Research Of Applying SCM Theory In Material Management Of TangShan Steel Group

As a important tache of value chain, material management is very important for management and controlling investment cost. iron&steel enterprise dispersive system and backward measure existed badly restrict to reduce cost and excavate benefit. As one of important flow industry, iron&steel enterprises have typical material supply chain characters. It is in dire need how to apply SCM theory to material management and establish rational, quick response mode of adapt market competition request.Business processes analysis and optimization of material supply management are discussed in this paper, combining the practice of material supply management in Tangshan Iron & Steel Group. The conflict between existing enterprise running pattern and ideas of SCM is analyzed. Method to improve enterprise supply chain is put forward, according to the traits of material supply and group development requirement of iron&steel enterprise. The means of "zero inventory" management for main materials and corresponding implementary methods are presented, and organization structure is reconstructed meantime. To meet the requirement of enterprise group development, SCM and 3PL are utilized to optimize business process of material supply, against the deficiency in traditional one of purchasing and inventory management. On this base, general model of material'supply management system is designed, presented Software frame of material supply material system, combining with the actual requirement of material supply in Tangshan Iron&Steel Group to design and develop system.