Research On Lean Improvement Of H Company’s Procurement Management

Lean management originated from the production method of Toyota Motor Corporation in Japan.From the initial success in production system management practice,it has gradually extended to various management businesses of the enterprise,and has also evolved from the original specific business management method to a strategic management concept.Through refined management,"maximize the benefits with the smallest investment",and maximize the benefits of the company and employees by improving customer satisfaction,reducing costs,improving quality,accelerating process speed and improving capital investment.For for-profit organizations,funding is the guarantee of sustainable development.Without funds,all economic activities of the organization will be restricted,which will seriously affect the further development of the organization.For production companies,a lot of money is needed for suppliers of raw materials.If the company does not select a suitable supplier,it will not only reduce the supplier cost for the company,but also affect the company’s capital turnover,reduce the company’s return on assets,and is not conducive to the long-term development of the company.Therefore,companies should make lean improvements to suppliers based on scientific methods.This article takes Company H as an example.Company H is a typical production-oriented SME.Small and medium-sized enterprises play a very important role in the national economy and are an important force in national economic construction.On the one hand,small and medium-sized enterprises are an important carrier for the country to implement the "mass entrepreneurship and innovation by all people" policy,which is of great significance in terms of increasing employment,promoting economic growth and technological innovation.On the other hand,under the environment of increasingly fierce market competition,SMEs are facing a series of problems.With the development of society,the seller’s market has been transformed into the buyer’s market.China’s manufacturing industry is in the transformation stage.In order to reduce costs,the original extensive management must be changed.The lean production management theory that was born out of Toyota’s production system has become a direction for many manufacturing choices.Small and medium-sized manufacturing suppliers face many management problems.Among them,the backwardness of supplier methods is one of the important factors of excessive production costs.Suppliers are the core of an enterprise’s costs.The quality of supplier management directly affects the operation management and customer satisfaction of the enterprise.This article analyzes the supplier management of H company,using the lean production related theories and the "5R" principle of the supplier as the research theory,focusing on the internal and external reasons of H company’s supplier management.Find out the shortcomings of company H in supply chain management,and analyze its influencing factors in the management process.Based on the principles of lean management,relevant feasibility measures are proposed to effectively reduce the cost of raw material suppliers of Company H,improve the quality of suppliers,and improve the company’s competitiveness.Through the thesis research,I hope that it has practical significance for supplier management in the supplier department of company H.