Strategic Supply Chain Managemnt Essay Example | Topics and Well Written Essays - 500 words

Strategic Supply Chain Managemnt - Essay Example Goose at the Garden has two systems for purchasing. The first is Internet procurement using auctions, reverse auctions and electronic marketplaces to link buyer needs with seller products. This business has attempted to cut costs of distribution because the local supply environment is too costly and not competitive enough. When future raw material needs are predicted or identified, such as office supplies or alcohol supplies, advance usage of Internet procurement sources has given Goose at the Garden measurable cost savings (Nash, 2009). This process is sometimes not reliable for short-term needs, therefore the second system relies on manual procurement through local market suppliers and vendors. Materials handling mostly involves safety for workers by having strict policies in place about issues of box opening with safety razors and other important safety steps. None of the materials ordered for the pub are really considered hazardous, so manual handling just involves staff members observing policy for safety. A check-list inventory is used during the handling process of incoming merchandise to ensure it meets with the electronic copy of the purchasing agreement or contract. Goose at the Garden installed a rather inexpensive, yet efficient electronic system to monitor and control their inventory levels to ensure more accurate ordering of supplies (Nash). When the inventory checklist has been completed, the data is entered into the software which automatically updates stock levels. Each time a transaction is made, the computer software deducts the amount of raw ingredients portioned electronically for each item to reduce inventory at optimal levels. When actual physical audit occurs weekly, it shows how much waste is occurring or where suppliers can be eliminated from the supply network. Unless bought locally, Goose at the Garden uses only ground, vehicle transportation for their supply