Purchasing and Supply
INF 336: Project Procurement Management
PURCHASING AND SUPPLY
The object of this paper is to cover a project I have been a team member of, or a
project manager for, using the topics that follows to contextualize the research topic. This
, PURCHASING AND SUPPLY 2
paper will define the importance of purchasing and supply management and how this
relates to selecting a qualified supplier anddiscussing how to select strategies for
negotiating prices.The third item covered will be assembling the steps of the creation of a
project supply, service, and material budget from detailed requirements. Next, it
willillustrate the benefits and costs of outsourcing, and the growth pattern of
outsourcing.The fourth item covered will be evaluation of the various organizations that
are benchmarks in purchasing and supply management, and their best practices, while
finally also providing specific examples of companies who show market leadership in
purchasing and supply management.
A project I was the project manager for involved overseeing the painting
operations of the 48 U.S. Air Force C-17 cargo aircraft. On average 24 aicraft are painted
in 1 year. I was charged with identifying aircraft that needed repainting, scheduling so
they do not conflict with deployments or training. Also, it could not impede other aircraft
maintenance that needs to take place, along with ordering supplies for painting
operations, job assignments. Another item was if needed management of the paint facility
itself if it was something I could fix, or I had to call a contractor out to fix that way we
could stay on our paint schedule. For the painting operations, each aircraft takes two
weeks to sand and paint with 24-hour operations 5 days a week and if problems arose
such as facility issues,shifts would go to working 7 days a week until we were caught up.
Now that you know some information about the scope of my responsibility let’s
look at the importance of purchasing and supply management and how this relates to
selecting a qualified supplier. The importance of purchasing and supply management is
overall the cost and bottom line of the company or business. Doing this properly helps the