SlideShare une entreprise Scribd logo

Ch02 purchasing management

•
•
Hemant Kr
Hemant Kr

The document discusses key concepts in purchasing management including the purchasing process, sourcing decisions, supplier selection, and purchasing organization structures. It describes the role of purchasing in ensuring supply of materials at lowest cost while improving quality. The purchasing process involves requisitions, requests for quotation, and purchase orders which can now be done electronically for improved efficiency. Sourcing decisions evaluate making vs. buying based on factors like cost, capacity, expertise. Selecting suppliers considers criteria like quality, cost, reliability. Global sourcing provides opportunities but also challenges in dealing with international issues.

Formation
1  sur  21
CHAPTER 2- PURCHASING MANAGEMENT Prof O S Rao
Learning Objectives ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Learning Objectives- Cont. ,[object Object],[object Object],[object Object]
Chapter Two Outline ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Introduction ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
The Role of Purchasing in an Organization ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
The Purchasing Process ,[object Object],[object Object],[object Object]
The Purchasing Process- Cont.
The Purchasing Process- Cont. ,[object Object],[object Object],[object Object],[object Object],[object Object]
The Purchasing Process- Cont. ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Small Value Purchase Orders ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Sourcing Decisions: The Make-or-Buy Decision ,[object Object],[object Object],[object Object],[object Object]
Sourcing Decisions: The Make-or-Buy Decision- Cont. ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Sourcing Decisions: The Make-or-Buy Decision- Cont. ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Sourcing Decisions: The Make-or-Buy Decision- Cont. ,[object Object]
Roles of Supply Base ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Supplier Selection ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],The process of selecting suppliers, is complex and should be based on multiple criteria:
How Many Suppliers to Use  ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Single-sourcing- a risky proposition. Although trends favor fewer sources, avoid single source.
Purchasing: Centralized vs. Decentralized   ,[object Object],[object Object],[object Object]
Purchasing: Centralized vs. Decentralized     ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],A hybrid purchasing organization - both decentralized at the corporate level and centralized at the business unit level may be warranted.
International Purchasing/Global Sourcing ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]

Recommandé

Supplier Relationship Management
Supplier Relationship Management Supplier Relationship Management
Supplier Relationship Management
mubarak2009
 
Purchasing and Supply Management
Purchasing and Supply ManagementPurchasing and Supply Management
Purchasing and Supply Management
Zamri Yahya
 
SUPPLY CHAIN MANAGMENT INTRODUCTION
SUPPLY CHAIN MANAGMENT INTRODUCTIONSUPPLY CHAIN MANAGMENT INTRODUCTION
SUPPLY CHAIN MANAGMENT INTRODUCTION
praveensureshpai
 
Purchasing ~Sourcing
Purchasing ~SourcingPurchasing ~Sourcing
Purchasing ~Sourcing
Anand Subramaniam
 
Supply market analysis
Supply market analysisSupply market analysis
Supply market analysis
sonictwinkler
 
Procurement and Sourcing Strategies
Procurement and Sourcing StrategiesProcurement and Sourcing Strategies
Procurement and Sourcing Strategies
Shaikh Mahmood
 
Effective Supplier Relationship Management
Effective Supplier Relationship ManagementEffective Supplier Relationship Management
Effective Supplier Relationship Management
Tejari
 
CHAPTER 1 introd to strategic procurement.pptx
CHAPTER 1 introd to strategic procurement.pptxCHAPTER 1 introd to strategic procurement.pptx
CHAPTER 1 introd to strategic procurement.pptx
ruthnyiramahoro
 

Recommandé

Supplier Relationship Management
Supplier Relationship Management Supplier Relationship Management
Supplier Relationship Management
mubarak2009
 
Purchasing and Supply Management
Purchasing and Supply ManagementPurchasing and Supply Management
Purchasing and Supply Management
Zamri Yahya
 
SUPPLY CHAIN MANAGMENT INTRODUCTION
SUPPLY CHAIN MANAGMENT INTRODUCTIONSUPPLY CHAIN MANAGMENT INTRODUCTION
SUPPLY CHAIN MANAGMENT INTRODUCTION
praveensureshpai
 
Purchasing ~Sourcing
Purchasing ~SourcingPurchasing ~Sourcing
Purchasing ~Sourcing
Anand Subramaniam
 
Supply market analysis
Supply market analysisSupply market analysis
Supply market analysis
sonictwinkler
 
Procurement and Sourcing Strategies
Procurement and Sourcing StrategiesProcurement and Sourcing Strategies
Procurement and Sourcing Strategies
Shaikh Mahmood
 
Effective Supplier Relationship Management
Effective Supplier Relationship ManagementEffective Supplier Relationship Management
Effective Supplier Relationship Management
Tejari
 
CHAPTER 1 introd to strategic procurement.pptx
CHAPTER 1 introd to strategic procurement.pptxCHAPTER 1 introd to strategic procurement.pptx
CHAPTER 1 introd to strategic procurement.pptx
ruthnyiramahoro
 
Unit 1 Supply Chain management
Unit 1 Supply Chain managementUnit 1 Supply Chain management
Unit 1 Supply Chain management
Ramachandran S
 
Objectives of supply chain management
Objectives of supply chain managementObjectives of supply chain management
Objectives of supply chain management
DENNY OTTARACKAL
 
Coordination in a supply chain
Coordination in a supply chainCoordination in a supply chain
Coordination in a supply chain
Chaitrali Gijare
 
Procurement: Strategies | Best Practices
Procurement: Strategies | Best PracticesProcurement: Strategies | Best Practices
Procurement: Strategies | Best Practices
Marcel (Alex) Mesanza, PMP, CSSBB
 
Distribution network desing
Distribution network desingDistribution network desing
Distribution network desing
Sohag Hasan
 
Reverse logistics
Reverse logisticsReverse logistics
Reverse logistics
Hammaduddin
 
Introduction to supply chain management
Introduction to supply chain managementIntroduction to supply chain management
Introduction to supply chain management
Kwanda Matiwane
 
Information Technology in Supply Chain Management
Information Technology in Supply Chain ManagementInformation Technology in Supply Chain Management
Information Technology in Supply Chain Management
Md Adnan
 
role of it in supply chain mangment system
role of it in supply chain mangment systemrole of it in supply chain mangment system
role of it in supply chain mangment system
Mohit Patodia
 
Strategic Sourcing
Strategic SourcingStrategic Sourcing
Strategic Sourcing
Brett Allen
 
1 fundamentals of international purchasing
1 fundamentals of international purchasing1 fundamentals of international purchasing
1 fundamentals of international purchasing
Ankit
 
Supply Chain Management, Sourcing Pricing and Procurement Process
Supply Chain Management, Sourcing Pricing and Procurement ProcessSupply Chain Management, Sourcing Pricing and Procurement Process
Supply Chain Management, Sourcing Pricing and Procurement Process
Rajendran Ananda Krishnan
 
Purchasing and Procurement management
Purchasing and Procurement managementPurchasing and Procurement management
Purchasing and Procurement management
Farouk Nasser
 
PPT for Logistic Management unit 1 and unit 2 and unit 3
PPT for Logistic Management unit 1 and unit 2 and unit 3PPT for Logistic Management unit 1 and unit 2 and unit 3
PPT for Logistic Management unit 1 and unit 2 and unit 3
Rajeswari Anand
 
Supply Chain Strategy
Supply Chain StrategySupply Chain Strategy
Supply Chain Strategy
Behzad Behdani
 
Issues and Trends in Supply Chain Management
Issues and Trends in Supply Chain ManagementIssues and Trends in Supply Chain Management
Issues and Trends in Supply Chain Management
Miles Weaver
 
Strategic Purchasing Supply Initiatives
Strategic Purchasing Supply InitiativesStrategic Purchasing Supply Initiatives
Strategic Purchasing Supply Initiatives
ignasuhe
 
Strategic Sourcing Process
Strategic Sourcing ProcessStrategic Sourcing Process
Strategic Sourcing Process
James Martin
 
Srm Presentation
Srm PresentationSrm Presentation
Srm Presentation
Muhammed Akgun
 
Supply chain cycle flow
Supply chain cycle flowSupply chain cycle flow
Supply chain cycle flow
Neenu Pappachan
 
THE LEGAL ASPECT OF PURCHASING
THE LEGAL ASPECT OF PURCHASING THE LEGAL ASPECT OF PURCHASING
THE LEGAL ASPECT OF PURCHASING
Zamri Yahya
 
Manufacturing & Process Development Strategy
Manufacturing & Process Development StrategyManufacturing & Process Development Strategy
Manufacturing & Process Development Strategy
John Glenning
 

Contenu connexe

Tendances

Reverse logistics
Reverse logisticsReverse logistics
Reverse logistics
Hammaduddin
 
Strategic Sourcing
Strategic SourcingStrategic Sourcing
Strategic Sourcing
Brett Allen
 
1 fundamentals of international purchasing
1 fundamentals of international purchasing1 fundamentals of international purchasing
1 fundamentals of international purchasing
Ankit
 

Tendances (20)

Unit 1 Supply Chain management
Unit 1 Supply Chain managementUnit 1 Supply Chain management
Unit 1 Supply Chain management
 
Objectives of supply chain management
Objectives of supply chain managementObjectives of supply chain management
Objectives of supply chain management
 
Coordination in a supply chain
Coordination in a supply chainCoordination in a supply chain
Coordination in a supply chain
 
Procurement: Strategies | Best Practices
Procurement: Strategies | Best PracticesProcurement: Strategies | Best Practices
Procurement: Strategies | Best Practices
 
Distribution network desing
Distribution network desingDistribution network desing
Distribution network desing
 
Reverse logistics
Reverse logisticsReverse logistics
Reverse logistics
 
Introduction to supply chain management
Introduction to supply chain managementIntroduction to supply chain management
Introduction to supply chain management
 
Information Technology in Supply Chain Management
Information Technology in Supply Chain ManagementInformation Technology in Supply Chain Management
Information Technology in Supply Chain Management
 
role of it in supply chain mangment system
role of it in supply chain mangment systemrole of it in supply chain mangment system
role of it in supply chain mangment system
 
Strategic Sourcing
Strategic SourcingStrategic Sourcing
Strategic Sourcing
 
1 fundamentals of international purchasing
1 fundamentals of international purchasing1 fundamentals of international purchasing
1 fundamentals of international purchasing
 
Supply Chain Management, Sourcing Pricing and Procurement Process
Supply Chain Management, Sourcing Pricing and Procurement ProcessSupply Chain Management, Sourcing Pricing and Procurement Process
Supply Chain Management, Sourcing Pricing and Procurement Process
 
Purchasing and Procurement management
Purchasing and Procurement managementPurchasing and Procurement management
Purchasing and Procurement management
 
PPT for Logistic Management unit 1 and unit 2 and unit 3
PPT for Logistic Management unit 1 and unit 2 and unit 3PPT for Logistic Management unit 1 and unit 2 and unit 3
PPT for Logistic Management unit 1 and unit 2 and unit 3
 
Supply Chain Strategy
Supply Chain StrategySupply Chain Strategy
Supply Chain Strategy
 
Issues and Trends in Supply Chain Management
Issues and Trends in Supply Chain ManagementIssues and Trends in Supply Chain Management
Issues and Trends in Supply Chain Management
 
Strategic Purchasing Supply Initiatives
Strategic Purchasing Supply InitiativesStrategic Purchasing Supply Initiatives
Strategic Purchasing Supply Initiatives
 
Strategic Sourcing Process
Strategic Sourcing ProcessStrategic Sourcing Process
Strategic Sourcing Process
 
Srm Presentation
Srm PresentationSrm Presentation
Srm Presentation
 
Supply chain cycle flow
Supply chain cycle flowSupply chain cycle flow
Supply chain cycle flow
 

En vedette

Make to order, stock, assembly
Make to order, stock, assemblyMake to order, stock, assembly
Make to order, stock, assembly
Hammaduddin
 
Purchasing management
Purchasing managementPurchasing management
Purchasing management
Mandeep Raj
 

En vedette (12)

THE LEGAL ASPECT OF PURCHASING
THE LEGAL ASPECT OF PURCHASING THE LEGAL ASPECT OF PURCHASING
THE LEGAL ASPECT OF PURCHASING
 
Manufacturing & Process Development Strategy
Manufacturing & Process Development StrategyManufacturing & Process Development Strategy
Manufacturing & Process Development Strategy
 
Manufacturing Methods / Production Techniques
Manufacturing Methods / Production TechniquesManufacturing Methods / Production Techniques
Manufacturing Methods / Production Techniques
 
9-supply Chain Design. OPerations Management
9-supply Chain Design. OPerations Management9-supply Chain Design. OPerations Management
9-supply Chain Design. OPerations Management
 
Unit 2 SCM Strategy
Unit 2 SCM Strategy Unit 2 SCM Strategy
Unit 2 SCM Strategy
 
20498245 ato-made-simple
20498245 ato-made-simple20498245 ato-made-simple
20498245 ato-made-simple
 
Make to order, stock, assembly
Make to order, stock, assemblyMake to order, stock, assembly
Make to order, stock, assembly
 
Chapter 8 slides operations management
Chapter 8 slides operations managementChapter 8 slides operations management
Chapter 8 slides operations management
 
Purchasing management
Purchasing managementPurchasing management
Purchasing management
 
Make-To-Order Supply Chain Management
Make-To-Order Supply Chain ManagementMake-To-Order Supply Chain Management
Make-To-Order Supply Chain Management
 
Production & operations management
Production & operations managementProduction & operations management
Production & operations management
 
Types of production processes
Types of production processesTypes of production processes
Types of production processes
 

Similaire à Ch02 purchasing management

Business to business marketing
Business to business marketingBusiness to business marketing
Business to business marketing
Nisha Dani
 
Methods for selecting suppliers in international procurement
Methods for selecting suppliers in international procurementMethods for selecting suppliers in international procurement
Methods for selecting suppliers in international procurement
Ankit
 
Business Markets And Business Buying Behavior
Business Markets And Business Buying BehaviorBusiness Markets And Business Buying Behavior
Business Markets And Business Buying Behavior
FaHaD .H. NooR
 
Organisation buying behavior
Organisation buying behaviorOrganisation buying behavior
Organisation buying behavior
Jagannath Padhy
 
31185020 purchasing-and-vendor-management-lecture-6
31185020 purchasing-and-vendor-management-lecture-631185020 purchasing-and-vendor-management-lecture-6
31185020 purchasing-and-vendor-management-lecture-6
sneha dwivedi
 

Similaire à Ch02 purchasing management (20)

Week11-Purchasing Managementtttttttttttt
Week11-Purchasing ManagementttttttttttttWeek11-Purchasing Managementtttttttttttt
Week11-Purchasing Managementtttttttttttt
 
Purchasing mangement - Puchasing Process - Make Or Buy Decisions - Supplier S...
Purchasing mangement - Puchasing Process - Make Or Buy Decisions - Supplier S...Purchasing mangement - Puchasing Process - Make Or Buy Decisions - Supplier S...
Purchasing mangement - Puchasing Process - Make Or Buy Decisions - Supplier S...
 
Business to business marketing
Business to business marketingBusiness to business marketing
Business to business marketing
 
Business to Business Marketing
Business to Business MarketingBusiness to Business Marketing
Business to Business Marketing
 
Methods for selecting suppliers in international procurement
Methods for selecting suppliers in international procurementMethods for selecting suppliers in international procurement
Methods for selecting suppliers in international procurement
 
Purchasing and procurement in Material management
Purchasing and procurement in Material management Purchasing and procurement in Material management
Purchasing and procurement in Material management
 
Business Markets And Business Buying Behavior
Business Markets And Business Buying BehaviorBusiness Markets And Business Buying Behavior
Business Markets And Business Buying Behavior
 
Chapter 8 sourcing strategies and relationships
Chapter 8 sourcing strategies and relationshipsChapter 8 sourcing strategies and relationships
Chapter 8 sourcing strategies and relationships
 
Organisation buying behavior
Organisation buying behaviorOrganisation buying behavior
Organisation buying behavior
 
Analyzing business market
Analyzing business marketAnalyzing business market
Analyzing business market
 
Business environment for logistics & supply chain
Business environment for logistics & supply chainBusiness environment for logistics & supply chain
Business environment for logistics & supply chain
 
31185020 purchasing-and-vendor-management-lecture-6
31185020 purchasing-and-vendor-management-lecture-631185020 purchasing-and-vendor-management-lecture-6
31185020 purchasing-and-vendor-management-lecture-6
 
31185020 purchasing-and-vendor-management-lecture-6
31185020 purchasing-and-vendor-management-lecture-631185020 purchasing-and-vendor-management-lecture-6
31185020 purchasing-and-vendor-management-lecture-6
 
Purchasing and vendor management
Purchasing and vendor managementPurchasing and vendor management
Purchasing and vendor management
 
Purchase management
Purchase managementPurchase management
Purchase management
 
19 category management
19 category management19 category management
19 category management
 
Ch 3
Ch 3Ch 3
Ch 3
 
organization buying behavior
organization buying behaviororganization buying behavior
organization buying behavior
 
Purchasing management
Purchasing managementPurchasing management
Purchasing management
 
Vskills purchasing and material management professional sample material
Vskills purchasing and material management professional sample materialVskills purchasing and material management professional sample material
Vskills purchasing and material management professional sample material
 

Dernier

Salient Features of India constitution especially power and functions
Salient Features of India constitution especially power and functionsSalient Features of India constitution especially power and functions
Salient Features of India constitution especially power and functions
KarakKing
 
The basics of sentences session 3pptx.pptx
The basics of sentences session 3pptx.pptxThe basics of sentences session 3pptx.pptx
The basics of sentences session 3pptx.pptx
heathfieldcps1
 

Dernier (20)

This PowerPoint helps students to consider the concept of infinity.
This PowerPoint helps students to consider the concept of infinity.This PowerPoint helps students to consider the concept of infinity.
This PowerPoint helps students to consider the concept of infinity.
 
2024-NATIONAL-LEARNING-CAMP-AND-OTHER.pptx
2024-NATIONAL-LEARNING-CAMP-AND-OTHER.pptx2024-NATIONAL-LEARNING-CAMP-AND-OTHER.pptx
2024-NATIONAL-LEARNING-CAMP-AND-OTHER.pptx
 
Plant propagation: Sexual and Asexual propapagation.pptx
Plant propagation: Sexual and Asexual propapagation.pptxPlant propagation: Sexual and Asexual propapagation.pptx
Plant propagation: Sexual and Asexual propapagation.pptx
 
Towards a code of practice for AI in AT.pptx
Towards a code of practice for AI in AT.pptxTowards a code of practice for AI in AT.pptx
Towards a code of practice for AI in AT.pptx
 
NO1 Top Black Magic Specialist In Lahore Black magic In Pakistan Kala Ilam Ex...
NO1 Top Black Magic Specialist In Lahore Black magic In Pakistan Kala Ilam Ex...NO1 Top Black Magic Specialist In Lahore Black magic In Pakistan Kala Ilam Ex...
NO1 Top Black Magic Specialist In Lahore Black magic In Pakistan Kala Ilam Ex...
 
How to setup Pycharm environment for Odoo 17.pptx
How to setup Pycharm environment for Odoo 17.pptxHow to setup Pycharm environment for Odoo 17.pptx
How to setup Pycharm environment for Odoo 17.pptx
 
Holdier Curriculum Vitae (April 2024).pdf
Holdier Curriculum Vitae (April 2024).pdfHoldier Curriculum Vitae (April 2024).pdf
Holdier Curriculum Vitae (April 2024).pdf
 
Sensory_Experience_and_Emotional_Resonance_in_Gabriel_Okaras_The_Piano_and_Th...
Sensory_Experience_and_Emotional_Resonance_in_Gabriel_Okaras_The_Piano_and_Th...Sensory_Experience_and_Emotional_Resonance_in_Gabriel_Okaras_The_Piano_and_Th...
Sensory_Experience_and_Emotional_Resonance_in_Gabriel_Okaras_The_Piano_and_Th...
 
Salient Features of India constitution especially power and functions
Salient Features of India constitution especially power and functionsSalient Features of India constitution especially power and functions
Salient Features of India constitution especially power and functions
 
Fostering Friendships - Enhancing Social Bonds in the Classroom
Fostering Friendships - Enhancing Social Bonds in the ClassroomFostering Friendships - Enhancing Social Bonds in the Classroom
Fostering Friendships - Enhancing Social Bonds in the Classroom
 
Google Gemini An AI Revolution in Education.pptx
Google Gemini An AI Revolution in Education.pptxGoogle Gemini An AI Revolution in Education.pptx
Google Gemini An AI Revolution in Education.pptx
 
COMMUNICATING NEGATIVE NEWS - APPROACHES .pptx
COMMUNICATING NEGATIVE NEWS - APPROACHES .pptxCOMMUNICATING NEGATIVE NEWS - APPROACHES .pptx
COMMUNICATING NEGATIVE NEWS - APPROACHES .pptx
 
The basics of sentences session 3pptx.pptx
The basics of sentences session 3pptx.pptxThe basics of sentences session 3pptx.pptx
The basics of sentences session 3pptx.pptx
 
ICT Role in 21st Century Education & its Challenges.pptx
ICT Role in 21st Century Education & its Challenges.pptxICT Role in 21st Century Education & its Challenges.pptx
ICT Role in 21st Century Education & its Challenges.pptx
 
Key note speaker Neum_Admir Softic_ENG.pdf
Key note speaker Neum_Admir Softic_ENG.pdfKey note speaker Neum_Admir Softic_ENG.pdf
Key note speaker Neum_Admir Softic_ENG.pdf
 
REMIFENTANIL: An Ultra short acting opioid.pptx
REMIFENTANIL: An Ultra short acting opioid.pptxREMIFENTANIL: An Ultra short acting opioid.pptx
REMIFENTANIL: An Ultra short acting opioid.pptx
 
Micro-Scholarship, What it is, How can it help me.pdf
Micro-Scholarship, What it is, How can it help me.pdfMicro-Scholarship, What it is, How can it help me.pdf
Micro-Scholarship, What it is, How can it help me.pdf
 
On National Teacher Day, meet the 2024-25 Kenan Fellows
On National Teacher Day, meet the 2024-25 Kenan FellowsOn National Teacher Day, meet the 2024-25 Kenan Fellows
On National Teacher Day, meet the 2024-25 Kenan Fellows
 
Single or Multiple melodic lines structure
Single or Multiple melodic lines structureSingle or Multiple melodic lines structure
Single or Multiple melodic lines structure
 
Wellbeing inclusion and digital dystopias.pptx
Wellbeing inclusion and digital dystopias.pptxWellbeing inclusion and digital dystopias.pptx
Wellbeing inclusion and digital dystopias.pptx
 

Ch02 purchasing management