Goods procurement management

I. Definition and types of procurement

1. Definition

From an academic point of view, procurement generally includes the following basic meanings:

First, procurement is the process of obtaining resources from the resource market. Whether in life or production, the significance of procurement to users lies in solving the resources they need for users. These resources include means of subsistence and means of production; It includes both material resources (such as tangible entities such as raw materials, equipment and tools) and intangible resources (such as information, technology, knowledge and brand). Suppliers who can provide these resources form a resource market. In order to obtain these resources from the resource market, they are all through procurement. In other words, the basic function of procurement is to help people get all kinds of resources they need from the resource market.

Second, from the perspective of tangible resources, procurement is both a business flow process and a logistics process. The basic function of procurement is the process of transferring resources from market suppliers to users. In this process, one is to transfer the ownership of resources from suppliers to users; The second is to realize the transfer of material entities of resources from suppliers to users. The former is the process of commercial flow, which mainly realizes the transfer of commodity ownership through commodity trading and equivalent exchange. The latter is a logistics process, mainly through transportation, warehousing, packaging, loading and unloading, distribution processing and other means to achieve the transfer of the spatial position and time position of goods, so that goods really reach users. In fact, the procurement process is a complete combination of these two aspects, both of which are indispensable. Only when these two aspects are fully realized can the procurement process be completed.

Third, procurement is an economic activity. Procurement is the main component of the economic activities of the project undertaker. The so-called economic activity is to follow economic laws and pursue economic benefits. In the whole process, on the one hand, resources are obtained through procurement to ensure the normal progress of the project, which is the procurement benefit; On the other hand, in the procurement process, various expenses will also occur, which is the procurement cost. In our pursuit of maximizing the economic benefits of procurement, we must constantly reduce the procurement cost and obtain the maximum benefits with the minimum cost. To do this, the key is to strive for scientific procurement. Scientific procurement is the profit source of maximizing the economic benefits of enterprises.

2. Type

Procurement is distributed in various industries in economic life, and it is diverse. According to their own characteristics, they can be classified from different angles and with different standards.

(1) Classification by purchasing entity

Goods procurement can be divided into two categories: individual procurement and group procurement. Group procurement includes family procurement, enterprise procurement, government procurement, public institution procurement or community procurement and military procurement.

(2) Classification by purchasing area

Goods procurement can be divided into two categories: domestic procurement and international procurement. In the economic society of global economic integration and world trade liberalization, international procurement will become an important part of enterprise goods procurement.

(3) Classification by procurement method

According to the procurement method, goods can be divided into two categories: general procurement and advanced scientific means or methods. This advanced and scientific procurement means and methods include ordering point procurement technology, MRP procurement technology, just-in-time procurement technology, supply chain procurement and e-commerce procurement technology.

Second, the procurement management mode under the supply chain management environment

The consumption of materials and articles is one of the main components of the cost of geological survey projects. Therefore, procurement management is the necessary management content of geological survey project to ensure supply, maintain normal production and reduce shortage risk. Due to the specialty particularity of geological survey project, it is decided that the management personnel of geological survey material procurement should not only be familiar with and understand the technology, process and content of geological survey project, but also master the professional knowledge and skills of material procurement.

The general content and process of goods procurement management of industrial and commercial enterprises are shown in figure 10- 1. As can be seen from the figure, the whole procurement work is based on the analysis of the resource market. First of all, analyze the production demand of the enterprise, make the order plan, execute the order plan and monitor the purchasing work.

In the above-mentioned purchasing mode, although the purchasing plan is made on the basis of the analysis of the production demand of the enterprise, after entering the purchasing process, the purpose of purchasing is very simple, that is, replenishing the inventory. The purchasing department doesn't care about the production process of the enterprise, and doesn't understand the progress of production and the change of product demand, so it lacks initiative in purchasing, and it is difficult for the purchasing plan formulated by the purchasing department to adapt to the change of manufacturing demand. In order to solve the disconnection between procurement and production, the supply chain management mode of procurement came into being (Figure 10-2).

In the supply chain management mode, the purchase is driven by orders, and the production of manufacturing orders is driven by user demand orders. Then production orders drive purchase orders, and purchase orders drive suppliers. This just-in-time order-driven mode enables the supply chain system to respond to users' needs on time, thus reducing inventory costs and improving logistics speed and inventory turnover rate. Order-driven procurement has the following characteristics:

(1) Due to the establishment of strategic partnership between suppliers and manufacturers, the means of signing supply contracts is greatly simplified, and the two sides do not need to negotiate inquiry and quotation repeatedly, thus greatly reducing the transaction cost.

(2) Under the coordination of Synchronous supply chain planning, the manufacturing plan, purchasing plan and supply plan can be carried out in parallel, which shortens the response time of users and realizes the synchronous operation of the supply chain. The focus of procurement and supply is to coordinate the implementation of various plans.

(3) The purchased goods directly enter the manufacturing department, which reduces the work pressure and activity flow of the purchasing department without increasing the value and realizes the refined operation of the supply chain.

(4) The mode of information transmission has changed. In the traditional procurement method, suppliers don't know the manufacturer's information and don't need to care about the manufacturer's production activities. In the supply chain management environment, suppliers can enjoy the information of manufacturing department, which improves the adaptability of suppliers and reduces the information distortion. At the same time, in the process of ordering, information feedback is constantly carried out, and the ordering plan is revised to keep the order in sync with the demand.

Figure 10- 1 Contents and Methods of Purchasing Management of Industrial and Commercial Enterprises

Figure 10-2 Content and mode diagram of procurement under supply chain management environment

(5) Realize the transformation of process-oriented job management mode. Order-driven procurement simplifies the procurement process, and the role of the procurement department is mainly to communicate the relationship between suppliers and manufacturing departments, coordinate the relationship between supply and manufacturing, and provide basic guarantee for the realization of refined procurement.

The synchronization process of "first-class three networks" of China Haier Group fully embodies the characteristics of modern logistics: "first-class" is centered on order information flow; The "three networks" are the global supply chain resource network, the global distribution resource network and the computer information network. One of Haier's goals is to "purchase for orders and eliminate inventory".

The shortcomings of traditional procurement management are lack of cooperation with suppliers, lack of flexibility and ability to respond quickly to demand. After the emergence of JIT, it poses a severe challenge to the logistics management of enterprises. It is necessary to change the traditional management mode of purchasing only for inventory, improve the flexibility and market response ability of purchasing, strengthen information contact and cooperation with suppliers, and establish a new supply-demand cooperation mode. On the one hand, under the traditional purchasing mode, suppliers can't get real-time response to the requirements of the purchasing department; On the other hand, the quality control of products can only be controlled afterwards, not in real time. These defects make it impossible for supply chain enterprises to realize synchronous operation. Therefore, the second characteristic of supply chain management procurement mode is to implement effective external resource management.

The implementation of external resource management is also the requirement of implementing refined production and zero inventory production. An important idea in supply chain management is to adopt just-in-time production mode based on order flow in production control, so as to make the business process of supply chain enterprises strive for refined production, that is, to realize several "zero" management in the production process: zero defect, zero inventory, zero delivery date, zero zero failure, zero paper documents, zero waste, zero accident and zero waste of human resources.

The idea of supply chain management is systematic, coordinated, integrated and synchronous, and external resource management is an important step to realize the above-mentioned supply chain management idea-enterprise integration. From the process of supply chain enterprise integration, it is an important step for supply chain enterprises to move from internal integration to external integration.

The third characteristic of procurement management under the supply chain management mode is that the relationship between supply and demand has changed from a simple buying and selling relationship to a strategic partnership between the two parties.

In the traditional procurement mode, the relationship between suppliers and demanding enterprises is simple, which can not solve some global and strategic supply chain problems, but the procurement method based on strategic partnership creates conditions for solving these problems. The solution is as follows:

(1) Inventory problem. Under the traditional procurement mode, enterprises at all levels in the supply chain cannot enjoy the inventory information, and each node enterprise independently adopts the order point technology to make inventory decisions, which will inevitably lead to the distortion of demand information and the overall efficiency of the supply chain cannot be fully improved. In the supply chain management mode, through the partnership between the two parties, both the supply and demand sides can enjoy the inventory information, so the procurement decision-making process becomes transparent and the distortion of demand information is reduced.

(2) risk. Through strategic partnership, the supply and demand sides can reduce the risks brought by unpredictable demand changes, such as transportation process risk, credit risk, product quality risk and so on.

(3) Through partnership, it can provide convenient conditions for both parties to solve problems, and both parties can negotiate with each other to make strategic procurement and supply plans, without wasting time on daily trifles.

(4) Reduce procurement costs. Through partnership, both supply and demand sides benefit from reducing transaction costs. Because many unnecessary procedures and negotiation processes are avoided, the enjoyment of information avoids the possible cost loss caused by asymmetric information decision-making.

(5) Strategic partnership eliminates organizational obstacles in the supply process and creates conditions for timely procurement.

Thirdly, the relationship between traditional supplier management and modern supplier management.

There are two main ways to purchase goods in geological survey projects: one is the bulk goods purchase organized and implemented by the project undertaker, which is the main way to purchase goods in the project; One is the sporadic items purchased by the project team, which is determined by the variability of the working place of the geological survey project and the distance from the project undertaker. In supplier management, from traditional supplier management to modern supplier management, enterprises have made great innovations in supplier management. With more and more attention paid to logistics management today, excellent project undertakers raise supplier management to the strategic level and constantly seek better methods in practice (table 10-2).

Table 10-2 Comparison between traditional supplier management and modern supplier management

Four, commodity quality and procurement quality plan

1. Quality requirements of purchased goods

The project undertaker shall purchase good quality goods, including the following features:

(1) Conform to the characteristics of the designed product-realize the planned target quality of the product;

(2) Stability of quality-the quality gap of each batch of finished products is small;

(3) Reliable performance-simple operation, which can bring expected benefits into play;

(4) Repairability-If something goes wrong, it can be repaired quickly:

(5) Service-easy supply of spare parts and good technical service;

(6) Safety-no danger during use or failure;

(7) Responsibility of the product-it will not cause any trouble or harm to users and others around them;

(8) Economical-it will not consume a lot of resources and energy;

(9) The environment is non-destructive-it does not affect the present and future human social environment;

(10) Enthusiasm-The cost is economical in the process from production to disposal after use.

2.ISO procurement quality plan

Purchased materials, spare parts, etc. They are all part of enterprise products and have a direct impact on the quality of final products. Deming, an American management scientist, believes that defective or defective products can be traced back to poor raw materials or poor design specifications of parts. Therefore, the quality of purchased goods should be strictly regulated. Procurement personnel should establish close working relationship and feedback system with suppliers, maintain a set of continuous quality improvement programs, avoid quality disputes and quickly solve quality defects.

In the specification of ISO90004, it is considered that the procurement quality scheme should include at least the following seven elements.

(1) requirements of specifications, drawings and purchase orders;

(2) Selection of qualified suppliers;

(3) A quality assurance agreement;

(4) Verification method agreement;

(5) Terms for resolving quality disputes;

(6) receiving inspection plan and control;

(7) Receiving quality records.

At present, many enterprises in our country are implementing the Interim Provisions on the Management of Material Procurement of State-owned Industrial Enterprises promulgated by the State Economic and Trade Commission, and purchasing at parity.

The purchasing process of comparing quality and price is a practical process of value engineering. In order to improve the use value of funds, we must adopt two "three priorities" principles, namely, homogeneous price priority, quality priority at the same price, and homogeneous service priority; Direct purchase by manufacturers is preferred, wholesale purchase is preferred, and nearby purchase is preferred.

Verb (abbreviation of verb) Organizational form of purchasing management

Procurement management organization is a departmental functional organization in modern industrial and commercial enterprises, which has the characteristics of initiative, service and security. Its main task is to purchase orders under the guidance of enterprise strategy and business plan to ensure the normal production and operation of enterprises. At present, there are two forms of purchasing organizations: decentralized purchasing organizations and centralized purchasing organizations.

Decentralized procurement organizations delegate procurement-related responsibilities and work to different departments. Because the responsibilities of decentralized procurement organizations are too scattered, it is easy to produce defects such as unclear powers and responsibilities, conflict of objectives and waste of resources.

Centralized purchasing organizations entrust procurement-related responsibilities or work to a department for execution. Changing the traditional decentralized procurement organization into a centralized procurement organization will gain the following four benefits:

(1) Handle all operations from a global perspective, greatly reducing the total procurement cost;

(2) Coordinating supply and demand, enhancing purchasing ability and improving inventory control performance;

(3) The command system is simplified, and the communication and cooperation between various materials departments are improved;

(4) The material operation system is institutionalized and rationalized, which reduces the management cost.

At present, from the point of view of the establishment of enterprise procurement department, centralized procurement organization has been applied more and more. According to the actual production situation, some enterprises also adopt a mixture of two organizational forms.

Who will manage the purchasing department, that is, who is the head of the purchasing department, can reflect the status and importance of purchasing in the enterprise. Generally speaking, the procurement in enterprise organization and management is mainly influenced by the following factors.

(1) The purchase amount of goods and services accounts for the percentage of the total cost or total income of the enterprise. The higher the ratio, the higher the purchasing function and the more important the purchasing function.

(2) the nature of the purchased goods and services. The procurement of other components with high complexity and the extensive use of outsourcing projects show that the procurement work is quite arduous and must be paid more attention to.

(3) the supply and demand of goods or services that are very important to enterprises and institutions. If it is easy to obtain, it will naturally not receive special attention.

(4) Procurement requirements. If special talents are needed to be competent, the importance of procurement will naturally increase.

(5) Opportunities or threats for purchasing to achieve enterprise goals. For example, there is a famous saying in the retail industry that "will you buy or not sell".

What is worth pondering is which supervisor the procurement belongs to. However, the purchasing class must be "satisfied" and many important purchasing management decisions can be given due attention.

At present, the material purchasing department has several subordinate forms:

(1) The purchasing department is subordinate to the deputy general manager of the production department (or the manufacturing department), and its main responsibility is to coordinate the smooth progress of production. Therefore, the focus of procurement work will be to provide enough materials to meet the production demand, and the bargaining function will be relegated to a secondary position. It is more suitable for "production-oriented" enterprises to subordinate procurement to production departments, with relatively simple functions and relatively stable material prices.

(2) The purchasing department is subordinate to the deputy general manager of the administration department (or management department), and its main function is to obtain better prices and payment methods in order to achieve financial goals. Sometimes, in order to obtain better trading conditions, the purchasing department will delay the use of materials by the production department or purchase materials with unsatisfactory quality. However, the purchasing department is independent of the production department, which can balance users and exert bargaining efficiency. Therefore, when the production scale is huge, there are many materials, the price often needs to be adjusted, and the balance of production and sales interests of the whole enterprise must be considered in the procurement work, it is more appropriate to subordinate the procurement department to the administrative department.

(3) The purchasing department is directly supervised by the general manager, which improves the status and execution ability of purchasing. At this time, the main function of the purchasing department is to reduce costs and make the purchasing department another source of profit for the company. This type of purchasing department is more suitable for enterprises with small production scale, but materials or commodities account for a higher proportion of manufacturing costs or sales costs. The purchasing department belongs to the senior management, which makes it seem to play a straight-line function rather than an employee function.

As can be seen from the above, the purchasing department may belong to different departments or management levels. As far as management is concerned, according to the survey report of 350 American enterprises made by Paul Ferrer in 1982, the purchasing department is directly subordinate to the general manager, 25.4% to the deputy general manager, 13.9% to the executive deputy general manager, 8.3% to the department director and 2.6% to the financial director.