Research On Procurement Risk Analysis And Control Of Overseas EPC Project Of DQECC

Procurement plays a decisive role in project management.Procurement serves as the basic material security for projects,which is also the most energetic activity in the operation of the project.From the initial supplier selection to the LOA issuance,production arrangement,as well as the final delivery to the construction site,every procedure should be strictly controlled.In recent years,Managerial staff have paid more and more attention to the concept of procurement risk control.How to minimize the probability of risk occurring in the process of procurement practice,and how to reduce the impact of the risk to the minimum are the main concern of the enterprise.The research subject of this paper is DQECC company,a EPC project contracting enterprise.Due to the large proportion of procurement,vast variety of material,high technical requirement,high equipment of the purchasing personnel,uneven level of supplier and the service provider,changeable and complex logistics clearance procedure of DQECC company ’s overseas EPC project,The smooth of material procurement activities directly affects the timely delivery of overseas EPC project of DQECC company.Once the purchased goods have some quality problem,it will cause significant impact on the reputation of DQECC company.Now,DQECC’s overseas EPC project has been relatively mature in the procurement management level.However,at the level of procurement risk management,it is still at a stage of development,and a mature risk management system has not yet been formed.Research on procurement risk of DQECC’s overseas EPC project will not only improve the company’s procurement risk management,but also minimize the losses when risks occur.This paper systematically introduces the current procurement status of DQECC’s overseas EPC project,using the brainstorm method to identify the risk points existing in procurement process of DQECC’s overseas EPC project,constructing an indicator evaluation system,and using AHP and fuzzy evaluation methods to conduct risk analysis.Assessed and ultimately put forward a corresponding risk control plan for high risk points.The DQECC company’s managers can more objectively understand the risks in the procurement work,and calmly deal with the procurement risks,which will help DQECC company to further improve and strengthen the risk management level of procurement.