Southern California Edison's Supply Chain Management (SCM) organization is responsible for SCE's supply chain strategy. The supply chain consists of the activities associated with procurement, storage, distribution, and final disposition of the goods and services the company needs to do business. SCE utilizes many industry best practices and other strategic practices to help achieve its procurement and material management goals.
SCM's Primary Functions
- Procurement
- Supply chain strategy
- Acquiring services and commodities
- Warehousing
- Inventory management
- Material transport
- Distribution
- Disposal
Procurement
SCM's procurement function is to acquire the goods and services SCE needs to conduct business.
Purchasing decisions are based on value as measured by cost, quality, and service.
SCE's procurement goal is to implement contracts with sensible terms and conditions that decrease acquisition, ownership and disposal costs, ensure compliance with regulatory guidelines, and promote supplier diversity. SCE purchasing practices are carefully monitored by a variety of regulatory agencies such as the California Public Utilities Commission and the Federal Energy Regulatory Commission.
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The material management function is to ensure the ready availability of an optimal supply of material (such as transformers, cable, meters, etc.) that SCE needs to provide customer service, and perform maintenance and repair on its electrical equipment.
SCE uses a variety of strategies to ensure material availability, including internal stocking, capacity planning, consignment, and others.
SCM's material management function also includes coordination of deliveries of materials and managing the disposal and reclamation of salvageable material.
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