SUPPLY CHAIN MANAGEMENT

Supply chain management

Supply chain management

Introduction

Purchasing is critical to the effective management of material logistics (Ford, 2002). Positioned at the interface between the customer and the supplier, responsibility often falls on this function for managing the relationship between the customers and suppliers in the supply chain. The role of purchasing is a gateway to suppliers so that other business functions can communicate with counterpart within the supplier organizations (Leenders et al., 1994)

Product quality is rapidly becoming an important competitive issue (Garvin, 1984). According to Garvin (1984), there are eight basic elements of product quality. They are performance, features, reliability, conformance, durability, serviceability, aesthetics and perceived quality. What is quality? Quality is defined as "conformance to requirements" (Crosby, 1979). To maintain a high quality standard of goods, supplier quality is of paramount importance.

Main body

provide good quality products for the public; we want the public to realise we are a good company and just because our products are cheap, it doesn't mean that they are rubbish. We will achieve this by having our products made by people that know what they are doing and test them to check that they are good quality.

To sell goods at reasonable prices; We want the public to have a wide range of options to them, so we offer them good quality products at reasonable prices; This will be achieved by looking at other stores, selling similar products, and making our prices lower than other places.

We also would like to develop a relationship with another company. This would be good for the business, as it would help with advertising. This would increase the amount of money brought in, especially if it was a very well known company that we are working with. For example, if we have a relationship with Tesco then people would recognise their business, and hopefully visit our store/website too.

We also would like to get several other stores, abroad. This too would increase our income. If we get more money we also can hopefully provide more services for the public, other than just sales. We also could start to provide a savings account or insurance etc. that would help us to make more money.

Selling goods to the public is another of our main business activities. This would be good for our business, as we will be making money. If we make a profit, we should be able to introduce new lines of products and stock.

The main business activities will help the key business goals to be achieved by having offers on. This will help us to make as much money as possible. We will make more money if products are relatively cheap because we will bring in more customers. Also as we will have more customers, we then can be friendly towards them and show them how well we treat them. This hopefully would lead them to tell their friends about our store, bringing us more business, as more people will know about ...