Background on Pinewood studios Wales
Supply Chain Management
Pinewood Studios Wales

The creative sector of the economy is deemed to be an important sector for Wales. The creative sector is designated as a strategic priority for Welsh Government and is one of six supported sectors. “In Wales, the sector provides employment for more than 30,000 people in over 4,200 enterprises and generates over £1.8bn annual turnover”. ( lang=en)
In February 2014 Welsh Government announced it had been successful in attracting Pinewood Studios to invest in Wales.
“Iconic film company Pinewood Studios is to create a ‘world class studio’ in Wales. Pinewood Studio Wales will be created at the former Energy Centre building at Wentloog, Cardiff, and will form part of Pinewood’s global network of film studios.” (Wales Online Feb 2014)

“An estimated 2,000 jobs are due to be created by the new studios, which could inject around £90m into the country’s economy per year according to the Welsh Government. This will pay for the studios’ set-up costs before they are leased to Pinewood for a minimum term of five years.
Economy Minister Edwina Hart described the first film to benefit from the Media Investment Budget as a groundbreaking step for the future of Welsh film-making.
She said: “I am very pleased to see Take Down become the first feature film to receive funding through the Media Investment Budget.
“Wales has a growing reputation for film and television production and, working with Pinewood Pictures, we want to see even more projects coming to Wales.
“Through this new fund we will invest up to £30m into projects brought forward by Pinewood to help create growth and jobs in this industry.”
Pinewood Pictures is the name of the organisation’s investment vehicle due to advise on the process of giving cash to qualifying projects – 50% of which must be filmed in Wales if they are to be eligible.
The £30m pot of funding will be spread out over the next five years, with around seven projects a year to get a share of the cash on offer.
In addition to the 50% filming rule, 40% of project spending must be with Welsh-based creative industry firms and the wider supply chain, from caterers to special effects artists.
An external auditor will be appointed to ensure the projects chosen provide value for money and comply with spending rules.
Steve Christian, director of Pinewood Pictures, echoed the sentiments voiced by Edwina Hart and said the country was securing its reputation within the film industry with the new plans. He said: “We are delighted to see such immediate results, which is testament to Wales as a first-class filming destination, and the decision by the Welsh Government to create a £30m Media Investment Budget. (Wales Online June 2014)
Assignment 1 Written Group Report
You are to assume the role of a consultant

• To: Pinewood Studios Wales
• From: Business Consultant
• Subject: The 6 Rights in relation to Pinewood and lighting equipment film in Pinewood studios wales

Prepare a report that describes & explains (using relevant examples,) how the 6 Rights impacts on Pinewood Studios Wales, refer to the material in the module and the recommended text, evidence of some academic research will be expected. At no point are you to contact Pinewood or the Welsh Government.

• 1.0 Introduction (Brief!)
• 2.0 Findings
• 2.1 Right Item (Specification)
• 2.2 Right Quality
• 2.3 Right Price (Cost) = 205 words Mix !!
• 2.4 Right Quantity
• 2.5 Right Time = 205 words Mix !!
• 2.6 Right Place (Source and Physical Location)
• 3.0 Bibliography & References (Do Not Submit your assignment without one)
(To writer)

Each member of our group has chosen part to do. And I choose two parts to write about it that are Right Price (cost) and Right Time. And two parts must be 205 words maximum for (price and time) so the total will be 410 words for two parts without references list. The following section, I will attach the scan paper of explanation that teacher explained to one member of our group but it does not relate to mine parts and does not have all information. It will give you an idea how to do my parts.


• Remember to use authors to support a view point, and if you are making judgments please underpin with credible academic authors.“One of the best ways of demonstrating research & reading around the subject is to use quotes/paraphrasing.”

• please use headings and sub headings, it helps with structure and makes it easier to mark.

• Harvard reference system must be used throughout.

• This is a group assignment.

• Use 12 font – double-spaced.

• Correctly referenced journal and textbook articles and relevant research will add value to your assignment.

• Remember this is an academic piece of work and you can use credible non academic sources, but the majority must be academic. (I don’t wish to see www. as your only sources!!).

• You should be using textbooks in the first year and this should be reflected in your bibliography & references.
• Important: use these two books to read it and reference your work and their reference are:

Jones, D., Baily, P., Farmer, D., Jessop, D. and The Chartered Institute of Purchasing (2004) Purchasing, principles and management. 9th edn. Harlow: Financial Times/ Prentice Hall.
Inline Citations:(Jones et al., 2004)
Lysons, K. and Farrington, B. (2005) Purchasing and supply chain management. 7th edn. Harlow: Financial Times/ Prentice Hall.
Inline Citations:(Lysons and Farrington, 2005)
(To writer: please search for correctly journal and textbook articles that relative to this subject and add more good academic reference please)

Harvard references system:
*Only use the authors sir name and date. For example:
Johnson & Scholes (2001) suggests “Strategy is outdated and I still make you pay 40 pounds for my text book.”

* Page numbers and source go into bibliography and references.

*If there are more than 3 authors, then simply use the lead authors name and et-al after. For example:
Kotler et-al (2005) state: “………………………”

*If the quote you are typing is larger than 20 words then it should have a line of it’s own, if not then integrate this in the current paragraph. For example:
Rugman & Hodgetts (2004) suggest:
“Language is critical because it is the primary means used to transmit & interpret information & ideas. A knowledge of the local language helps in three ways.”

(To writer: I will attach Harvard reference guide and please make sure that you follow this guide)
(To writer) This tutorial to gain some ideas, please read it:

An Introduction to Purchasing

“Organisational purchasing is the process by which organisations define their needs for goods and services, identify and compare the suppliers and supplies available to them, negotiate with sources of supply or in some other way arrive at agreed terms of trading, make contracts and place orders and finally receive the goods and services and pay for them.” (As stated in Baily)

Quite a bundle of objectives for you to absorb! I’ll take them one by one and examine them in more detail.

The Role of Purchasing

“Define their needs for goods and services”
What kind of goods and services are required This will depend on the organisation. Its needs will be determined by the activities it is involved in and its style. For example a manufacturer’s needs will be very different from a service organisation such as a bank.
When are the goods and services required An item required for a large project such as a generator for a power station may be a single purchase and must be delivered on a specified day. Whilst an insurance office’s printers/photocopier will require a constant supply of paper at regular intervals. These varying needs will require different ways of purchasing.

“Identify and compare suppliers and supplies available”
Not only identify suppliers, but also you must find out if they can meet our quality standards. Can they supply the quantity at the time we require it Is it the right price
Other departments will become involved in these assessments. Quality must be appropriate for use required. Design engineers will define the quality requirements for the generator I mentioned previously whilst the various people might have a say in the quality of the printing/photocopying paper. Delivery time will be determined by the user; the construction engineers will decide when the generator is required. Accountants and marketing department will be interested in the price of an item for the manufacturing process.

How can we compare suppliers Will they meet the promised delivery date Will the Item come up to the quality we require You will look at their past performance if you have purchased from them before. But this requires you to keep records so as not to rely on memory. You will also need to keep up with their current performance. How good is their reputation with other customers

“Negotiate to agree terms of trading & placing an order”
Having selected a potentially good supplier your task now is to discuss the details of your trading relationship. How will the quality of the supplies be controlled What standard must they meet If they fail you will have the right to reject the goods. What are the tolerances on the dimensions The engineers will help you here. When will they require you to pay them Once a month Every two months You will negotiate this; they may offer a discount if you pay on the due date or by BACS.

Will they deliver the generator, or do you own your own transport for frequent movement of heavy items which you wish to use What time of day will the delivery be made You may require an overnight delivery, ready for the next day’s production.

“Receive the goods and services”
You must ensure that facilities are available to receive the goods you have ordered. In a large organisation they are usually delivered to the stores. They must be checked. Have you received the right quantity Are they in good condition or have they been damaged

The storage conditions you provide must be suitable. Can they be left outside or must they be under cover How will they be transported to point at which they will be used

Receipt of the goods must be recorded; this may mean that you need to get the items checked to ensure it conforms to your standards.

Payment for goods and services
You must ensure that all the terms and conditions of your trading agreement have been met before giving the accounts department approval to pay for the goods.

As mentioned previously, you require other departments to check the goods conform – even if it is simply – has the supplier sent the correct item
If you find the item is damaged or does not meet the standard required and requires remedial work you must negotiate over the cost and mechanism of remedy.

Summary: The purchasing function’s role is to obtain goods, work and services on behalf of the organisation but it has a wider range of responsibilities including:

Ensuring standards
Evaluating the supplier
Stores support activities
Purchasing checking systems

The aim of purchasing is to achieve value for money which can be summarised as the: (look at the effect on the business)

1- Right Item 4- Right Place
2- Right Quality 5- Right time
3- Right Quantity 6- Right Price