Facquier Gas Company

Attached completed Case Study #2 as a MS Word document in the assignment area of the lassoer – Case Study #2. Mr..

Murphy, the manager of supply management is responsible for procurement for Figurer Gas Company. Mr.. Murphy specializes in the procurement of materials used in gas distribution such as pipe, meters, fittings, furniture systems and forms, stores management, and materials forecasting and control. A situation has occurred when it has come to the attention of Mr.

. Murphy that he has understood that Clive Byers, the construction project manager is working on adding an extra 3 h miles of new gas lines for the Figurer Gas Company.

Mr. Murphy has a ewe concerns about the procedures and the pipe specification. Mr..

Murphy is asking a “purchase request” from Byers to be sent in good time as the lead time can slow the project down, thus wasting money and time. This requires getting quotations, contacting suppliers and delivery times and it looks like Byers schedule does not give Mr.. Murphy enough time to ensure the procedures are carried out correctly. The process also involved ensuring that the purchase request is approved by two units, the design engineer Pat Wilson for approval and the pipe specification Sam Law. Mr.

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Murphy contacted Pat Wilson regarding the pipe specification of the standard wall thickness of “3/4 inches and 37 feet long had changed to 3/8 inches and 40 feet plus or minus 5 feet. ” (Hood, J. ) Murphy was concerned when Wilson stated that the project would be “governed by less stringent specifications if the wall thickness was 3/4 inches” and also that Wilson did not get the specifications for the wrappers to be applied to the pipe and stated that ‘Figurer had used two types of wrappers?coal tar and pry-tech. ” (Hood. ) Murphy is the manager of supply management is responsible for procurement for

Figurer Gas Company and has every right to question Clive Byers actions.

Mr.. Murphy has identified that there is a problem with the pipe specifications, as ‘specifications and standardization play important roles in the search for the right quality and the right value. ” (Burt. 2009) Murphy is concerned that this deviation in in size and length of the gas pipe could potentially cause conflicts in “engineering, manufacturing, marketing, and supply management.

” (Burt. 2009) I can identify that there is a problem with communication, lack or procedures and Byers seems to Morning on his own instead of being part of a cross functional team.

The process of building pipe lines requires several teams to approve piping specifications and design, Byers seems to be misunderstanding of the company’s procedures and standards and is not meeting the standard piping specifications and is lowering the standards of Figurer by taking less stringent specifications for the new piping. The “all thickness is an issue and the length of pipe might cause problems in construction and Murphy’s role as a supply manager is important that all materials meet the “specifications and standards set by the company, they must be “functional, recipe and complete. ” (Burt.

009) If the pipe is substandard and an accident occurs, life and property could be at risk, this would definitely cause a dispute between “the purchaser and the supplier. ” Mr. Murphy would have have gone through the correct procurement procedures to seek a supplier and settle a contract. Mr. Murphy’s Job is to make sure the buying policies and practice I would recommend that Murphy contact Mr.

. Charlie Buck, the design superintendent of Figurer in a timely manner to make sure that the change of specifications is acceptable and or to make the management aware that the piping standard is being reduced.

Mr. Buck needs to improve the communication and team work, this could be sorted by more meetings regarding procedures or training. There is a time management issue by Clive Byers, as he clearly doesn’t understand that purchase request may have lengthy lead time Inch could potentially slow down the business processes.

This needs to be addressed by upper management to make sure that Byers submits the purchase request in a timely manner, as he is now potential adding weeks to the project. I Mould recommend that Mr..