SCMN 2150 Auburn Barto Test 2
supply management - ANS-The identification, acquisition, access, positioning,
management of resources and related capabilities the organization needs or potentially
needs in the attainment of its strategic objectives. focuses on linking strategies and
decisions related to the procurement of goods and services
strategic sourcing (1) - ANS-an institutional procurement process that continuously
improves and re-evaluates the purchasing activities of a company; focuses on
improving
procurement - ANS-the purchase of merchandise or services at the optimum possible
total cost in the correct amount quality
the buy process - ANS-1. organizations are not vertically integrated
2. the supply base is geographically dispersed
3. can provide competitive advantage
a strong procurement process can lead to: - ANS-- cost reduction
- improved order to delivery timeliness
- shorter product development
- access to supplier expertise and technology
- improved product quality
goal of supply management: - ANS-buy products and services
- at the right price
- from the right source
- at the right specification
- in the right quantity
- for delivery at the right time
- to the right internal customer
- strategically manage sources of supply to reduce total cost of ownership (TCO)
importance of supply management: - ANS-- ability to generate a sustainable advantage
through lower costs, higher quality, and better service from our global supply base of
trading partners
direct materials - ANS-used in production processes and affects product value
, indirect materials - ANS-used outside production processes
strategies: - ANS-- supply-based optimization
- global sourcing
- building stronger relationships
- using formal suppliers evaluations
- certifying suppliers and optimizing TCO
procurement process: - ANS-- what are we buying, when and where?
- who offers the things we need?
- who will take best care of our organization as a whole?
- negotiate with suppliers
- order and receive goods
- track results and manage suppliers
1. identify material and service needs - ANS-- triggers: purchase requisitions, customer,
orders, market forecasts, inventory cycle counts automated reorder systems, point of
sale scans
2. evaluate supplier options - ANS-- identify the viable source of supply (what are you
looking for)
- develop list of potential suppliers to consider
- rate them
3. select supplier - ANS-head to head comparisons
- request quotes
- interview and tour
- talk to key customers
- negotiate a contact
- agree to terms
- finalize contract/agreement
4. release orders and receive products - ANS-- execution phase
- communicate specific need with supplier
- identify requirements
5. measure and manage performance - ANS-- KPIs, etc
- evaluate performance
supply management - ANS-The identification, acquisition, access, positioning,
management of resources and related capabilities the organization needs or potentially
needs in the attainment of its strategic objectives. focuses on linking strategies and
decisions related to the procurement of goods and services
strategic sourcing (1) - ANS-an institutional procurement process that continuously
improves and re-evaluates the purchasing activities of a company; focuses on
improving
procurement - ANS-the purchase of merchandise or services at the optimum possible
total cost in the correct amount quality
the buy process - ANS-1. organizations are not vertically integrated
2. the supply base is geographically dispersed
3. can provide competitive advantage
a strong procurement process can lead to: - ANS-- cost reduction
- improved order to delivery timeliness
- shorter product development
- access to supplier expertise and technology
- improved product quality
goal of supply management: - ANS-buy products and services
- at the right price
- from the right source
- at the right specification
- in the right quantity
- for delivery at the right time
- to the right internal customer
- strategically manage sources of supply to reduce total cost of ownership (TCO)
importance of supply management: - ANS-- ability to generate a sustainable advantage
through lower costs, higher quality, and better service from our global supply base of
trading partners
direct materials - ANS-used in production processes and affects product value
, indirect materials - ANS-used outside production processes
strategies: - ANS-- supply-based optimization
- global sourcing
- building stronger relationships
- using formal suppliers evaluations
- certifying suppliers and optimizing TCO
procurement process: - ANS-- what are we buying, when and where?
- who offers the things we need?
- who will take best care of our organization as a whole?
- negotiate with suppliers
- order and receive goods
- track results and manage suppliers
1. identify material and service needs - ANS-- triggers: purchase requisitions, customer,
orders, market forecasts, inventory cycle counts automated reorder systems, point of
sale scans
2. evaluate supplier options - ANS-- identify the viable source of supply (what are you
looking for)
- develop list of potential suppliers to consider
- rate them
3. select supplier - ANS-head to head comparisons
- request quotes
- interview and tour
- talk to key customers
- negotiate a contact
- agree to terms
- finalize contract/agreement
4. release orders and receive products - ANS-- execution phase
- communicate specific need with supplier
- identify requirements
5. measure and manage performance - ANS-- KPIs, etc
- evaluate performance
