Cable Purchasing Management Of Electric Power Engineering Z Company

Under the circumstance of implementing the electric power reform in China,the profit margin of electric power engineering is gradually reduced due to the increasingly competition among the electric power engineering industries which compelled the engineering enterprises to struggle for survival.For electric power engineering enterprises,the procurement cost of engineering materials and equipment account for 60%-70% of the total project cost.So that,in order to maintain competitive advantage,electric power engineering enterprises urgently need to conduct a suitable purchase management strategy to reduce procurement costs and control procurement risks.In this thesis,cable,the largest amount of engineering material with the highest purchase amount of Z Electric Power Engineering Company,was took as the research object.By studying the present situation of Z Company's purchasing management,supplier management and inventory management,it is concluded that the problems as high purchasing cost and high risk existed in Z Company's cable purchasing management.This thesis proposes hedging strategy,supplier classification management strategy and inventory management strategy and combined them together to improve Z Company's cable purchasing management.This thesis conducted the cross-hedging strategy,supplier classification management strategy and inventory management strategy in Z Electric Power Engineering Company and successfully reduced the procurement cost and controlled the risk,which has a certain reference value for the peer companies to solve the similar problem and maintain competitiveness in the competition.