Analysis And Optimizing Of C Company Practicing Global Centralized Procurement Management

With the development of the global economy,the competition of enterprises becomes extremely intense.Enterprise administrators and scholars have found that the optimization of supply chain management could create value for enterprises.As an important part in the supply chain,procurement management has been widely received attention and deeply studied.This paper takes Multinational Enterprise C as the research objective,analyzing the main problems in the procurement process and putting forward the idea that the centralized purchasing management could be used as the tool of improving and optimizing the procurement performance and push sustainable development of enterprise.This paper is written based on the theory of procurement management and centralized procurement management,studied by using the method of finding the problems,analyzing the reasons and finally putting forward optimization plan.The mainly problems stated in the paper were the incontrollable price system,unhealthy supplier management system and the problem of decentralized procurement in the purchasing procedure.As C Company is facing the fierce competition in the global market,and striving to maintain its sustainable growth of the business,so management has to adjust their organization structure and optimization of supply chain management.The change creates a prerequisite for improving purchasing management.The company achieved the total cost saving by pushing the implementation of centralized purchasing management,as a global company collecting and integration of global purchasing resources to establish the centralized purchasing project.Meanwhile company established the global supplier management system which could help select the optimal suppliers to decrease the risk of supply outside.And then centralized procurement could unify the decentralized purchasing behavior and enhance functionalization which is great benefit to improving the management level of enterprise.Centralized purchasing management goal is to bring economic benefits for enterprises and achieve the sustainable development.Under the economic globalization it is significant to enterprise that centralized procurement management as a tool of supply chain management help to decrease purchasing cost and assume the functions of purchasing department.During the current economy situation it would be adopted by more and more multi-enterprise and hope this paper can get centralized procurement well known.