Abstract:
This study aimed to elucidate supply chain management systems of a cosmetic company. The study focused on raw material management and purchasing technique for cosmetic manufacturing, Company A, which located in Banglamung district, Chonburi province. This study adopted ABC classification with purchasing technique as Material Requirement Planning (MRP) to solve over stock and shortage of raw materials in production system.
The study found that company A has many inventory management problems which usually replenish every 3 months. The company has raw material over 535 items in inventory with account to 2,918,396.37 Baht. There are over 260 death stock items which cost 1,097,908.98 Bath or 37.62% of total inventory value. The new purchasing techniques were introduced and implemented by using Material Requirements Planning with ABC inventory management system. The result of the study showed that Company A can reduced inventory value from 2,918,396.37 Baht to 2,561,733.37 Baht or decreasing 12.22%