Seance 11 Flashcards
Profit impact of purchasing as compared to necessary revenue growth (PI)
PI= (PC x PCR) / EM
PC : purchasing cost in % if revenue
PCR: purchasing costs reduction
EM: Ebit margin
Sourcing
Trouver des fournisseurs
3 sourcing decisions
1- local
Fast response time due to location
Regional identification
2- domestic
Better price and wider variety
Because increases competition at a national scale
3-global
Highest competition : best prices and variety
Trade-off long lead Times, communication etc
Best buyer supplier relationship
- Porter: «réduction of purchasing costs goes by installing competitors in the supply base and sourcing from multiple suppliers
- Deming : «optimal cost solution determined by of the input: obtained through close and long lasting B-S relationship»
4 basic soulier stratégies
- partner hip
- contracting
- e-procurment
- competitive bidding
Supplier strategy : Partnership
Create mutual commitment in LT relationship
Suitable for : strategic products
Supplier Strategy: contracting
Reduce supply risk
Bottleneck product (natural flavors)
Supplier strategy: e-commerce
Reduce logistics strategy
Improve operational efficiency
Routine products
Competitive bidding (supplier strategy)
Obtain best deal
Leverage products (commodities)