Study On System Construction Of Implenenting VMI Model In Q Company

With the increasingly fierce competition of market, companies have been unable toadapt to changes in the market environment which only rely on their own resources andstrengths. Therefore, companies concern more on supply chain management and themeasure which can ensure the company keeping sustainable competitive advantage is tomanage the whole supply chain. Against this background, the traditional inventorymanagement disadvantages are gradually exposed, such as managing inventoryindependently and seeking to maximize their own interest and etc, and then the companiesface the situation of inventory backlog and increased cost. Vendor Managed Inventory(VMI) is a new type of inventory management in supply chain environment, it changes thetraditional operational model and reflects the integrated management idea of supply chain.The main purpose of this paper is to build implementation system of VMI model basingon the present situation and existing problems of inventory management in Q company,and propose appropriate measures to ensure its operation smoothly, thereby improve thedeficiencies of inventory management in Q company.Firstly, the paper proposes the research background and significance, then analyzesresearch status at home and abroad relating to vendor managed inventory model byreferring to large number of literature and introduces related basic theory to lay thetheoretical foundation for the following study.Secondly, the paper introduces the basic situation and supply chain structure of Qcompany, and then analyzes the present situation of inventory management, finds out theexisting problems; proposes VMI model basing on those inventory management problems,and then analyzes the present conditions which are useful to implement VMI by using themethod of SWOT, provides a basis for successful implementation of VMI model.Thirdly, with the purpose of improving the problem of inventory management and thefour basic principles of implementation VMI model, the VMI system is designed inaspects of setting implementation goals of VMI model, clearing the implementation scope,designing implementation forms, operation support system and performance evaluationsystem. This implementation system makes the whole idea of implementing VMI model clearly.Finally, the paper proposes comprehensive safeguard measures for theimplementation of VMI model in order to overcome the possible obstacles and difficultiesso that ensure the VMI model of Q company carry on smoothly and operation efficiently.