and their applications throughout the organization are identified. The sequences and interaction of these processes are determined and documented in respective…show more content…
In other words, the Supply Chain Management Program incorporates topics from manufacturing operations, purchasing, transportation, and physical distribution into a unified program. Successful supply chain management, then, coordinates and integrates all of these activities into a seamless process. It embraces and links all of the partners in the chain. In addition to the departments within the organization, these partners include vendors, carriers, third party companies, and information systems providers. We can say it takes into consideration every facility that has an impact on cost and plays a vital role in making the product conform to customer requirements from supplier and manufacturing facilities through warehouse and distribution centers to retailers and…show more content…
PLANNING & FORECASTING Planning and forecasting is the most important job of the supply chain. It is done in AGP in a systematic way through SAP Application Software. Annual Planning and forecasting is done from the start of November for every next year in collaboration with Sales, Marketing, Engineering, Production, Admin, HR and finance. The approved annual plan is then further divided on monthly basis and distributed to each department in the last week of every month. SAP has built-in application for effective and efficient planning. It has BOM (Bill of Material), Lead Time, Inventory, Time Fencing, Space & Capacity requirement for each type of production. So it helps a lot in planning for the production or material procurement. Time Fence Control Policy: Time fence control is a policy or guideline establishes to note where various restrictions or changes in operating procedures take place. For example, you can easily change the master production schedule for an item beyond its cumulative lead time, with little effect on related material and capacity plans. However, changes inside the cumulative lead time causes increasing difficulty, to a point where you should resist such changes because of their effect on other operations. You can use time fences to define these points of policy
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