Re-engineering Procurement Procedure Of HM Textile Effects

Optimization and reengineering of the business process is based on the enterprise’slong-term development strategy needs, using valued added and process design as basis, thebusiness process reengineering emphasizes the proper use of information technology andestablishes rational business processes. Thus, the process enables enterprises to adapt to thechanging environment and competition. The modern enterprise has a clear realization that tosucceed in the competitive international market, one must constantly optimize and improvethe enterprise’s existing business processes and build a set of efficient and effective processsystem.The procurement procedure is an important component of an enterprise’s businessprocedure. The optimization of the procurement procedure can reduce product cost and raisethe profits of enterprises. It has been more and more recognized by enterprises. As thepurchasing strategic position escalates, its influence on whether the enterprise can winamong competitors becomes more important. HM, a multi-national corporation, its TextileEffects division is facing increasing pressure in the market. The enterprise should continuallyrestructure and reengineer its business process to improve purchase management asoptimizing the procurement procedure is the key to improving the enterprise’s profitability.This paper will use HM Textile Effects division as the research object, primarily studying theprocess reengineering of the purchasing department. Through theoretical research and casestudies and proposing the corresponding optimization scheme for future purchases, thispaper hopes to be a useful basis for future purchase decision making.The full text is divided into six chapters, the first chapter mainly elaborates theprocurement procedure reengineering research background and significance of the topic athome and abroad introduces the framework of this paper. The second chapter introduces thefundamental theory of business process reengineering and procurement management. Thethird chapter introduces and analyzes HM Textile Effects procurement organization and thebasic situation, including the existing management mode and process problems. The fourthchapter uses BPR theory and lays out an execution plan on purchasing organization restructuring, orders and procurement process reengineering, and purchasing informationcommunication link optimization. The fifth chapter summarizes the process optimizationreconstruction after effect and its difficulties. The sixth chapter summarized the study in thispaper and points out the future research direction and prospect.