Operation Optimization Strategy For T Steel Processing Enterprise Based On Supply Chain Integration

With the increasingly depressed economy and reduced purchase orders from construction sites,iron and steel industry faces the most difficult situation,especially those companies that process semi-finished products in the industry facing problems such as shrinking production capability,declined or even negative profit etc.Regarding to the reasons,on the one hand,it is the imbalance between the excessive crude steel production and floundering market demands,leading to the sharp decrease in steel price which puts related companies in difficult situation.On the other hand,the extensive management mode of traditional iron and steel industry is no longer suitable for economic development at current stage as well as the needs of enterprise competition.Therefore,these companies in the industry need to be creative in management,seeking new ideas and methods.They should be creative in technology to increase their profitability,optimize processes during management to increase operation efficiency and integrate supply chain,all of which could avoid the unnecessary waste and reduce the production management cost.Finally the related companies could develop toward more professional direction,increasing the overall competitiveness and collaboration level.Based on the analysis of domestic steel processing industry and the production operation situation of related companies,taking T steel processing companies as an example,this thesis studies the supply chain in the industry and the daily operation of related companies,using the theoretical knowledge in supply chain and its integration to present the analysis on the constraints during operation of T steel processing companies.The optimization of procurement process and suppliers,the standardization of production flows,fusion of customers’ needs,management of logistics and inventory as well as after-sales service,all of which could contribute to the upgrading of links of the whole industry.With all these efforts,the industry together with the related companies could get optimization in terms of the collaboration as well as the information communication efficiency among companies,finally resulting in cost reduction and competitiveness improvement.Meantime,in the face of the rapid development of Internet technology,it is a must to establish completed information sharing platform to allow the information sharing among departments inside the companies and the whole process including purchasing,production and distribution,and to avoid any barriers in the communication among the upstream and downstream related industries.All of these will provide foundation for supply chain integration and save communication cost.