The Purchase Department is the heart of a Manufacturing Industry. An effective inventory management is a major initiation that drives an organization towards success. Most of the investments are being done here. Hence it is very important to efficiently manage the stock. The job of a purchase department is to check for available resources against minimum stock quantity. At the same time they should not exceed the limit. The materials inward and outwards analysis are done to make sure your products/raw materials are being used efficiently and not occupying your store space for a long time.
The other major purpose of the purchase department is to make all the purchases done in prior and avoid the last minute hassles. Imagine a situation where you get several orders at the same time. While checking the inventory you are running out of resources. It is a challenging task to approach & negotiate with different suppliers to get the purchase made within a short duration. This in turn affects your production resulting in delay on delivering the orders. Of Course this would be a nightmare and no one ever wants to face this.
