MNP2601 Purchasing Management
University of South Africa
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MNP2601 Assignment 2 Semester 1 & 2
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3.0(1)3.026april 20222021/2022A+
- MNP2601 Assignment 2 Semester 1 
& 2 
PREVIEW OF QUESTION 1 
1. 1 Option 1 (Chapter 6 of the prescribed book) 
Operational risk is the exposure of an organisation to losses resulting from internal failures or 
shortcomings of people, processes and systems. Purchasing
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lectdenis
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MNP2601 EXAM PACK.
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---43december 20212021/2022A+
- CHAPTER 2 
Oct/Nov 2014 Question 2 
2.1 In a table, shortly explain why a supply manager would consider a decentralised 
purchasing and supply organisational structure by referring to the following. Chapter 
2 
(a) Any 5 advantages of a decentralized P&S Organisational structure (5 
marks) 
(b) Any 5 disadvantages of a decentralized P&S Organisational structure 
(5 marks 
Type of 
structure 
Advantages Disadvantages 
Centralised 
 Materials & products are 
standardised. 
 Negotiating power...
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LOVELY01
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MNP2601 EXAM PREP.
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---23december 20212021/2022A+
- MNP2601 May/ June 2013 – Purchasing and supply management 
Question 1 
1.1 Give three advantages and three disadvantages of a centralised organisational structure for purchasing and 
supply management. (6) [TB PG 31] 
Advantages Disadvantages 
Materials and products are standardised. 
Control is improved 
Supplier relations are enhanced 
Duplication of effort is eliminated 
Staff structure is top heavy 
There is slow response times to regional plants 
There is a tendency to bypass the central ...
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LOVELY01
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MNP2601 - NOTES
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--224november 20212021/2022A+
- Chapter 1 – The purchasing function in perspective 
DEFINE THE CONCEPT LOGISTICS (MAIN ELEMENTS) 
The part of SCM that plans, implements and controls the efficient, effective forward and reverse flow in 
storage of goods services and related information between the point of origin and point of consumption in 
order to meet customers’ requirements. 
Important activities included in logistics management are: 
 Traffic and transportation 
 Inventory management 
 Packaging and handling ...
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ExellentStudyResources
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MNP2601 Section B with Answers-Exam Notes.
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---23november 20212021/2022A+
- MNP2601 May/ June 2013 – Purchasing and supply management 
Question 1 
1.1 Give three advantages and three disadvantages of a centralised organisational structure for purchasing and 
supply management. (6) [TB PG 31] 
Advantages Disadvantages 
Materials and products are standardised. 
Control is improved 
Supplier relations are enhanced 
Duplication of effort is eliminated 
Staff structure is top heavy 
There is slow response times to regional plants 
There is a tendency to bypass the central ...
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$3.99 Meer Info
ExellentStudyResources
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Samenvatting
mnp2601-condensed-notes.
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---40november 20212021/2022
- Unit 1 – Purchasing Function in perspective 
Distinguish between purchasing and supply management concepts 
Purchasing Management (P,N,E,F) 
 Process of buying, locating & selecting a supplier 
 Negotiating price, quality, quantity 
 Ensuring delivery 
 Functional approach 
Supply Management (M,S,R) 
 Management of resources the organisation needs to attain objectives 
 Strategic focus and systems approach 
 Regards suppliers as extensions of the firm 
Discuss objectives o...
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lectdenis
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MNP2601 - questions and answers
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---10november 20212021/2022A+
- Chapter 1 
1. Discuss the objectives of purchasing management – p8 
1. Too supply organizations with a flow of materials and services to meet needs. 
2. To maintain and develop the quality of purchased goods. 
3. Maintain an optimum balance of inventory 
4. Ensure continuity maintaining effective relationships with existing sources 
5. Too buy efficiently, best value for every rand spent. 
2. Discuss the objectives of supply management – p8 
⦁ Contribute to the development of overall busin...
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lectdenis
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MNP2601 - questions and answers. 100% CORRECT ANS.
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---10november 20212021/2022A+
- Chapter 1 
1. Discuss the objectives of purchasing management – p8 
1. Too supply organizations with a flow of materials and services to meet needs. 
2. To maintain and develop the quality of purchased goods. 
3. Maintain an optimum balance of inventory 
4. Ensure continuity maintaining effective relationships with existing sources 
5. Too buy efficiently, best value for every rand spent. 
2. Discuss the objectives of supply management – p8 
⦁ Contribute to the development of overall busin...
-
$3.69 Meer Info
LOVELY01