Study Engineering Equipment Procurement, Supplier Evaluation Model And The Decision-making Mechanism

During the whole process of project management, purchasing management almost go through all period, and takes a direct influence on the time, quality and cost of the whole project. Normally, the purchasing cost will cover 60% of the whole project cost, and take a critical effect of the entire management. Based on the idea of long term cost reduction, we should have an idea on the supplier management to get reliable source of supply and quality assurance, this would be beneficial to reduce cost and improve purchasing efficiency.During the supplier management, the evaluation and how to apply the result of the evaluation to form a virtuous circle and avoid upraise of the whole process cost caused by the lowest price purchasing is more and more important in the purchasing process and supplier management.This paper focused on the status of the supplier evaluation and application of the engineering equipment purchasing in Baoshan Iron & Steel Co., Ltd., Analyzed the important meaning and the study status in the world of the supplier evaluation, Expatiated the basic theories and concept of the supplier evaluation and analyzed the model of supplier evaluation and decision making mechanism, discussed the problems in different purchasing method, and bring forward a new model of supplier evaluation and decision making mechanism, and combine them together organically, and bring forward the concept of 'gene of performance/price ratio' creatively, and research on the application of the evaluation result into the decision making process, to form a virtuous circle of 'evaluation-decision making-reevaluation-re-decision making'. At last put the result into application, make it not only has the theoretical significance, but also has a practical significance.