Material Supply Management Improvement Study Of The SDM Company

With the development of society and economy, increasingly fierce competition raises high demand for business management. The management of material supply has become the third profits source after manufacturing and sales for manufacturing companies, playing indispensable role in the business management today. In Chinese power companies’ supply management work, progress delay, poor quality and high cost, the three kinds of problems which seriously affect the products and service quality, restricting the development of enterprises have become a urgent issue to tackle right now.This paper takes SDM company’s material supply management as research subject, according to the method of’finding the problem, analyzing it, and solving it. Beginning with literature research, this paper discusses the theory of material supply and the supplying situation of power companies, followed by a detailed analysis of the current situations of SDM company’s purchasing management, inventory management and quality supervision and management, and found three issues, low time arrival rate, low inventory carry rate and poor ability of information collecting. Based on the qualitative analysis and quantitative analysis as well as system analysis method I analyzed the causes and present the improving method against the existing problem with objective management and process management.The research shows that the abilities of quality information and project progress information collecting is critical for the material supply management, affecting the time arrival rate and the inventory carry rate. Division of responsibilities, standardizing work processes and using complete flow quality supervision are the effective paths to improving the ability of information collecting, these can be achieved through process improvements. In addition, the external environment, internal contract management and the effectiveness of program management are also the main influence on time arrival rate and inventory carry rate, through the management by objectives, we can improve and enhance the effectiveness of internal management, then achieve the target of improving the time arrival rate and inventory carry rate in the final.