Study On Supplier Management Improvement Of AVIC Changsha Zhongchuan Transmission Machinery Co., Ltd.

Suppliers are the upstream of the whole supply chain, which play a very important role in it. So supplier management has a very important influence on the management of supply chain. An excellent supplier management can help the companies gain advantages in the market competition with the benefit of reducing the procurement cost, improving the product quality, decreasing the stock level, shortening the lead time and accelerating the new product development. Especially the development of informationization accelerates the development of lean management and each company is searching its own lean management system and methods. It is becoming a key approach to improve the level of supplier management by apply the lean thinking into procurement and supplier management. AVIC Changsha Zhongchuan Transmission Machinery Co., Ltd.(shortened as AVIC ZT) is taken as the study object of this article. On the basis of analyzing the current status of AVIC ZT’s supplier management, this article probes into the optimized scheme of supplier management for it with the intention to improve the supplier management level and support the medium and long development strategy of the company.On the basis of researching on abundance of literatures and documents, applying the theory of lean and supplier management and combining with the actual status of AVIC ZT’s supplier management, this article separately probes into AVIC ZT’s supplier management problems on base management, new supplier seeking, supplier selection and evaluation, supplying management of supplier and supplier risk management. Combing with related theories, it brings forward the improvement methods to promote the supplier base management by pushing informationization built and matrix management; improving the process of supplier seeking and strengthening the link of it with the way of optimizing the frame and function of supplier seeking work team; optimizing the supplier selection and evaluation with the method of improving the data of supplier selection and evaluation, classifying the supplier, setting up strategy cooperation relationship with important suppliers, dynamically maintaining the strategy cooperation relationship and building up relationship management strategy according to supplier classification; gradually realizing the Just In Time procurement management and upgrading the supplying level of supplies; optimizing the supplier risk management by setting up risk control system of supply chain. This article also makes a brief analysis on the result of implementation of above improvement methods.The improvement methods are modified and optimized during the implementation process, which lead to the supplier management level of AVIC ZT is upgrade dramatically with the guidance of lean thinking. The improvement of supplier management level shall bring a generous benefit and is taken as a new benefit treasure of companies. Who digs it, who holds the competition initiative. The practice of AVIC ZT’s supplier management improvement certifies that a good supplier management can be an effective support to the company’s business, which has a useful reference for the other similar companies.