Essay on Planning and Controlling the Supply Chain

1554 Words Jul 24th, 2009 7 Pages
Four Primary Forecasting Techniques The primary forecasting techniques that Bronson Methodist Hospital uses varies with the ongoing processes of building, implementing, evaluating and the never-ending improvements that are made in each forecast models that are consistent throughout the organization. Bronson hospital focuses on using forecasting techniques that have data that is readily available, can be performed in house, easy to understand and the forecasting methods are reasonable (Harrelson and McClurkan 2007). Listed below are the four forecasting methods that are utilized within Bronson Methodist Hospital and will reflect how each of the elements is beneficial to the management of the organization (Harrelson and McClurkan 2007). …show more content…
Bronson utilizes the capacity planning for the incoming and outgoing patients and the flow that needs to be maintained for quality service.
Inventory Planning Bronson maintains a redundant process that is described as the one-plus-one plan, which makes sure that there are always equipment, supplies, food and utilities from vendors on a continuous basis as well as in an emergency situation.
Budget
Bronson’s budget is detailed and involved, as every aspect listed above has to be considered and acted upon carefully and consistently. In maintaining such an organization there are many different leaders in the management system that provides their own unique skills to bring together the circle that completes the criteria needed to be a Baldridge Award winner such as Bronson Methodist Hospital.
MRP System MRP assumes WIP inventories and times the production of these inventories to coincide with the preplanned delivery dates. The costs of inventories are computed based on carrying costs. Inventories are seen as necessary. MRP systems allow for economic order quantities, buffer stocks, and safety stocks. In MRP systems, inventories are pushed through the productive processes. Materials Requirements Planning (MRP) is implemented when there are various levels of production needed for a product. This is where the data describing the product requirements, the structure of the production and the current inventories is implemented or planned

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