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Procurement of packaging materials and containers based on JIT mode

with the intensification of competition, enterprises are looking for a better way to reduce enterprise costs in order to maximize profits. In the process of "improving the production process, reducing the consumption of raw materials" and "increasing the sales volume and increasing the sales profit", many product manufacturers gradually realize the role of packaging materials and container procurement in saving costs and enhancing the competitiveness of enterprises. The traditional procurement mode is far from meeting the requirements. "Adopting modern procurement mode, reducing procurement costs and seeking benefits from procurement" is becoming the goal of packaging users. Modern procurement mode is gradually being adopted by the majority of packaging users

procurement is the material basis for modern enterprises to engage in production and business activities. It contains two meanings: "procurement" means selection, which is to select one or more from a large number of alternative objects; "Purchase" refers to purchase, which is an activity to transfer the selected object from the other party to oneself through commodity trading. Modern procurement refers to the use of scientific procurement technology and methods to realize the informatization and networking of the whole process from information collection, supplier selection, procurement, transportation, inventory to use through computer network, so as to meet production needs to the greatest extent, reduce procurement costs and achieve procurement goals

jt (just in time) procurement mode, that is, just in time procurement, is a kind of modern procurement technology, which refers to providing the right goods at the right time, at the right place, in the right quantity and quality. JIT purchase is order driven, which enables users and packaging materials and container suppliers to operate around orders to achieve punctual and synchronous operation. Procurement is carried out in parallel, that is, when the user's procurement department generates an order for packaging materials and containers, the packaging materials and containers suppliers begin to prepare the materials and containers, and then send them to the designated place according to the variety, quantity and other requirements required by the user

basic principle of JIT purchase mode

(1) directly deliver the goods to the user's production line

(2) what kind and quality of packaging materials and containers users need. The supplier will provide what kind of products, and the variety, specification and quality should fully meet the needs of users

(3) the supplier shall strictly abide by the user's regulations on the supply quantity, time and place of packaging materials and containers, and shall not make any changes

the above procurement methods can not only make the packaging meet the production needs of users, but also enable users to achieve zero inventory. As shown in Figure 1, the purchase mode under JIT omits the "inventory" link in the traditional purchase mode. Zero inventory makes users do not need to establish a warehouse to store packaging materials and containers, which undoubtedly saves users a sum of money. At the same time, it avoids the losses caused to the enterprise by the deterioration, damage and loss of packaging materials and containers in the storage process, and is also conducive to the turnover of working capital and enhance the competitiveness of the enterprise

characteristics of implementing JIT Procurement Mode

(1) single source supply is adopted for the procurement of packaging materials and containers

single source supply refers to the procurement of certain packaging materials and containers from only one supplier. In the "d" procurement mode, the ideal situation is that there is only one supplier for each packaging material and container. Moreover, as packaging materials and containers are relatively special commodities, their procurement should meet the provisions of the currently established packaging materials and containers quality assurance system standard (GB/t12121), which also requires single source supply to ensure the stability of the quality of packaging materials and containers, so that the quality difference between the same packaging materials and containers is small. Single source supply can facilitate users' management of suppliers as shown in Figure 2, and also enable suppliers to obtain internal economies of scale and long-term orders, reducing procurement costs. Single source supply can also strengthen the dependence between users and suppliers, help establish long-term cooperation between supply and demand, and ensure the quality of packaging materials and containers

(2) purchase packaging materials and containers in small batches

jit procurement mode is zero inventory. In order to ensure the timely, quality and quantity supply of packaging materials and containers, procurement must be carried out in small batches, and the number of procurement will increase relatively

(3) the user's selection criteria for suppliers have changed

in the past procurement mode, price is the main standard for users to select suppliers. Whoever has a low price will determine who is the supplier, while other factors, such as the reputation and production capacity of the enterprise, are often ignored

after users implement JIT Procurement Mode, due to the use of single source supply, suppliers have a strong influence on users' production. If suppliers cannot deliver packaging materials and containers to users' production lines on time, users will be forced to stop production (because JIT Procurement is zero inventory), which will seriously affect the economic benefits of enterprises. Therefore, the selection criteria for suppliers are more stringent. Price is no longer the decisive factor. The credibility, production capacity, technical capacity and adaptability of suppliers will become factors that users will comprehensively consider. Moreover, the standard block used to calibrate the hardness tester should be installed in an ungrounded position, which should be convenient for wiring and can be used on both sides. The purchase price of suppliers with strong comprehensive ability is often not very high

(4) the quality of packaging materials and containers is guaranteed at the supplier

jit procurement mode requires suppliers to deliver packaging materials and containers to the place required by users on time, even on the production line, that is, users have no time to inspect the quality of packaging materials and containers, and the quality of packaging materials and containers must be responsible and guaranteed by the supplier. GB/t12121 strictly stipulates the quality of packaging materials and containers. Suppliers must produce according to national standards, so as to ensure that the product quality meets the requirements of users, and users are not required to conduct quality inspection on packaging materials and containers again (to achieve exemption from inspection), which also saves users a sum of quality inspection costs. On the other hand, users should also timely provide the requirements for product quality to suppliers, and have the obligation to help suppliers ensure and improve the quality of packaging materials and containers, so as to ensure the smooth implementation of their own production and achieve a win-win situation for users and suppliers

(5) information exchange should be strengthened between users and suppliers

in order to ensure the timely and accurate supply of packaging materials and containers, users must provide accurate and timely demand information for suppliers. Due to the strategic cooperation relationship established by both parties, users can communicate with suppliers about production plan, inventory, quality requirements and other information in time, so as to deal with problems in a timely manner. Only the reliable and rapid two-way information exchange between the supplier and the demander can ensure the smooth implementation and role of JIT Procurement Mode

advantages of implementing JIT Procurement Mode

(1) improve the quality of packaging materials and containers. Last December 20

packaging materials and containers have a certain impact on product quality and even personal safety. Therefore, strict quality management must be carried out on packaging materials and containers, and the quality of packaging materials and containers provided by suppliers must meet the provisions of GB/t12121, which is the most basic requirement. Moreover, with the development of commodity economy, users have higher and higher requirements for packaging materials and containers, which are no longer limited to the single requirements of protecting the contents, but also take into account the factors such as aesthetics, applicability, ease of processing and so on. After users implement the Sichuan procurement mode, they can not only make the packaging materials and containers meet the provisions of national standards, but also improve the quality by 2 ~ 3 times on this basis. At the same time, the improvement of the quality of packaging materials and containers will also reduce the quality cost of users and reduce the overall cost of enterprises

(2) reduce the purchase price of packaging materials and containers

due to the adoption of JIT Procurement Mode, the selected suppliers have large scale benefits and are long-term orders. The procurement process is relatively simple, which will reduce the purchase price of packaging materials and containers

(3) promote the development of enterprises

users implement the procurement mode, which not only shortens the delivery time and saves the resources (human, material and capital) needed in the procurement process, but also improves labor productivity, enhances the ability of enterprises to adapt to market competition, and contributes to the rapid development of enterprises

in short, the implementation of a modern procurement model will bring infinite vitality to enterprises. Enterprises that have adopted this model should further study the JIT Procurement Model to better serve enterprises; Enterprises that have not yet adopted JIT should vigorously promote and implement this modern and scientific procurement mode in order to improve their economic interests and enhance their competitiveness

(author/Wu Min, Liang Dongmei, School of food engineering, Guangxi University)

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