Service Request SR-rm-001 Processes Evaluation from Riordan Manufacturing Liz Turner
Areas of Needed Improvement
Based on Service Request SR-rm-001, the processes of inventory management and control at Riordan Manufacturing were evaluated. Four aspects of Riordan Manufacturing’s inventory management and control require improvements. These aspects of business are improvements to automation, inventory control and error reduction in the inventory management, as well as an overall inventory storage cost reductions. Furthermore, each part of the inventory management and control process requires a single unifying method to deliver a solution using computer systems. Riordan Manufacturing’s inventory management and control system is split into three categories. These include raw materials receiving; manufacturing; and final product shipping. Each of those three areas requires improvement in the process through upgrades of existing computer systems. In addition, new computer and inventory tracking technology should be implemented to increase automation, reduce storage of materials costs and reduce errors in inventory tracking. b.
The purpose of this project is to implement computer software and hardware to automate production and value chain management in order to increase productivity of the company and reduce production costs. This project will implement three components of a single unifying system to improve the inventory management and control at Riordan Manufacturing based on the goals of each of three areas of the manufacturing processes. Raw materials receiving will receive a computerized inventory check-in system. Manufacturing will receive a computerized project management system. Final product shipping will receive a computerized sales and order fulfillment system. Users in each of the three categories of inventory management and control will receive training in operations of the new technology to be implemented. Finally, this project may also act as a catalyst to review processes that raw material delivery partners use and may produce a set of requirements for those companies that wish to do business with Riordan Manufacturing. c.
The stakeholders associated with this project are broken down into four categories, based on three processes of inventory management and a category for stakeholders that do not necessarily fall into any of the categories of inventory management. Raw materials receiving stakeholders include supervisors, receiving area teams, raw materials delivery partners and inventory clerks. Manufacturing with inventory stakeholders include manufacturing staff and inventory clerks. Final product shipping stakeholders include, Riordan Manufacturing’s customers, sales staff, sales order clerks, shipping department and inventory clerks. Additional stakeholders include members of the IT department tasked with maintenance and management of technology proposed in this service review and Hugh McCauley, Chief Operating Officer of Riordan Manufacturing. 2.
Below are the procedures and policy statements that articulate the business requirements of Riordan Manufacturing ("the client") in terms of their specific processes or business development needs. a.
There are several aspects of the client's current business processes that can benefit from automation. These include raw materials receiving, manufacturing, order placement, and shipping: •
Raw Materials Receiving: An automated inventory management system should be implemented that allows an employee to scan new raw materials directly into inventory upon receipt. This would require raw material manufactures to provide product codes in the form of Barcode or RFID on parcels being received for easy update to inventory. •
Manufacturing: In manufacturing there is a need for employees to be able to check raw materials out of inventory for manufacture and have the...
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SEER by Galorath. 2008. www.galorath.com
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