Research On Optimization Of Procurement Flow Management Of R Decoration Engineering Company

As we all know,the period of China's rapid economic growth has come to an end,and a relatively stable "new normal" stage has arrived.A series of serious problems,such as insufficient demand,overstock of inventory and decline of profits,will bring great challenges to the survival and development of many enterprises in China.Especially some small and medium-sized enterprises hovering on the "survival line" are particularly serious.In such a fierce competitive environment,if enterprises want to "survive and develop",they have to make changes."To sell for income,to purchase for profit" will become an inevitable choice for many enterprises to survive and develop.As one of the most effective means of cost control,procurement management is bound to get the attention of enterprises and managers.Good procurement management not only determines the purchase cost of enterprises,but also directly affects the quality of products,delivery time and goodwill of enterprises,and then affects the competitiveness of enterprises in the market.Moreover,the selection of suppliers and the development of supplier relationship in procurement management are directly related to the core competitiveness and business status of enterprises in the industry system.Therefore,how to make use of relevant theories and methods to make purchasing management play a real role,and to give full play to the value of purchasing and the potential of suppliers is an important link for enterprises to control.In order to make the purchasing management play a real role,we need to conduct in-depth research and Discussion on the whole purchasing management process system.Generally speaking,procurement cost is an important part of a company's cost expenditure.The procurement cost of most manufacturing enterprises determines more than 60% of their sales revenue.In the construction and decoration industry,procurement costs also account for more than half of the expenditure,which is the most used part of the company's funds in the process of project construction.Therefore,we must pay enough attention to it.In this paper,the purchasing process management of R Decoration Engineering Company is studied and discussed in depth.By using ASME method,fishbone diagram method,ECRS principle and ABC management principle,the problems existing in the purchasing process management of R Company are analyzed and improved.In order to optimize the purchasing process of R Company,reduce the cost of decoration engineering,and effectively control the purchasing process.It is of great significance in the aspect of manufacturing cost.