Post-Manufacturing Process: Introduction Term Paper Example

Iron Mesh Supply Chain Management

The post-manufacturing process is one that emphasizes the importance of the customer-producer relationship. The company in question develops and creates iron mesh, and has created a post-manufacturing process that is functional in transportation, customer support policies, returns, and payment policies. These policies will be discussed in depth here.
Company PIN does not necessarily have a LIFO/FIFO policy in place, because very little inventory is maintained in the warehouse. For the most part, the product is made to order and is shipped almost immediately, meaning that there is little inventory maintained. However, iron does not go bad over time, so there is little concern about the difference between a LIFO/FIFO policy with company PIN.

Transportation

The structure of the distribution channels from company PIN is designed to support the company’s own fleet of trucks, trailers, and qualified drivers. The post-manufacturing process is designed to streamline the distribution channels that are already in place, and have been cultivated by the company itself. From the time of manufacturing, there may be differences in the delay of the product; the delay depends on the quantity that was ordered by the customer or customers. The current capacity of the transportation segment of the supply chain is approximately 175t per day.
The time it takes for the product to be transported also depends on the distance from the production center to the customer. One day after production, the items are shipped to the customer; the amount of time it takes for the customer to receive the product, therefore, depends on the distance between the shipping center and the customer. The supply chain here is dependent upon the shipping procedures that have been developed by the company.

Customer Support

The customer support department is the responsibility of the commercial department. Company PIN employs constant communication with the customer and designed customer profiles to decide what each customer should be offered. Company PIN receives feedback about the products and then reports the feedback to the production department when it is necessary. This is to ensure that the customer and the production department are both receiving the feedback that is necessary, without further complicating the production process.
There is no information provided about the information flow within the company. Regarding how internal and external information is related, company PIN declines to state; for any kind of information regarding how the business is conducted is kept confidential, and requires the use of an NDA for anyone who were to read this report. That is because maintaining the integrity and the business processes of the business is how company PIN protects itself from competitors and predators in the marketplace; the market analysis is also kept secret.

Return Policy

Company PIN has a very specific return policy for their customers, because of the special nature of the product. The product is made to order, so customers have very few chances to return it. If the product is damaged in transportation or it is damaged because of a manufacturing error, then the company bears all the costs. The company then refunds in full, or makes sure it supplies a new product in a short amount of time possible. In any other case of return, the customer is responsible for the return costs associated with returning the iron mesh to the supply warehouse. The customer is free to negotiate about whether to use the company trucks or outside trucks.

Payment Terms

There are very specific rules involved because the orders are often so large and so difficult to move; payment terms are relatively strict for the company. Discounts apply only to large customers that surpass the order of 2500t per year. Depending on the quantity of the order, there is a total reduction in price of anywhere from .5%-3%. Customers who are ordering in larger quantities can negotiate on payment terms; usually company PIN allows for 60 days for payment. For customers that are making smaller purchases, company PIN requires 50% payment on the date of the order, and 50% payment on the day of the delivery The customer cannot be involved in the product design at company PIN, because the product design, by nature of the company’s niche, is fairly standardized. Although company PIN has the ability to create specialized pieces—when the consumer asks for something specially designed and welded—but these cases do not occur very often in the design process at company PIN. However, despite the fact that the company does not do customized work very often, the company is capable of producing anything that a client could need. The production process for iron mesh is not particularly difficult or involved; it is only the process of rearranging raw materials in the production process.