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Create or use an existing company - Term Paper Example

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System research: Inventory management in ‘Volga Glasses’ Introduction As a supplier of beer and soft drink bottles to various companies ‘Volga Glasses’ depends fully on beer and other soft drink companies for developing its marketing strategies. During previous years, there had been a considerable uplift in demand of glass bottles which has increased the scope of Volga Glasses to enhance its supply chains…
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Create or use an existing company

Download file to see previous pages... There are some main factors that company has to deal with. As most of the soft-drink and beer bottles are liable for reuse and recycling, company gets some of its raw material from defected and used bottles that are supplied back by the beer companies. However, a number of bottles do not reverse and company has to involve glass as the raw material of new bottles. There had been a stagnant increase in the market since last three years which provides and estimation for supposed upcoming market demands. In light of those factors company has to keep a safe number of bottles that can be supplied urgently when required by buyers. On the other hand, a large number of bottles made in advance can create a burden over company’s investing strength. That would also create a lack of fluency in company’s cycle of work. Thus, company has to involve a concrete Inventory management that keeps the overall demand and supply chain in a safe and trustworthy position to provide continuous profit to Volga Glasses. The supply chain and IT Factors Obviously, the purpose of Volga Glasses’ is to enhance and manage its supply chain to perform with a perfect smoothness that does not shake even in the conditions of an urgent tide in market situations. Company uses elegant IT techniques to manage that smoothness. Chiefly the bills are collected as electronic data providing an exact record of supply over a particular period. While mostly a supply chain is maintained over longer period like a year or six months, Volga Glasses is bound to use three month estimation because of the nature of its assets and frequently wavering requirements. Three years ago company has ordered a software organization to design software for their inventory management. The software had produced good results while it had been quite dependent of human inputs and mandatory analysis by the supervisors of Volga Glasses. This software ‘Smart-Task’ bases its strategy in collecting the supply data and comparing the overall cost of raw materials added with the labor and mechanical expenses. Over the time it also manifests the comparative graphs of market tides during various supply chain periods. Company manages to base its strategies in short term chains such as three months as well as yearly managements of supply chains. During last years it had come out that Smart-Task has been accurate and efficient in processing the data to manifest a scenario of the market. However, during the recent immediate ups and downs of market the estimations of Smart-task have failed when external situations like a temporary recession had stricken the market of soft drinks. Therefore an analysis of Company’s requirement and reliability of IT over numerous patterns of system of research is mandatory. Synchronization of IT and HR Out of the data processing methodology of Smart-Task, it has come out that it depends solely on human inputs which provide a base for calculations and estimations. Company’s HR department is responsible for providing the supposed information for future uplifts and lowering of market because Smart-Task puts the data in various graphs that ease the methods of comparisons provide a manifestation of supply chain. The requirement of advance inventory is calculated on a ...Download file to see next pagesRead More
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