Procurement Management Research Of Bank Z's Gift Business

With the increased globalization of Chinese economy, the Ministry of Finance issued the "Several provisions on strengthening the state-owned financial enterprises centralized purchasing management". Then, centralized purchasing procurement management model has been promoted inside around the financial system. Each financial enterprise has established centralized procurement department or centralized procurement office, set up new purchasing management system and operation processes, so that the purchasing operations can be standardized, specialized and regularized, finally the goals of cost saving the risk prevention can be achieved.This thesis focuses on the optimization of bank Z's gifts purchasing management. Firstly, the problems of the purchasing management system and operation processes are analyzed. Gifts purchasing activities are affected by timelines, personalization and culture differences, each branch is purchasing individually according to preferences of the local customers; so they are faced with many difficulties such as different quality, supplier selection, management difficulties, increased purchase cost. Then, the particular improved actions for purchasing management are provided, i.e., to improve the purchasing regulation and standardize the operation processes, clarify the management responsibilities. Now, the head office will conduct the purchasing activities all over the banks. Electronic purchasing operation has also been adopted. The supplier resources management is strengthened by collecting the purchasing needs strengthen and setting up the supplier data base for regular supplier evaluation and assessment. Gifts storing and delivering has been integrated, and the distribution has been conducted by the logistic company. With these changes, the integration level of Bank Z has been improved; the procurement department takes more responsibilities on strategic purchasing, value creation and risk control. Moreover, the purchasing function is gradually changed from the cost center into profit center, which is the new development trend of integration procurement management.