Reference no: EM13747303 , Length:
"Identification and Risk management in the supply chain for an efficient inventory management For CCC". CCC is a mining subcontractor organization. Its main corporate object is mining operation.
Its consumptions are more important for spares parts and diesel. The biggest of its inventory budget concerns spare parts (40%), Consumables (37%, Tires (18) Lubricant (5%) diesel. Its global fleet is of 500 machines and vehicles ( +- 100 light vehicles, 60 big buses, 80 trucks of more than 20 tons and +-400 heavy machines.
The CCC operating expenses are mainly diesel, spare parts, tires and lubricants as well as the human resources. Fuel (diesel) is used as consignment stock, but the average monthly consumption is around 2 250 000-2500 000 US dollars.
Currently, the company goal is to reduce operating costs to be competitive in the local market and enable its customers which are the mining companies to compete on the international market of copper and cobalt, the main finished products of its customers. Now CCC suppliers for spare parts and tires are mainly foreign suppliers.
Therefore, the cost of spare parts is sometimes increased by customs fees for which import duties are exorbitant for a country whose customs tax constitutes the largest part of its revenue.
This state of affairs certainly has much influence on the supply chain and inventory management CCC. Since CCC's stock value consists to 90% of imported items, its supply chain deserves special attention for efficient inventory management.
CCC is operating in South Katanga region, In the Democratic Republic of Congo. It is a mining subcontractor and it is subcontracting for four main clients in the region. Now I have gave you an overview of case study, i think you can make the solution accordingly.
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