S12 - Purchasing and Logistics (une lecture du PP suffit donc pas complet)

Question 1

What are the objectives of the purchasing function?

Answer 1

Satisfy the internal needs of goods and services, considering the following:
- The required quality level
- The required quantity
- The required delivery lead time
- The location where goods or services are required
- At the least possible cost

Question 2

What is the #1 reason to centralize?

Answer 2

There are a few (control, etc.) but mainly economies of scale

Question 3

What are the lean trends in purchasing?

Answer 3

• Long term relationship
• More than price as supplier selection criteria
• Emphasis on the total cost of ownership (TCO)
• Quality inspection at the source (ex.: ISO9000)
• Automation of processes and information sharing

Question 4

What are different challenges of the supply crisis (ex.: pandemics, wars)?

Answer 4

• Costs of raw material increase
• Costs of transportation and logistics increases
• Major increases in delivery lead times of inputs
• Unpredictability of deliveries
• Shortages of certain materials
• Offloading of smaller customers by suppliers

Question 5

What are the impact of the crisis?

Answer 5

• Price increase
• Inventory increases, from “just in time” to “just in case”