Purchasing Process Management Optimization Of BBA

In the content of cost in manufacturing industry globally, the cost of the purchased raw materials have covered55%-85%of the sales turnovers of the enterprises, if the purchasing cost decrease5%-10%, the profit will be increased5%-10%, and the total material cost and direct labour cost have increased to4:1from3:1in mid of1990’s.With the increasingly competition and the new technology, there will be more purchasing activities, but the internal profit value will be decreased, therefore it is foresee that cost reduction in the process of purchasing management will be get more profit potentially. Nowadays, we cannot regard purchasing as a single activity towards logistics or only subsidiary function of manufacturing shop of the plant. In order to obtain competition advantage, effect the quick modular response to quality, cost and service, the traditional functional management has been challenged, an optimized purchasing process management will be set up, which means purchasing management will turn from function to process, and this will turn to be the core point for competition of the enterprise.This article state the significant functions of purchasing to enterprise and it’s operation, and it will analyse the current purchasing management problems of BBA. According to the requirement to purchasing process under supply chain management, combining the status of enterprise and the research results of abroad and domestic, to propose an optimized purchasing process. Base on the survey and analysis from BBA, reveal the problem in purchasing management, point out that traditional purchasing mode has turned to be the bottleneck to the development of the enterprise, and it is urgent to optimize the process of purchasing, which incl. localization, RFQ, potential supplier assessment, cost analysis and cost control, supplier selection, supplier evaluation and project management.With the tools of research and analysis under guide of theories, to find out a series solutions for optimizing the purchasing process. The purpose of this article aims on proposing an optimized purchasing process in order to increase the efficiency of the enterprise’s purchasing activities, reduce the cost and enhance the competition.