Z Company Internal Supply Chain Optimization Study

In recent years, with the development of new energy vehicles in public transportationand school vehicles policy implementation, coupled with increase of export market, partsdemanded by bus manufacturing enterprises increased quickly. Z Company, as the chassispower train system supplier of the world’s famous commercial vehicle manufactory—SGroup, encounters pressures on the supply chain capacity. With the changes in theenvironment, Z Company has to improve long lead time and inflexible supply chainresponse mechanism. The establishment of collaborative process with a new reliable andeffective system of internal supply chain is very important for the moment.This paper first analyzes Z Company must optimize their procurement, production,sales and logistics management, to make customers’ satisfaction improvement. With theeffective facts, Z Company could persuade the German headquarter consider about furtherdevelopments of Chinese market. Then this paper studies supply chain integration andsupply chain optimization theory. Based on the analysis of Z Company’s internal supplychain management, the main factors of low efficient result from poor information sharing,business process, and strategic decision-making by headquarter. There is four-dimensionimprovement methods, information and communication, planning and control, productioncapacity analysis, warehouse management and clearance of custom, such as internal supplychain organizational restructuring, customer order planning, capacity load analysis, visualinformation exchange platform.According to the thesis, to optimize Z Company’s internal supply chain system shouldcombine with industry characteristics and the resources. Meanwhile, the thesis also has acertain reference to same type of vehicle components manufactures.This thesis has the following innovations:(1) Analyses how to improve supply chain responsiveness, based on the company’s currentstrengths and disadvantages which unable be changed in short term. Z Company can avoidweaknesses, but develop internal strengths through integration with the customer’s supply chain collaboration to get better competition in the market.(2) From the information systems, internal business processes and limit of decision-making,reveals Z Company’s internal supply chain problems on the dominant, recessive andlooming reasons. The overall integration of the supply chain thinking, the relevantdepartments to Z Company supply chain as a whole, the proposed improvement programcould improve the Company’s internal supply chain and service levels.(3) This paper aims to improve position of internal supply chain enterprises, through initialpilot optimization with customer S, we can see it can help business development and solvesupply chain bottlenecks.