Operation Management - the End-To-End of Our Supply Chain

Application Assignment  

The End-to-End of our Supply Chain:

The steps are mentioned below,

1. Finalization of approved make list

Finalization of raw material vendors and Equipment manufactures before ordering. The vendors like pipe, pumps are fixed as per the approved list from client .Also quotations are asked from these approved vendors at the time of bidding of tender so that at the time of ordering of material there is no conflict.

1. Demand & Supply Planning

The vendors are developed and managed based on the anticipation that more orders will come from clients. Also planning for sales is done based on number of bids by business unit.

1. Processing of sales order when LOI comes

When the new project or job is received from client, job entry is made and information is passed on to different concerned departments.

1. Processing of Procurement Order

After receiving the order, Design & engineering department prepares the Bill of material and submitted to procurement department. Procurement Department releases PBOM (Procurement Bill of Material)

1. Purchase Requisition

The planning department releases the purchase requisition to the procurement team.

1. Vendor development / vendor management

For vendor development Procurement and quality department manages the vendors with procedures in place. The first step is that vendor has to register with L&T and then procurement department do the joint inspection of manufacturer factory and production procedure

1. Enquiry to vendors

The request for quotation documents which includes scope, material specification, data sheets are sent to vendors for quotation and supply of materials to different projects as per requirement.

1. Vendor finalization

After vendor gives the quotation, their quotations are evaluated and after negotiation with them orders are finalized.

1. Schedule finalization of construction

After that schedule of construction along with material schedule at site is prepared and finalized.

1. Construction

Construction starts after schedule finalization from client. This includes approval of all documents from client.

1. Planning & Detailed Scheduling

The construction is done based on the activities decided in monthly planning schedule which is finalized after discussion with clients of different projects.

1.  Supply of material by suppliers at site

During construction phase material and equipment are supplied by suppliers at site and payment is done to suppliers based on payment terms with them.

1. Bill processing

The invoices are raised to customers based on the milestones of construction activity.

1. Final document submission and payment release

The final documentation which includes submission of as built drawings is done by the site design team and after submission, payment is collected by site team.