Study On Improvement Of Purchasing Management On Company W

The purchasing management is not only the traditional manipulation management,it is also playing the strategic management function of the modern enterprise. Byimproving the purchasing management of enterprise, it will decrease the direct andindirect cost loss, bring cost saving, reduce lead time, improve the quality level andincrease the competitive power in the market.This thesis is based on the purchasing management situation of company “W”,analyzed the problems in the purchasing management, found out the solution, andanalyzed the actual effect.1) Reviewed the highlight history of company “W”. Base on SWOT, to analyzetheir disappointed current situation, and found out two big tasks in improving theirpurchasing management.2) Made a sample of Breather, to explain the raw material localization plans set upprocess. The plans are completed by using several tools, including the supplierselection tool, supplier audit tool and import price comparison tool. And I alsoemphasized that it is much more important for the foreign companies, to speed uplocalization process for the raw material.3) Base on the bad situation in both purchasing management and KPI performancein company “W”, to make up supplier performance improvement plans, whichincluding Supplier Business Review, Supplier Audit, Supplier Training, Localization,Supplier Consolidation, Relationship Management, Inventory Management, etc. Aftercompleted these plans, achieved the goals for shorting lead time, decreasing the stock,cost down, and improving the quality. At the same time, also improve the relationshipwith the suppliers, to get “win-win” long term cooperation.