Why do some apartment purchases increased in 2010
The evolution of the purchasing department to one of managing the supply chain involves a strategic shift in the vision of this department. The purchasing department used to be closed looking at specific internal information only: requisitions, warehouse inventory applications and input materials. The change has been that now the department has to have an understanding of the movements and objectives of each of the participants in the supply chain from the original producer of raw materials to reach the final user.
It is impossible for someone in charge of supply can anticipate many of the situations you do not know the behavior, inertia and magnitudes of each of the participants in the supply chain.
The basis for improved decision-making is in the quality of information we receive from the farm to our internal and external customers. Generally, the information starts by generating a projected sales, projected sales this becomes a production scheduling, production scheduling becomes an explosion of materials, the explosion becomes material purchase requisitions, and requisitions Purchase pass to our supplier where surely the cycle repeats.
The problem is that each participant in the chain leads to an error in their projections and estimates:
1) Sales: Poor sales estimates due to many factors such as competitive activity, changes in customers, cyclicality, seasonality, problems in the department, climate change, etc.
2) Production: Low estimate may come from estimated losses of product, changes in formulation, raw material substitution, process changes, changes in raw materials, etc.
3) Winery: The winery can produce bad information because misled inventories, shortages in measuring, wrong product stock, misallocated codes, etc.
Assume that everyone in the chain with an estimated 10% error in their projections. The calculation of the performance of the projections is 90% x 90% x 90% = 72.9%. Now you imagine working with our supplier so poor projections. The final solution is usually to increase inventory levels, which raises costs across the chain.
The two-way information sharing with our “business partners” and the truth of it is extremely critical in managing the supply chain. Because of this, we must seek continuous improvement in our ability to design and create early warning systems that tell us when the baseline conditions of our calculations and projections have changed.








