Summary
Blozis Company is facing some challenges in procurement process due to the uncertainty and misalignment in supply process and unclear roles and responsibility of supply staff. In order to come over the challenges, Blozis will need to undertake a sequence of activities to improve the procurement process of ordering and receiving goods and services. New staff will be recruited to share the work load with the expediter so he can be more focus on his roles and duties. New computer based information system will be taking into consideration for improving procumbent efficiency, but only after process improvement has achieved to the desired level.
Issue(s) Identification
Undefined roles and responsibilities
Roles and responsibilities…show more content… • Need Recognition-Supply manager should take the lead to ensure that procurement is working actively with goods and services users in order to prevent from having miscommunication and rush orders.
• Need Description-create a new role in procurement to allow time and effort to be dedicated to prepare technical specification.
• Sourcing and Supplier Selection- Provide guidelines and alignment of expectation with all suppliers regarding to ordering and receiving process.
• Ordering- clarify roles and responsibility within the company in terms of initiating the ordering process.
• Monitoring- clarify roles and responsibilities of an expeditor
• Receipt and inspection-develop a process to confirm the receipt of goods and service and perform inspection to ensure the accuracy in quantity and quality.
• Payment- clarify the process of clearing the invoice for the good or service and issuing payment to prevent any delayed payment to suppliers.
• Documentation-provide guidelines and expectation in completing of all the paperwork and ensure traceability of goods and service received.
Option2: Set up computer based information system
Blozis Company could invest in setting up an information System that will allow sharing of information across the organization and also allow the supplier enter invoices electronically when orders have been completed. Taking this option will lead to a significant cost of investment in software and hardware, however, the
