Electrical Parts Supply Chain Optimization Management Research In OT Company GZ Factory

Along with the intensive market competition, the competition between enterprises has become the competition between supply chains; optimizing supply chain has become more and more important in the improvement of competitiveness.Now, the selling market is changing into buyer market, As the result of personalized, diversified consumer demand, consumers are focus on product quality and its function, not only providing the product with good quality and price, also customized favor should reflect, the traditional high volume production is facing unprecedented challenges. The main mode of manufacturing production gradually will be shaped as the high-mix low-volume production which will switch for a better service for the sake of satisfying customers demand. On one hand, for manufacturing enterprise, it is difficult to reduce the purchasing cost through a way to buy mass parts as before due to the characteristics of the high-mix low-volume production. With raw material and wages rises, manufacturing obviously encounter the cost increasing pressure, which make disadvantageous manufactures bedeviled. The way of compressing the supplier's profits to reduce procurement cost has been difficult to continue. On the other hand, because of more demanding customers needs, not only to the personalized product, but also put forward to the delivery date, many enterprises have to increase their inventory to improve the service level for the sake of satisfying customers'requirement regarding to shorten the delivery date. How to optimize the supply chain to look for their own "blue ocean" to achieve win-wins with suppliers has become urgently addressed for the sustainable development of enterprises.In this paper, based on the former research, I carried out a procurement management optimization study in practical application of OT Elevator Company, include collection and analysis of existing data using local scale effect, bidding, EOQ and vendor managed inventory method, illustrate how to reduce parts purchase cost and electrical warehouse inventory in GZ factory. Working through the case, experience summary, puts forward suggestions on the issues encountered in the implementation, aiming to apply within the field of supply chain management to optimize the operations which might strengthen the competitiveness of enterprises, making constantly performance so as to improve the whole supply chain competitiveness.