Research On Optimization Of Purchasing Supply Chain For Loudi Zhongxing Hydraulic Components Co.Ltd

With the development of economic globalization and increasingly ifercecompetition among industries. Enterprises facing a more and more complex businessenvironment especially after the world economic crisis started in2008.Customersdemands more from the suppliers such as the lower price, the higher quality, bepunctual and fine service.How to satisfy the customers and to elevate the profits aswell as strengthen the competitiveness are the primary problems for enterprises.lt isurgent for enterprises to reduce the operation cost and fasten the market response.This paper firstly introduces the concept of supply chain, purchasing supplychain and the theoretical research in domestic and abroad, comparing and analyzingthe nowadays mode with the traditional one，highlight the characteristics andadvantages.Then take the Zhongxing company as a example,in this part,firstlyintroduce the basic situation of the company then analyze the current status of thepurchasing chain especially the purchasing procedure and the management of thesuppliers as well as the existing problems. Concerning the problems,applying relatedtheories to render the solution: firstly use the ASEM theory to analyze the purchasingprocedure and point out the not value-adding and delays then come up withprogressing and upgrading plans; secondly according to the present situation of thesupplier management, establish a comprehensive supplier evaluation system.Implementing the supplier development, selection, evaluation, and reinforce themanagement of suppliers, establish different relations of cooperation according toimportance and risk of the products supplied by the supplier. This paper focus on themanagement of the purchasing and supply chain in Zhongxing.I hope that this papercan improve the purchasing and supply chain management of Zhongxing and servedas a typical example for other enterprise.