INTERNAL CHAIN CONTROL.
This refers to the chain
of activities within a company that concludes with providing a better product,
goods and services to the customer. This process involves multiple functions
within companies such as sales, production and distribution. It is obvious that
a company’s performance would be enhanced by the integration of these
functions. It is important to recognize that the internal supply chain has a
massive impact on the final product and its ultimate delivery to the consumer.
Understandably, a company would not be able to
produce a product without the raw material from its suppliers (externally),
however the internal goings on determine whether a final product is ready and
good enough to sell. In internal supply chain control, there are weakness which
makes companies control less effective such as fluctuating customer demand,
access to latest technology, safety and quality products, shorter lead time
less inventory and better throughput and machine breakdown.
The following are Solutions that would be used to encounter
weaknesses facing internal supply chain control so that the controls can be
more effective and in diverse situations.
Ensuring safety and
quality products;
There
has been a great pressure on most of the organizations to produce high quality
products that are safe and it has been an increasing challenge so, the
organization should start selecting the correct raw material as it is from this
raw materials were the best output is brought and this will ensure reliable
quality assurance and flawless production quality and this will help the
pressure on the manufacturers to produce high quality products is met and also
deciding on the good production methods
and storing of the goods at the right places example if it is in a
warehouse they should be at an appropriate location to ensure their safety.
Demand planning;
This has been a great threat where most of companies fail to effectively deal
with change and optimize its contingency planning capabilities. For instance
through better demand planning an internal supply will meet possibilities of
implementing the demands of production, this includes ranting space to store an
overflow (inventory) or even having extra suppliers on hold if there is a lack
of raw materials. If demand is not met, it affects customer satisfaction, so it
is imperative for the internal supply chain as soon as possible. As decrease in
customer satisfaction will decrease demand, and therefore the company will get
a negative impact on its profit.
Adapting of new
technology;
Many companies fail to
copy with the invented technologies a factor that disintegrates the emerging of
the internal supply chain. Even though new technology can be a threat to the
internal supply chain it can also help to optimize operations, once imbedded
into the culture and operating of the company. Example the internal engineers
should be committed to find solutions to ensure the company are highly
functional, durable and safe with the latest technology so as the company can
get technical advice from when they start designing the new product.
Creation of good
supplier relationship management;
Most
of the organizations fail to create, understand, maintain and follow mutually
agreed standards and this makes them fail to understand the current performance
as well as the opportunities for improvement, the importance of supplier or
buyer relationship would help the organization and this is by building a strong working
relationship between the supplier and the organization, communication and
visibility are the key to maintain a healthy relationship between a buyer and
supplier.
Maintenance of cost control;
Most
of the organizations fail to meet the costs strategies such as labor rates, new
regulations, rising commodity prices, to comply with new technology and making
them under extreme pressure, for instance an organization supply chain
management have to maintain the lead time so that to reduce the transportation
costs, high price of raw materials and labor cost, through this an organization
will be able to meet the organization strategies respectively.
Employing of professional
and talented personnel;
It’s
becoming increasingly difficult to find qualified and interested talent where
by supply chain leaders needs an extensive understanding, competence and duties
needed for supply chain management roles. For example they need the ability to
allocate the resources efficiently, specific skills and methods for developing
future leaders. Thus each active organization should make sure has a well
warehouse talents, and good market strategies so that to arise with others
competitors.
CONCLUSION:-
An
active internal supply chain control to follow and reveal with the determined challenges
and solutions is inevitable hence though that the specific strategies and
objectives will be met as planned early. For example, a good internal supply
chain flow should meet right quality of the product, right time, right quantity
and right price to maintain Value for money (VFM).
