Research On Improvement Of Production Parts Purchasing Management In Company DC

In the era of economic globalization,enterprises can choose suitable suppliers from the international market,either because of price advantages or for better quality products.Since China’s entry into the WTO,with its comparative cost advantages,China has rapidly developed and become stronger in the manufacturing industry.In various material processing industries,Chinese manufacturers have provided supporting facilities for many foreign capital assembly plants,accumulated technical strength and formed a certain scale,It provides more choices for foreign enterprises to purchase On the other hand,international procurement faces risks and obstacles.Due to the very long geographical distance,the differences in time,language and culture will lead to low communication efficiency,making the management of suppliers very difficult.Transnational transportation makes the delivery time very long and difficult to control,which is not conducive to the formulation of procurement plans and production plans,which will increase the potential cost.DC Company,an American manufacturer of dental medical devices,encountered procurement and supply problems when purchasing materials needed for production in China.On the one hand,the product market demand is good,and the company’s business has good expansion space.On the other hand,the material procurement cost is high,which reduces the operating profit.At the same time,the supply problem affects the production and operation,which can not guarantee the customer’s demand in a timely manner,which limits the development of the company’s business.The company urgently needs to start from the procurement management.On the basis of investigating the current situation and problems of DC Company’s procurement management,this paper analyzes the causes of DC Company’s procurement management problems by using the theory of procurement management concept and process,procurement strategy,procurement plan,procurement organization and supplier management,including single procurement strategy,long procurement lead time,and imperfect supplier management system,and accordingly proposes the optimization of procurement strategy,The procurement lead time optimization and supplier management system optimization and improvement plan has proved to be effective in the actual pilot operation.The case study has reference significance for the procurement management of other similar enterprises.