Sichuan Changhong Electric Co., Strategic Procurement Management Research

With the rapid development of modern society, the competitions among enterprises are becoming fierce gradually, cost control has become the lifeline of business. It has proved that the percentage of procurement in sales revenue is about 50%~60% for more than 70% of enterprises. How to reduce cost to improve the competitiveness of enterprises, procurement management is clearly one of the key. Data show that: For most enterprises, reducing 1% of the total cost of procurement, the profit will increase more than 8%! This is the largest leverage for corporate governance. As an important part of modern enterprise management, strategic procurement is the direction of development of procurement, and has played an important role in the optimization of supply chain and the development of enterprises.Combining current actual condition, this thesis has a research for strategic procurement management of Sichuan Changhong Electric Co., Ltd(hereinafter called"Sichuan Changhong")through the applications of supply chain management etc, and makes a thorough analysis for current procurement management of Sichuan Changhong. It also advances suggestions on improvement of enhancing development and management for suppliers, and designs the system for the selection of purchaser and performance evaluation. This thesis research strives to solve main problem in each aspect of price, cost, delivery and storage.The purpose of the research on the subject aimed at the construction of a reference model of strategic procurement for other manufacturing companies, as well as the case and theory for the implementation of strategic procurement management. The operation is feasible.