Overview: Help SSB Inc. By Critiquing

Overview In This Assignment You Will Help Ssb Inc By Critically Anal

In this assignment, you will help SSB, Inc. by critically analyzing their procurement process and suggesting the best solution. Specifically, you will define their procurement process in terms of the physical flow, create five instances of the process on paper with accurate data and documents, generate reports based on the data, and incorporate specific modifications and requirements based on recent changes in procedures and agreements.

The business process used by SSB is similar to that described in Chapter 3 of the course materials, with notable differences: Tim Jones will now initiate the requisitions instead of David Bloomburg, due to Tim’s proximity to inventory and better awareness of stock levels. However, David still needs to approve all requisitions. Additionally, SSB's vendor agreements now include an extra 10% shipping cost on orders under $2,000 and a payment term of 1% discount if paid within 10 days, with the net amount due in 30 days.

The assignment involves creating a process diagram, developing relevant procurement documents for sample data, analyzing data through charts, and answering specific questions about process efficiency, order values, and vendor/material purchasing patterns.

Paper For Above instruction

1. Process Diagram

To visualize the modified procurement process at SSB, a process diagram similar to Figure 3.1 in the course materials should be created using Microsoft Visio. The diagram must incorporate the changes wherein Tim Jones initiates the requisition process based on inventory levels, and David Bloomburg approves these requisitions. The diagram should clearly delineate each step, decision points, document flow, and interactions among personnel and vendors.

The flow begins with Tim assessing inventory, then creating a purchase requisition. David reviews and approves this requisition. Once approved, a purchase order is generated, considering the updated vendor agreements (additional shipping costs under $2000 and payment terms). The purchase order is sent to the vendor, and upon receipt, goods are checked, documented, and inventory is updated accordingly. The process concludes with payment and record-keeping.

2. Sample Documents and Data

Next, you will create five instances of procurement transactions on paper, including essential documents: requisitions, purchase orders, receiving reports, vendor invoices, and payment records. You will use sample data provided or assumed, ensuring the accuracy of dates, quantities, prices, and total costs. For example, assume data such as order date, material descriptions, quantities, unit prices, vendors, and shipping costs, including the 10% surcharge for orders under $2000.

Assumptions such as estimated delivery times, specific discount application, or special vendor terms should be documented separately at the beginning of the submission. Accuracy in data entry is crucial for reliable analysis.

3. Data Analysis and Charting

Using the data from the documents, a spreadsheet should be prepared, and the following charts created:

• A pie chart illustrating the quantity of each material purchased.
• A pie chart showing the value (cost in dollars) of each material purchased.
• A bar chart depicting how many times each material was ordered.
• A bar chart representing the total dollar amount spent with each vendor.

These visualizations will enable comprehensive analysis of procurement patterns and expenditure distribution.

4. Analytical Questions

Finally, answer the following questions based on the data:

• What is the average number of days to complete the procurement process?
• What is the average order value ($)?
• Which material was purchased in the greatest quantity, and how many units were purchased?
• Which material had the highest total purchase value ($), and what was the amount?
• Which material is the most frequently purchased?
• From which vendor does SSB buy the most in terms of the total dollar amount?

The responses should include calculated averages, identification of materials and vendors based on purchased quantities and values, and insights into procurement efficiency and vendor relationships, supported by appropriate data analysis techniques.

References

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• Ross, D. F. (2019). Distribution Planning and Control: Managing in the Era of Supply Chain Management. Springer.
• Cousins, P.D., Lamming, R., & Bowen, F. (2020). Supply Chain Management: Strategy, Planning, and Operation. Pearson.
• Chopra, S., & Meindl, P. (2019). Supply Chain Management: Strategy, Planning, and Operation. Pearson.
• Monczka, R., Handfield, R., Giunipero, L., & Patterson, J. (2015). Purchasing and Supply Chain Management. Cengage Learning.
• Simchi-Levi, D., Kaminsky, P., & Simchi-Levi, E. (2008). Managing the Supply Chain: The Definitive Guide for the Business Professional. McGraw-Hill.
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