Study On Procurement Total Costs Of Ownership Of China Telecom Carriers

With the rising competition in the telecommunications industry, the competitive relationship between telecom carriers has progressively turned into the competition between supply chain and supply chain. The only way to meet the new demands from the market and get the initiative in the fierce competition market for telecom carriers is to construct low cost and efficient supply chain and continuously enhance their core competitiveness. Procurement as the first ring of enterprise’s cost management has gradually turned into the profit center instead of the cost center. The quality of the prpcurement cost management relates the product mass and the cost of enterprises. This requirements enterprise to consider purchase problem in a long term way, not only concern the direct cost such us purchase price, transport costs, storage cost and so on, but also consider the recessive cost during the prpcurement cost management process. It needs enterprises to analysis and optimization purchase decision in the angel of total cost of ownership, promote the quality of products and the service, well meet the business demand while seek the way to reduct the total cost of ownership.This thesis has a in-depth study on the certain costs and uncertain costs in procurement process of China telemcom carries, the job has been done are mainly presented as follows:A. Deeply sort out the component elements of total cost of ownership of China telemcom carries form product life cycle and activity-based costing aspects I; B. Analysis supply chain risk identification, assessment method of China telemcom carries. Carding the supply chain risks from outside supply chain, overall supply chain and i telemcom carries, nside supply chain aspects. Combined with AHP Evaluation and FMEA method, this thesis raise a risk weight-utility assesment method which is more appropriate for China telemcom carries risk management, and able to analysis risk value under different products and suppliers procurement situation.C. Combined supply chian risk management method, establish a mathematical model to caleulate the procurement total cost of ownership of China telemcom carries which includes two child models:certain costs calculate model and risk assessment model. Cuculate the procurement total cost of ownership of one telecom carries including three types of pruducts and eight suppliers. Propose the optimization recommendations for improvement of procurement cost management, risk management, supplier management and so on.