Evaluation On Purchasing Management Performance Of Lingshou JS Co., Ltd.

In recent years, more and more enterprises pay close attention to enterprise performance evaluation theory which was constantly improving. Also the theory of the books gradually was applied to the evaluation of the actual management of the enterprise. Currently, the purchase method of enterprise performance evaluation in China is not so perfect, which can not meet the need of global competition, the strategic direction of development. For cement manufacturer, material procurement costs account for a significant portion of the total cost. So how to reduce the cost of procurement of materials to enhance corporate profits plays an important role. Therefore, it’s necessary to improve the enterprise procurement performance evaluation system.The research object of this article, Lingshou JS Co., Ltd., in April 2013 was been taken over and reorganized by large state-owned enterprises JS. So it turned into a state-owned joint venture enterprises from a private enterprise. In the past two years the company had gradually normal development. This article is based on the company’s procurement management performance evaluation, and analyzes the shortcomings of the current system exist. For example, the assessment index design is unreasonable and in complete, so it cannot properly reflect the company’s performance evaluation of the procurement department, and also indirectly affect the achievement of the company’s strategic objectives. Therefore, it is of great significance to strict the implementation of corporate procurement management system and establish a practical procurement management performance evaluation system. Whether purchasing department is working to achieve the desired goal, the enterprise procurement of supplies, raw materials are decided only by the examination and the evaluation. By introducing a reasonable and comprehensive Balanced Scorecard performance evaluation system relies on the procurement, in order to improve the efficiency of the purchasing department and thus enhance the overall performance of the enterprise, and ultimately achieve corporate strategic goals.This paper is divided into five parts, the first part of this paper introduces the background, significance, brief literature and research methods and content. The second part is the theoretical part of this paper, introduces the concept of performance and performance management, procurement performance evaluation of the concept and classification, BSC theory and characteristics, KPI theory, AHP, they are the theoretical basis of this paper. The third part introduces Lingshou JS Co., Ltd. company profile, current procurement performance evaluation system and its analysis. The fourth part is to propose an improved procurement performance evaluation system to BSC theory, to the enterprise proposed new performance indicators. The fifth part is the conclusion of the paper. The purpose of this study is not only an evaluation model for the design of business, but also in the enterprise performance evaluation of Purchasing managers have a new assessment program. With the methods of financial and non-financial indicators,the performance evaluation of corporate purchasing become more reasonable, and improving of procurement efficiency brings an overall benefit to the enterprise.