Senior Manager Purchase Interview Questions and Answers

Min-max-rol level for inventory is defined based on demand, lead time, and safety stock.

• Min level is the minimum quantity of inventory required to avoid stockouts.

• Max level is the maximum quantity of inventory required to avoid overstocking.

• Rol level is the quantity of inventory to be ordered when the stock level reaches the reorder point.

• Demand, lead time, and safety stock are the key factors to determine the min-max-rol level.

• Demand forecasting helps to estimate the require...read more

To improve savings, we will focus on optimizing our procurement processes, negotiating better deals with suppliers, and implementing cost-saving measures.

• Conduct a thorough analysis of our current procurement processes to identify areas for improvement

• Negotiate better prices and terms with our existing suppliers

• Explore new suppliers and products to ensure we are getting the best value for our money

• Implement cost-saving measures such as bulk purchasing, standardization of prod...read more

I will improve productivity by implementing efficient processes and utilizing technology.

• Analyze current processes and identify areas for improvement

• Implement automation and technology to streamline tasks

• Provide training and support to employees to increase efficiency

• Set clear goals and expectations for productivity

• Regularly review and adjust processes to ensure continued improvement

VMI stands for Vendor Managed Inventory, where the supplier manages the inventory of the buyer.

• VMI is a supply chain management technique.

• The supplier is responsible for monitoring and replenishing the buyer's inventory.

• The supplier has access to the buyer's inventory data and manages the inventory accordingly.

• VMI helps in reducing inventory costs and improving supply chain efficiency.

• Examples of VMI include Walmart's collaboration with P&G and Coca-Cola's collaboration with ...read more

Our annual capacity is X units and we have Y plants located in Z cities.

• Annual capacity is X units

• We have Y plants located in Z cities

• Our plants are equipped with state-of-the-art technology

• We have a dedicated team of professionals to ensure smooth operations

Pull system of procurement involves ordering goods only when needed to reduce excess inventory and waste.

• Pull system focuses on demand-driven procurement

• Orders are placed based on actual consumption or sales

• Helps in reducing excess inventory and waste

• Examples include Just-in-Time (JIT) inventory system