Franchise Operating Chain Procurement Management

Franchise chain is an important form of chain business. In this case the franchiser authorizes the franchisees to use his trademark,brand name,commodities,patent,proprietary technology and operation pattern,etc., as stipulated in franchise business contract. Franchisees should follow the unified operation mode in their business work, and pay the franchiser for the relative cost based on the contract. Franchise business started in 1980's in China,experienced a fast development at the beginning.Commercial operations of the franchise companies have a working platform on logistic system directed by purchase, the management level of purchase is a precondition of realizing and expanding large-scale profit. Franchise business is advancing rapidly in China. Reinforcement of purchase management will help franchise companies to improve their core competitiveness.This thesis integrates theory with reality and compares the difference between franchise chain and traditional business chain. It confirms content of purchase management and cases applications based on integration strategy, relationship with suppliers and detailed operation issues. At the beginning this paper introduces the theoretical background and structure of purchase management study. Then the article analyzes key items associated with modern purchase and supply management,including the goal of purchase and supply management; the strategy of purchase and supply management; the selection and assessment of supplier; the process of purchase; the achievement evaluation of purchase and supply. Finally,this thesis analyzes the supply procedure of Guxi Artware LTD as an example of research,gives some questions in operation and solutions to them.New points from this thesis:It claims content and methodology system of purchase management of franchise chain companies based on integration strategy, relationship with suppliers and detailed operation issues.It constructs achievement evaluation system and central assessment standards, which involves supply and purchase remark, suppliers, franchise chain companies, and branch terminals.It investigates purchase management of typical franchise companies, analyzes their weakness, and directs practical purchase management by study of contents and methodology system of purchase management, which makes the research operational enough.