York (wuxi) Company Procurement And Inventory Control

York Wuxi Co. Ltd. has achieved great business development since it's foundation in end 1996, and will keep the rapid increase in the coming years. However, York Wuxi Purchase dept, as the team of material procurement and control, is taking the greater pressure which mainly derived from the lag of purchase procedure & method and excess inventory. They are influencing or will influence the improvement of purchasing efficiency and quality, capital operation and business development. Based on York Wuxi existing situation, this article puts forward two proposals which are innovation of purchase procedure with MRP II system and concentrative stock in whole York supply chain to remove the two great obstacles.This article at first analyzed York Wuxi purchasing process, listed the limitation of traditional purchasing, brought forward innovation design with MRP II, discussed and studied how to implement supplier scheduling, procedure simplification, function conversion of purchasing. As to the excess inventory, we analyzed inventory data, pointed out that the stock of imported parts, especially of big parts such as compressors is the root cause which makes the whole excess inventory, studied the supply chain system of York Int., re-designed the logistic system with the concept ofconcentrative stock, and verified the thoughts through quantitative analysis. Construction of partnership with supplier was the basis of the two proposals and direction of purchase management. At last, we visioned the blueprint of purchase in the future.We expect to resolve the purchasing bottleneck in business development through study and practice on the two issues at York Wuxi. Also we hope it can be helpful and beneficial for other operations.