||Company X, the target of this study, is a typical small chemical trading company in Taiwan. Based on his perceived business opportunities, the original founder co-founded Company X with his friend years ago. Since then, Company X enjoyed a steady growth in revenue and profit, along with the general economic growth in Taiwan. However, while the business environment changed drastically over the years, the business practice for Company X has stagnated and become outdated. Business processes have not changed to take advantage of advances in managerial concepts and information technologies. |
In recent years, Company X has encountered stiff competitions due to recession and adverse foreign exchange rates. Apart from attempts to expand its customer base, it is forced to re-examine its managerial processes. This study looked into its business processes and deficiencies, and proposed a set of improvements, focusing on inventory control and receiving/distribution processes. These improvements is expected to result in improvements in service quality, reduction in order mishandling, and improved distribution efficiency. Tangible benefits include an estimate of one or two errors in shipments per month, together with related losses in labor and transportation.
Keyword: Inventory management, receiving/distribution processes, process improvement
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