The Research On Procurement And Logistics Resources Integration In CREC

China Railway Engineering Corporation(CREC) is the NO.1 construction enterprise in domestic construction industry. It faces huge pressure coming from scale of operation, cost and profit after the listing of the enterprise. Its fast-growing turn-over masks its contradictions of low profit, weak competitiveness. So it is an important measure and worthy subject to control and decease cost of purchasing and supplying, raise the level of earning, ensure the quality of project, solve the shortage of capital and enhance the core competitiveness of CREC by managing purchasing material whose cost is of 50%-60% of total project cost and integrating CREC's purchasing and logistics recourse.This problem can be found in three areas: firstly, the material demand of CR is huge, but its purchasing is decentralized and has low purchasing capacity. Secondly, CREC has huge material supplying network, storage facilities and human recourse. But limited by the internal interest, it works inefficiently without unified planning based on system, network and logistics. Thirdly, CREC's management is out-dated. Different affiliated groups of CREC, different companies in one group and different projects in one company have different material management. There are no management standard and no unified management to projects across the country through computer network.Based on the principle of maximizing the interests of the group, the author do some research on the integration of material purchasing and logistics recourse of CREC using different theories and methods such as purchasing management, logistics management, circulation economics, supply chain management, value chain management, strategy management, system science and sample survey. This research is done after the study on case of purchasing management and integration of logistics recourse at home and abroad and based on the comprehensive understanding of CREC's material purchasing management and logistics recourse system. The author proposes the objective of integration of purchasing and logistics recourse and the strategy planning in the short and long run, discuss the optimization of the system of purchasing and supplying, establishment of low cost network of purchasing and supplying, and modes of material trading and logistics by using CREC's huge scale of material demand, brand advantage and transport and storage network.The article is divided into the following seven parts.Part one is to introduce the selected topic background, the significance, the objective and frame of this article.Part two is to state the theory and methods used in this article. The author lays the theoretical foundation by analyzing the correlative concepts.Part three is to take examples from integration of purchasing and logistics recourse in advanced enterprises at home and aboard in order to integrate purchasing and logistics recourse domestics.Part four is to carry out specific research on integration of purchasing and logistics in CREC based on the comprehensive understanding of CREC's material purchasing management and logistics recourse system, to propose the objective of integration, to compare different integration after analyzing current situation and to conclusion.Part five is to state the principle of strategy formulation of integration of purchasing and logistics recourse, to proposes the objective of integration of purchasing and logistics recourse and the strategy planning in the short and long run.Part six is to evaluate the pre-implementation and effect in integration of purchasing and logistics recourse by means of sample survey and give some proposal.Part seven is to make a summary and state further study.