| Planning Contracting Administration Logistics Management Development Implementation |
Commentary
The example used of post-it notes is a bit trivial but the message is important. Everyone has their own preferences. This can rapidly lead to an over-abundance of materials being purchased.
Purchasing has the opportunity to drive for standardization. Please note that purchasing is not the “requisition police.” We still are a service organization. But we are also the only group that sees the range of items being purchased and the opportunities for standardizing either items purchased or suppliers used.
For many companies standards have reduced inventory and administrative costs. Expenses for training are often reduced as well.
Examine the need for standardization at your company - visit the supplies closet, the tools in your maintenance shop and the vehicles in your fleet! Once you tackle these non-threatening areas move onto raw materials and capital equipment.
Best Practice | Case Study | Commentary
April 5, 2000
Copyright © 2000 TransSource Corporation