7 Flashcards
Tactical purchasing -> Operation Purchasing 6 step
centralized/not centralized
Operational purchasing = NOT centralized
Tactical = Centralized
4 Impact of Purchasing and Supply management
- Financial
- Social
- Environmental
- Other (ex. public procurement)
Moving from operational to strategic view of PSM
Transaction orientation
Commercial orientation
Purchasing coordination
Internal Integration
External Integration
Value Chain Integration
Focus on price, decentralized
Focus on customer value, centralized
PSM maturity graph
(Complexity of supply, Importance)
Draw
4 main elements
type of item
Competitive Bidding (leverage items)
Partnership (Strategic Items)
Category Management/E-procur (routine items)
Secure supply (bottleneck items)
Going from domestic to overseas =
Going from In source to Outsource =
Offshoring
Outsourcing
Does outsourcing improve profitablity
conflicting research, management of outsourcing is what matters
Outsourcing matrix make-or-buy decisions
Strategic Importance, Level of competitiveness relative to suppliers
Maintain or invest opportunistically
In-house/Invest
Outsource
Collaborate