Strategic Supply Chain Procurement Management And Risk Control

The research of strategic purchasing management is to make regular purchasing adapt to enterprise strategy target and supply chain development, make purchasing efficiency optimized and supply chain management become more efficient and harmonious so that the market competition can be strengthened tremendously. The management of supplier partnership is the focus of current strategic purchasing and, the effectiveness for selection and assessment of supplier is a major determinant of successful supplier management.It is essential for strategic purchasing to care about two issues during its pratice, that is, supply chain environment and risk control. The risk of supply chain environment is composed of internal risk and external risk. Based on fully utilizing the theories of supply chain, risk and strategic purchasing, the strategic purchasing should identify, evaluate, classify and control purchasing risks so that the purchasing strategy and performance can be optimized. The risk usually can be controlled by taking advantages of such models as Markowitz CAPM, Enterprise Culture and COSO, etc. The key target for risk control is to select and assess the supplier. The definition of strategic partnership can be available through the classification function of Kraljic Model while using the methods of qualitativeness, quantitativeness or combined each other. The standards for supplier assessment are generally quality and cost, delivery and logistics, technology and manufacture, enterprise culture and cooperation to ensure the supplier capability in quality assurance. The control over internal environment should be attached high importance to cultivating a good culture atmosphere, upgrading people ' s qualities, letting them play full and active roles to strengthen market competition.Through comparative research in combination of purchasing and supply chain management theory with practice, supplier selection and assessment, purchasing risk control and concrete evidence research, the following four points can be drawn from this research: First, the strategic purchasing management should draw much attention to the analysis and study of supply chain environment, particularly market risk, customer relationship risk and enterprise internal risk, in addition, the best decision should be based on the systematic thinking to avoid a variety of risks such as COSO Model, Risk Arbitrage, CAPM Model, Forecast and Warning Mechanism for Emergency, Buying Insurance, etc. Second, the establishment of strategic partnership is required in the strategic purchasing and the suppliers should be categorized into the system of customer relationship management (CRM) by using Kraljic Model to realize two wins strategic target of interest sharing. Therefore, it is required to select supplier correctly and make right evaluation. Third, the instruments for choosing and assessing supplier should be applied reasonably and correctly in line with enterprise reality such as Kraljic Model, qualitative analysis, quantitative analysis, the combined method of both, etc. Fourth, people' s quality is the key determinant of strategic purchasing and risk control. Enterprise is required to build up a sound internal atmosphere and do well in internal control and enterprise risk management (ERM). The personnel of purchasing and supply chain management should fulfil the mission given by strategic purchasing through upgrading knowledge, skills and qualities.