Study On Buy-sell Model Application In PH Company Supply Chain Management

The competition in the market has become more and more drastic with the globalization of economy. The companies need to continuously drive down their cost besides their leading core competency to win the customers so that they can stick to their market position in this complex and competitive environment. Outsourcing emerges with continuous specification of social division of labor. It’s getting more and more popular due to its unique characteristic of low cost.Buy-sell model is a new supply chain management concept which is just rising in recent years, it’s gradually known and then practiced by some biggest OEM in the world. Because the study to Buy-sell model started very late, there is still no a systematical theory so far and how it should be implemented are still open questions.This paper studies the supply chain management to outsourced manufacturing business in PH company by using the supply chain management theories and knowledge. It firstly understands current status of PH company supply chain management and analyzes the problems often happened, then demonstrates the applicability of Buy-sell model in PH company and explores the implementation as well as the operations and maintenance of Buy-sell model at PH company. In the end it analyze the effects to PH company supply chain management with Buy-sell model installation. The result shows that Buy-sell model can help PH company improve supply chain management processes, reduce the material purchasing cost and mitigate supply chain risk. This study provides reference to Buy-sell model implementation in similar enterprise, it also gives some ideas for supply chain management optimization to the company with manufacturing outsourcing.