Strategic Operations Issues- Textprint Sri Lanka
Strategic Operations Issues
Inventory Management Issues at Textprint Lanka (PVT). Ltd
1
Executive Summary
Textprint PVT. Ltd. is a joint venture between MAS Holdings of Sri Lanka and TextprintSA of
Spain. The company operates from its factory in Thulhiriya Sri Lanka doing fabric printing incorporating the latest technologies. It has come to notice that Textprint has a high inventory holding costs and this had led to capital being tied up.
In this document we analyse the two programs that are presently in operation in the Textprint plant (Rapid Program and Seasonal Programs). How the current inventory management practices affect Textprint’s supply chain objectives and how reducing inventory holding costs would benefit Textprint are also discussed in detail.
In conclusion, a number of recommendations such as introducing Vendor Managed Inventory
(VMI) and the strict introduction of First In First Out (FIFO) inventory practices are introduced.
It is also suggested to introduce adjust inventory technique to Textprint’s seasonal program.
2
Contents
1.0 Introduction ..............................................................................................................6
1.1 Introduction to inventrory management ............................................................... 7
1.2 Introduction to Textprint Lanka (PVT) Ltd. ........................................................ 7
1.2.1 Overview of MAS Holdings..............................................................................7
1.2.2 Overview of Textprint Lanka (PVT) Ltd. ......................................................... 8
2.0 Operations issue analysis ......................................................................................... 9
2.1 Current process at Textprint Lanka ......................................................................9
2.2 Identification of the inventory issue currently faced by Textprint Lanka ..........11
2.3 Impact on
Inventory Management Issues at Textprint Lanka (PVT). Ltd
1
Executive Summary
Textprint PVT. Ltd. is a joint venture between MAS Holdings of Sri Lanka and TextprintSA of
Spain. The company operates from its factory in Thulhiriya Sri Lanka doing fabric printing incorporating the latest technologies. It has come to notice that Textprint has a high inventory holding costs and this had led to capital being tied up.
In this document we analyse the two programs that are presently in operation in the Textprint plant (Rapid Program and Seasonal Programs). How the current inventory management practices affect Textprint’s supply chain objectives and how reducing inventory holding costs would benefit Textprint are also discussed in detail.
In conclusion, a number of recommendations such as introducing Vendor Managed Inventory
(VMI) and the strict introduction of First In First Out (FIFO) inventory practices are introduced.
It is also suggested to introduce adjust inventory technique to Textprint’s seasonal program.
2
Contents
1.0 Introduction ..............................................................................................................6
1.1 Introduction to inventrory management ............................................................... 7
1.2 Introduction to Textprint Lanka (PVT) Ltd. ........................................................ 7
1.2.1 Overview of MAS Holdings..............................................................................7
1.2.2 Overview of Textprint Lanka (PVT) Ltd. ......................................................... 8
2.0 Operations issue analysis ......................................................................................... 9
2.1 Current process at Textprint Lanka ......................................................................9
2.2 Identification of the inventory issue currently faced by Textprint Lanka ..........11
2.3 Impact on
References: Slack, N., Brandon-Jones, A., Johnston, R. and Betts, A. (2012), Operations and Process Management, 3rd Ed Masholdings.com, (2014). MAS Holdings | Change Is Courage - The number one supplier of intimate wear and active wear including sports and swim apparel in Sri Lanka and South Asia. Masholdings.com, (2014). Fabric Printing-Textprint. [online] Available at: http://www.masholdings.com/fabric/fabric_printing.php [Accessed 18 Sep Herath, K.P (2014). Operational process analysis on inventory management at Textprint Lanka (pvt) Ltd. Supplychaininsights.com, (2014). First In, First Out - Supply Chain Insights Wiki. [online] Available at: http://supplychaininsights.com/sciwiki/index.php?title=First_In,_First_Out [Accessed 17 Sep. 2014].