cross fuctional relationships Flashcards
What is the purchasing process?
A series of steps involved in acquiring goods and services.
What are cross-functional relationships?
Interactions between different departments to achieve common goals.
What does strategy alignment refer to?
The process of ensuring that purchasing strategies align with overall business strategies.
What is category analysis in the context of procurement?
A detailed assessment of specific categories of goods or services to optimize purchasing decisions.
What are supplier evaluation and selection?
Processes to assess and choose suppliers based on criteria such as quality and cost.
What is supplier risk and opportunity management?
Identifying and managing potential risks and opportunities associated with suppliers.
What are supplier selection tools?
Methods like weighted average and AHP exercises used to evaluate and select suppliers.
What is strategic cost management?
Analyzing costs and utilizing techniques like Monte Carlo exercises to manage and reduce expenses.
What is buyer-supplier negotiation?
The process of discussing terms and conditions between buyers and suppliers to reach an agreement.
What is supplier base management?
The strategy of managing and optimizing relationships with suppliers.
What is supplier relationship management?
The systematic approach to developing and managing supplier relationships.
What does responsible sourcing entail?
Procurement practices that consider ethical, social, and environmental factors.
What is services supply management?
The management of procurement processes for services rather than physical goods.
What is the strategic sourcing process?
A systematic approach to developing sourcing strategies, assessing suppliers, and managing relationships.
What does S&OP stand for?
Sales and Operations Planning.
Fill in the blank: Purchasing professionals should expect to run into some ______ when doing their job.
conflict
What does Sales/Marketing want from Purchasing?
Smooth operations, timely delivery, and innovative suppliers.
What does Production want from Purchasing?
Smooth execution, reliable suppliers, and avoidance of unnecessary changes.
What does R&D want from Purchasing?
Innovative suppliers and support for new product development.
What are potential conflicts in procurement?
Disagreements over trade-offs between cost, quality, and specifications.
What is a key method for reducing conflict with internal customers?
Building strong, productive relationships.
What is the importance of due diligence in procurement?
Understanding user requirements, supplier capabilities, and assessing risks.
What is the compliance conundrum?
Challenges faced in ensuring procurement practices adhere to regulations and policies.
What should be included in an organizational analysis?
Context, relevant information, internal/external forces, stakeholders, conflicts, and main issues.
What is the main issue in communicating procurement strategy?
Ensuring all stakeholders understand and align with the procurement objectives.
