Research On Cost Control For Components Purchasing-Daimler Greater China

With the rapid development of China's economy,more and more companies choose to invest in China.Therefore,it hence the strategic position of China among the multinational companies.In recent years,the competition of automobile market is becoming more and more fiercely,a lot of OEMs are cutting down their prices to increase their competitiveness of the market.At the same time,due to the external environment,the increase of the raw material prices,labor costs,the component cost of vehicles is too high to control.Auto giant competition mainly reflected on their cost,the lower cost,the higher the profit.The 60%-70% of the cost for the vehicle belong to spare parts procurement costs.Thus,a good control of purchasing cost can mainly influence the total cost of the whole vehicle.And the purchasing cost control depends on the efficiency of enterprise internal procurement,supplier management method,strategic and cooperative relations between the OEMs and suppliers.So about the components purchasing,there are too many complicated factors,to implement effective cost control is not really easy.This article obtains from the automobile parts procurement,stand in the Angle of the spare parts purchase cost,to explore the way and method of enterprise cost control.Through the understanding of procurement,procurement cost management related theory it enhanced me the understanding of the purchasing function.At the same time,by analyzing the purchasing cost and purchasing cost control methods,such as industry commonly used method and target cost,effective cost control method of concrete thinking.Combined with my experience in Daimler China and the actual situation of Chinese companies in procurement function,I pointed out the existing challenges that purchasing cost control is facing,the problem in the work,and specific analysis.Corresponding cost control method is put forward from different angles,such as from the perspective of the procurement of strategic cooperation plan,from the perspective of the cost control of cost optimization Suggestions,etc.And between the OEMs and suppliers to find a scientific system approach to reduce cost,create a win-win cooperation mode of OEMs and suppliers,to make the work of purchasing cost control more detail,more standardized and the purchasing system more systematic.Hope that through this article,you can have more in-depth understanding of the actual procurement practices and has a certain reference guide to the future work.