An integrated approach to re‐engineering material and logistics control

Abstract

WMC Ltd is a medium‐sized company which manufactures and distributes mechanical/ electrical equipment for the construction industry. Constitutes a case study which illustrates the re‐engineering methodology developed for WMC in order to improve its material and logistics control strategies. The first re‐engineering approach initiated by WMC was to make wholesale changes affecting internal operations in order to achieve world‐class performance. Finds that optimization of the manufacturing operations highlighted further problems caused by an inefficient inventory control system. Hence, the updated objective became that of designing an improved material and logistics control strategy to ensure that the right materials are in the right place in the right quantity at the right time. Provides, therefore, an interesting case study example of how WMC achieved effective supply‐chain management through the development of a three‐stage re‐engineering framework encompassing changes to the internal structure, inventory control structure and supplier management strategies. The results are applicable to many other market sectors.