He Blozis Company’

In: Business and Management

Submitted By mmackay
Words 435
Pages 2
Summary
The Blozis Company’s supply department has an unclear procurement process due to ambiguous roles and responsibilities of their employees. For the company to overcome the challenges that they are afflicted with, the company needs to undertake a sequence of activities to align the employees with a set of standard procurement processes. The president should clarify and define each employee’s roles and responsibilities, hire additional staff to share the workload and consider an electronic system to improve the procurement process.
Issue identification, Cause and Analysis
The case study illustrates several inefficiencies that are costing Blozis exceptional amount of money. The supply chain function is not organized and exemplifies weak control over any supply chain processes. The supply chain manager has little control over the processes in their managing area. The employee roles, at Blozis, do not seem to have a defined job description. For example, the supply department consists of two clerks, which one in the stock room, reports to the expeditor. This raises organizational clarity issues, as the clerk is hired under the supply department while reporting to the expeditor whom is under the production department. Both the clerk and the expeditor’s roles are more convoluted than what is necessary and is displayed by the long overdue payments on materials as well as materials being received improperly.

Continuation
Currently, the person who understands the technical nature of the items that are requisitioned does not keep thorough and accurate documentation of the orders, especially on a ‘ad-hoc’ basis. This leaves the company liable to the suppliers and costs the company more in the long run when they are scrambling to pay the vendor. Particularly, when it was possible to pay them on time, or in advance to receive sizeable discounts.…...

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