A Research On Purchasing Management Of Manufacturing Firms In The Supply Chain Management Environment

With economy globalization, technology development and frequently change of customer demand, companies are facing a bloodier competitive atmosphere whose characteristics are lower profit, expectation to higher product quality and shorter lead time by customer. As an important external resource, supply chain has become more strategic. The competition among companies has evolved to the competition among supply chains. Influencing the main process of upstream supply chain and all the fields of organization, purchasing function has been more and more important. At the same time, for majority of manufacturing companies, material cost has been the main cost, and usually occupies 40%~60% of the whole cost of manufactuers. As each cent saved in purchasing can become profit directly compared to other fields, the great leverage of purchasing to company's profit makes the importance of purchasing higher.At present purchasing is still a development bottleneck to the majority of companies in our country. Purchasing usually occupies much capital, ensures the continuity of production by high stock and high cost, and is dependent on many other functions with bad information share and bad execution efficiency. The traditional purchasing mode of purchasing for stock, multi supply sources, focus on price, more competition with suppliers than cooperation, has gone more and more against companies'development. To enhance competence, company should execute effective management of purchasing, and of those key fields such as...