Procurement, Conversion And Logistics Management Essay

775 Words Aug 24th, 2015 4 Pages
Answer 1)
A) Sourcing, procurement, conversion and logistics management. The recurring needs of business is fulfilled by Sourcing to make sure that there is sufficient access to resources necessary to run a business, which can either be goods, services or both by proper finding, evaluating and engaging. Procurement is obtaining or buying goods and services which includes preparation and processing of a demand till the end receipt and approval of payment. Conversion is a process where raw materials are converted in finished goods for products and for services it is the actual service delivered to a particular customer as and when required. Logistic Management complies with process of planning, implementing and controlling the proficient, operative flow of goods, services and related information from point of origin to point of consumption for customer’s requirement.

B) Design: H&M clothes were designed by more than 600 suppliers who were spread across 22 countries and after that those clothes were made available to 1300 stores across 25 countries, so indeed the perfectly established supply chain system was the secret of H&M achievement. H&M centralised their designed team in Sweden with 100 in house designers and 50 pattern designers. H&M designed teams gave significant importance to three factors fashion, quality and price. Although H&M sourcing/design team had all the required sophisticated design software and colour matching tools they still had to work really hard by…

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