Win Metal Company: Single Supplier Solutions for Lack of Sulfuric Acid

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  • Topic: Sulfur, Hydrogen sulfide, Management
  • Pages : 3 (618 words )
  • Download(s) : 137
  • Published : May 29, 2011
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1. If you were the president of the Win Metal Company, what decision would you make regarding this controversy? Explain why. 1. Single supplier
Solutions for lack of sulphuric acid:
-‘’Sulphric acid is a material used in the production of viscose fibres, so in addition to the environmental effect, the recovery of sulphric acid will entail considerable savings. WSA plants can eliminate hydrogen sulphide and carbon disulphide contained in the off-gases by converting these sulphur compounds into sulphuric acid.

2. Human resources mgt- Immediately passing legislation that will bring a speedy end to the current CN rail labour disruptions. The continued strike actions by members of Mai and lockouts are damaging the economy and creating unacceptable risks

3. Human resources mgt - Sulphur is a co-product of natural gas, and the only way to stop sulphur production is to stop producing natural gas.

4. Supplier mgt

2. With respect to sulphuric acid or any other item of major importance, what are the advantages and the disadvantages of concentrating purchases with a single supplier?

ADV -Concentrated volume: An obvious benefit is the concentration of purchase volume to create quantity discounts, less costly volume shipments, and other more favourable purchase terms.

-Centralized purchasing eliminates the duplication of job functions. A corporate buyer can research and issue a large purchase order to cover the same material requested by all units, thus eliminating duplication of activities.

-Lower transportation costs: Centralization allows larger shipments to be made to take advantage and smaller shipments still can be arranged for delivery directly from suppliers to the points of use.

-Common supply base: A common supply base is used, thus making it easier to manage and to negotiate contracts.

DISADV - Less bureaucracy: Decentralization allows quicker response, due to less bureaucracy, and closer contact between the user and...
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