PDL is a tiny B2B business and it has got a big contract which never came before. It has got such a huge order unlike before. So as it got this contract it has to concentrate much on the control factors of stock. According to LAL in a B2B business the crucial factor to be considered is that stock control. It plays a vital role in such business which consist several operations of everyday.
There are some problems regarding supply management and others such as mediators. These threats might affect the stock system directly. At other side there will be a problem of excessive storage of stock. When there is a situation of funds not available. This yields additional storage costs to the organization.
When in the case of less stock the organization will get loss due to the shortage of sales. So the organization much concentrates on the balancing of above.
Nowadays there are many stock control systems which are used to control the stock values at the company.
According to Jacqueline PDS should adopt the new concept as re order stage. The level in re order stage is constant at each level. PDS will check out all the information regarding stock values in the data base. It also checks the information by considering the ROL issues. There is one thing to be considered. That is the barrier of ROL level, If a source material met the ROL level then it explains about the basics to increase the levels of stock.
Several issues such as purchase order confirmation, mechanisms about delivery of products to be clearly understood and applied by the staff of PDS. This procedure improves the inventory control upon the availability of products. As the count of source materials is increasing everyday the existing process or the manual control cannot up bring the business. Manual control is not sufficient for fast improvement in B2B business.
By considering the above features of stock control, PDS should adopt ROL (Re Order Level) in order to complete such big contract successfully within the time.