Make a weakness and recommendation of this:

PROCESS 1: Coordinate needed products

Themarketing and research development (MRD) departmentprovides the company with a sales forecast. This enables them to determine which items are most frequently purchased by customers and which products are required for production. The department would coordinate with theproduction department to produce the needed products.

PROCESS 2: Request for raw materials

After receiving the sales forecast from the MRD department, theproduction department will request the raw materials needed to make the product from the warehouse which is thelogistics department. They will send materials requisition form to the said department. Also, the aforementioned department is in-charge of the company's inventory records which are computerized. After receiving the request, the logistics department will check its inventory if they have enough stock of the requested raw materials. If so, they will already proceed to process 8. If the raw materials are not enough, they would proceed to process 3.

Note: The material requisition form contains the date the form was made, the item/d requested and its quantity. It also has the signatory of who completed the form and the production head.

PROCESS 3: Forward the documents

Thelogistics department would forward the request form to thepurchasing department if the raw materials are not available.

PROCESS 4: Get quotation from suppliers

After receiving the form, thepurchasing department will contact the supplier. They will get a quotation from the supplier and issue a purchase order. A quotation is a document that a supplier makes in order to supply materials at a given price and under specified conditions.This will let the business know the cost of the goods before we make a purchase. After the purchasing department agrees to the terms, the supplier will send an order receipt to the purchasing department.

Note: The company does not only stick to one supplier. They have various international and local suppliers so that the company would not run out of stock.

PROCESS 5: Request payment

Thepurchasing department would then submit a journal voucher to theaccounting department asking for payment. A journal voucher is a formal request to record a transaction.

PROCESS 6: Evaluate financial transactions

The financial transaction will be evaluated and approved by theaccounting department before being sent to theaudit department. The auditors would examine it as part of their auditing processes. They will give a signed check and send it back to the purchasing department after also authorizing the financial transaction. The supplier will be contacted once more by the purchasing department to get the delivery information.

Note: They would store these transactions in their computerized financial records. A printed copy of their financial records is further provided by the accounting and auditing department.

PROCESS 7: Inform about delivery of supplies

Thelogistics department will receive the delivery details from thepurchasing department along with the signed check (payment). They are the ones who will pay for and receive the supplies.

PROCESS 8: Manage inventory control

After receiving the raw materials, thelogistics department will handle the computerized inventory control of the raw materials. Theproduction department will then get the raw materials thereafter.

PROCESS 9: Conduct production process

Theproduction department will first make a work order, move tickets, and arrange the production schedule, after receiving the raw materials. They will then continue with the production procedure. After being entered into the inventory, the finished goods are sent to thesales department for distribution and selling.