Normally, this department employs vendor management system in order to maximize its value to the firm by dealing and controlling with suppliers. Just-in-time management system is also utilized in-order to manage inventory and minimize costs.
The transformation process is the process of converting input materials into finish products and services needed by the customers. It has several subsystems that work hand-in-hand, with overlapping functions and continuous roles. These subsystems are planning, sourcing, manufacturing and logistics.
The transformation process involves different systems in manufacturing. The component systems include sourcing, planning, manufacturing and logistics. The planning and development of products is an essential element for transformation. The inputs for planning include customer requirements and technical information. The information is converted through production planning and schedules using a material resource planning system. The outputs of the department are efficient use of resources, finished product and safer work environment.
The manufacturing process is the core process of transformation. The inputs of manufacturing include the raw materials, people, equipments and energy. These inputs are utilized in producing goods, operating the plant and processing materials. ...