Optimal Purchasing Strategies For H Company Based On Supply Chain Management

Supply chain management, as an emerging management discipline, compared with thetraditional economic theory, the proposed time is not long. But it has achieved a lot in thepractical application in some large multinational companies in recent years. These achievementsshow that supply chain management is an important means for enterprises to improveproduction efficiency, reduce production costs, and enhance their market competitiveness.Supply chain management thinking for most of the domestic enterprises deeply under the impactof the traditional planned economy in the long-term is a rare opportunity in the sense ofmanagement. It also has important practical significance for the power installation businessresearched in this thesis.H company is a power installation company, a state-owned enterprise operating under thetraditional management system. In recent years，H company purchasing is low-level efficiency,the relation of supplier isn’t classification, the overseas projects is go badly and face a series ofrisks. In order to solve this problem, this thesis has analyzed H company’s procurementstrategy, supplier management and procurement strategy of overseas projects, and the impactof supply chain operating risk on the enterprise. The thesis has raised an issue of highpertinency that relying on reasonable procurement optimization strategies in the supplychain-based environment H company’s strategies can help the enterprises as well as theirstrategic partners under the same supply chain to improve competitiveness by means ofprocurement strategy optimization, suppliers management strategy optimization, overseasproject procurement strategy optimization, and other solutions. Under the research of theabove issues, through analysis of the reality of the company cases, various data comparison,Kraljic model and theory with practical business method, the supply chain theory is blended toH company’s management practice. It coming to fruition in real life. It is believed that theresearch of the thesis can help the enterprises like H company to improve management level,and help the companies use them as sources of their references in the situation for thecompanies similar to the H company with traditional management methods.