Gregory has started a small agricultural business that specialises in maize and sunflower seeds in Grey Town, KZN. His produce is AgriSA approved, and his organisation is looking to hire a supply chain management consultant given their impact and contribution to the local economy. You have been recruited by Gregory, assist him with the following questions: There are several requirements for the implementation of an MRP system. Given the nature, size and impact of Gregory’s business, suggest to him the value of the implementation of an MRP system. Note: you are required to provide at least three paraphrased theoretical points and at least two application points.

Gregory has started a small agricultural business that specialises in maize and sunflower seeds in Grey Town, KZN. His produce is AgriSA approved, and his organisation is looking to hire a supply chain management consultant given their impact and contribution to the local economy. You have been recruited by Gregory, assist him with the following questions: There are several requirements for the implementation of an MRP system. Given the nature, size and impact of Gregory’s business, suggest to him the value of the implementation of an MRP system. Note: you are required to provide at least three paraphrased theoretical points and at least two application points.

Purchasing and Supply Chain Management

6th Edition

ISBN:9781285869681

Author:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson

Publisher:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson

ChapterC: Cases

Section: Chapter Questions

Problem 5.2SA

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Scenario 3 Ben Gibson, the purchasing manager at Coastal Products, was reviewing purchasing expenditures for packaging materials with Jeff Joyner. Ben was particularly disturbed about the amount spent on corrugated boxes purchased from Southeastern Corrugated. Ben said, I dont like the salesman from that company. He comes around here acting like he owns the place. He loves to tell us about his fancy car, house, and vacations. It seems to me he must be making too much money off of us! Jeff responded that he heard Southeastern Corrugated was going to ask for a price increase to cover the rising costs of raw material paper stock. Jeff further stated that Southeastern would probably ask for more than what was justified simply from rising paper stock costs. After the meeting, Ben decided he had heard enough. After all, he prided himself on being a results-oriented manager. There was no way he was going to allow that salesman to keep taking advantage of Coastal Products. Ben called Jeff and told him it was time to rebid the corrugated contract before Southeastern came in with a price increase request. Who did Jeff know that might be interested in the business? Jeff replied he had several companies in mind to include in the bidding process. These companies would surely come in at a lower price, partly because they used lower-grade boxes that would probably work well enough in Coastal Products process. Jeff also explained that these suppliers were not serious contenders for the business. Their purpose was to create competition with the bids. Ben told Jeff to make sure that Southeastern was well aware that these new suppliers were bidding on the contract. He also said to make sure the suppliers knew that price was going to be the determining factor in this quote, because he considered corrugated boxes to be a standard industry item. Is Ben Gibson acting legally? Is he acting ethically? Why or why not?
Scenario 3 Ben Gibson, the purchasing manager at Coastal Products, was reviewing purchasing expenditures for packaging materials with Jeff Joyner. Ben was particularly disturbed about the amount spent on corrugated boxes purchased from Southeastern Corrugated. Ben said, I dont like the salesman from that company. He comes around here acting like he owns the place. He loves to tell us about his fancy car, house, and vacations. It seems to me he must be making too much money off of us! Jeff responded that he heard Southeastern Corrugated was going to ask for a price increase to cover the rising costs of raw material paper stock. Jeff further stated that Southeastern would probably ask for more than what was justified simply from rising paper stock costs. After the meeting, Ben decided he had heard enough. After all, he prided himself on being a results-oriented manager. There was no way he was going to allow that salesman to keep taking advantage of Coastal Products. Ben called Jeff and told him it was time to rebid the corrugated contract before Southeastern came in with a price increase request. Who did Jeff know that might be interested in the business? Jeff replied he had several companies in mind to include in the bidding process. These companies would surely come in at a lower price, partly because they used lower-grade boxes that would probably work well enough in Coastal Products process. Jeff also explained that these suppliers were not serious contenders for the business. Their purpose was to create competition with the bids. Ben told Jeff to make sure that Southeastern was well aware that these new suppliers were bidding on the contract. He also said to make sure the suppliers knew that price was going to be the determining factor in this quote, because he considered corrugated boxes to be a standard industry item. As the Marketing Manager for Southeastern Corrugated, what would you do upon receiving the request for quotation from Coastal Products?
Gregory has started a small agricultural business that specialises in maize and sunflower seeds inGrey Town, KZN. His produce is AgriSA approved, and his organisation is looking to hire a supply chain management consultant given their impact and contribution to the local economy. You have been recruited by Gregory, assist him with the following questions: Gregory is uncertain as to which replenishment system he should use. Differentiate between the continuous review and periodic review models and suggest the most suited for him with the aid of at least two practical examples.Note: you are required to provide a paraphrased overview of the models before at least two practical examples are provided to support the choice.
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