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Study On The Strategies Of Decreasing The Purchase Cost Of Material For Chinese Petrolic Enterprises

Posted on:2007-12-01Degree:MasterType:Thesis
Country:ChinaCandidate:L YuFull Text:PDF
GTID:2189360242962577Subject:Business Administration
Abstract/Summary:PDF Full Text Request
Petroleum is a nation's strategic material. With China's entry to WTO, our petrolic enterprises are facing fierce competitions at the international markets. The high cost of exploiting crude oil has severely hampered the competitiveness of our petrolic enterprises. Since purchase has played a significant role in running costs of petrolic enterprises and it is also the key factor for petrolic enterprises to gain competitive edge, it is of great significance to study low-cost purchasing strategies and apply right strategies to purchasing management.This paper consists of five chapters. The first chapter deals with background of the topic, objective of the study and methods of the study. The second describes purchasing concepts, functions, modes, prices, costs and the related supply chains, and clarifies that low-cost purchase not equivalent to low-price purchase. The third states that petrolic enterprises are manufacturing enterprises, but different from general producing enterprises. The materials purchased by petrolic enterprises are numerous in variety and item, and big in volume. Meanwhile, the construction sites are widely scattered. There's no well-established purchasing management system. So it's very hard to carry out overall low-cost purchase. The fourth chapter and fourth chapter is based on the theory of the second chapter. It puts forward several low-cost purchasing strategies: collective purchase, e-purchase, supply chain purchase, zero-defect suppliers as well as anti-corruption etc. It also discusses the points to implement each strategy, the effects obtained, and issues to bear in mind. To be emphasized, each strategy is not independent of one another. Petrolic enterprises are different from general producing enterprises. Different petrolic enterprises adopt different strategies. Each enterprise should adopt different combination of strategies according to their own characteristics and the materials to be purchased.
Keywords/Search Tags:Petrolic enterprises, Decrease the cost of purchase, Collective purchase
PDF Full Text Request
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