I need help responding to my professor

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Here is my original post:

  • Being a small-business owner such as a custom framing store, a restaurant, a garage, or a specific small local business of your choice, apply the basic supply management principles to the acquisition of services.

Different services and products are always acquired from different suppliers. If my restaurant business has many suppliers, the costs are often lower since those numerous suppliers compete to provide services for the business by reducing their prices to have a competitive advantage over each other. Having suppliers who can deliver the goods and services within a short notice also enables the business to reduce the cost of maintaining an extensive inventory hence lowering the overall cost.

  • Discuss the trade-offs of quantity, quality, and cost in a small business such as a custom framing store, a restaurant, a garage, or a specific small local business of your pick

The small restaurant business will be more focused on providing goods and services of the best quality for the consumers at competitive costs since the business owners have a vested interest in the business. The most strategic trade-off, in this case, would be to provide high-quality services and products at a low price. However, this can be done to attract more customers who may turn out to be loyal to the restaurant in the end.

  • Planning systems such as MRP and CRP might be overkills for a small-business owner. Devise a simplified version of an MRP and/or CRP such as a supply planning chart or a supply planning template for a small local business. A local small business could be a custom framing store, a restaurant, a garage, or a specific small local business of your pick.

Supply PLanning Chart

References

Chartered Institute of Procurement and Supply. (2018). MRP / CRP – The Chartered Institute of Procurement and Supply. Retrieved from https://www.cips.org/en/knowledge/procurement-topi…

Council of Supply Chain Management Professionals (CSCMP). (2018). Supply Chain Management Concepts. Retrieved from https://cscmp.org/CSCMP/Develop/Starting_Your_SCM_…

Here is my professor response to my post:

Why is it important to know inventory levels, reorder thresholds, and lead times? What other data elements can help provide an efficient push-pull supply chain? What are the costs of having too much inventory on the shelves and what are the costs of not having enough inventory on the shelves? How are profits increased when there is a proper balance in the inventories?

Can you explain your chart and how it would be used? How is it considered a MRP? How did the definition and examples of MRPs help you develop this one?