The Procurement Model Optimization Of Product Components In New Operating Strategy Of D Company

With the penetration and update speed of PC gradually improving and accelerating, the industry characteristics also gradually become to the consumer electronics. The traditional operations mode, in the past, make to order, has been unable to adapt to the current consumption characteristics. Some of the PC companies’ performance began to decline. In this background, the original PC brands had begun to transition, turn to make to plant or make to inventory. They hope using retail channel, they had given up, redeeming the current declining tendency. Due to the changes in the original operations mode, and the existing procurement process had been changed in the same time. The low accuracy of production prediction, and huge volatility, in the process change, bring some huge challenges to this industry.Using operations mode of D company as an example, in Personal electronic FMCG industry, we introduce the adopted operations mode – smart selection in present stage to find because of some purchasing cycle of component the is too long, and there is big volatility between production and sales forecast in the placing order, leading to the mismatching of final production between supply and demand, and financial losses. Finally, we put forward some solution for those problems, through the problem decomposition and analysis. In this thesis, firstly, we use the news vender model to analyze NPI(New Product Introduction) of completely new products to reduce procurement cost; secondly, using the method of time series analysis to optimize the attach rate of component; eventually, make the purchasing quantity more close to the actual production, reaching the new balance between procurement and production.