Formal Process

Topics: Quality control, Supply chain management, Inventory Pages: 3 (886 words) Published: March 21, 2013
After a year of an apparently success in the Canadian roll out and in the supply chain Bows Limited still facing some issues that need to be addressed. Returning from the quarterly meetings in Milan, Italy no data was available to support the preliminary said good performance in the Canadian roll out; there was not Key Performance Indicators (KPIs) in place to measure and maintain real successes as well as to show a continuous improvement of the supply chain and the only critical information received from the Director of the Inventory was all about many orders coming defective and short of products. As a result, she is having a difficult time fulfilling the store orders and presented data to the President to show that lost sales figures for Canada were 20 % last year. It is suspected that there may be pilferage and loss issues on the consolidated shipment and that part of the Director of Inventory’s lost sales issues are a result of theft and unfulfilled orders. Thus, this paper is intended to addressing each issue described above and arising along the whole supply chain. First at all, the creation of a formal process that can be implemented to measure and maintain the success and show continuous improvement is presented. Having in consideration the 22 fashion seasons that BOWS carries during a year (each season is long just two weeks) and that the company is a time oriented organization into the industry and has built a name based on that, time and quality and costs indicators will be used to determinate the real performance of the supply chain. By calculating the total order cycle, the on-time deliveries as well as an order fulfillment rate we are generating what we call a “perfect order rate” in order to measure our whole ability to put together a "perfect" order. Secondly, and in order to reduce at minimum the quality control issues that are affecting the business, a comprehensive quality control process is presented comprising actions...
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