Study On DTC Strategic Supplier Evaluation

Nowadays, the globalization penetrates into all the countries of the world deeply, and the market competiton is becoming more and more fierce. The increasingly short delivery cycle, high technical requirements and low product price give rise to a situation that in some extent, the competition between the companies is evolved into the completion between the supply chains. As a result, how to improve the competitiveness of the supply chain has been the top priority. This paper adopted Dongfang Turbine Company, Ltd. (hereinafter refered to as "DTC"), a large power equipment manufacturing enterprise, as the study object. It focused on the strategic suppliers’ evaluation of the large equipment manufacturing enterprise, reviewed the suppliers’ current selection and evaluation, and did the in-depth study and analysis of DTC (a typical equipment manufacturing enterprise) supply chains’ current situation, characteristics and problems. By using some related theory and research results, this paper put forward the selection process and steps of DTC strategic suppliers. Based on the corresponding construction principle, and through the questionnaire survey method, some relevant data were got, and the strategic supplier evaluation indexes (such as quality, price and cost, production and delivery capability, innovation, service, management and culture) were extracted from the data. And then, on the basis of the previous studies, this paper adopted the analytic hierarchy process (AHP) which was combined the qualitative and quantitative analytic methods to select and to evaluate DTC strategic suppliers. It constructed a DTC strategic suppliers’ selection system, verified the selection system by living example and the effectiveness and accuracy of the evaluation system had been confirmed. This selection system reflected the actual characteristics and requirements of DTC supply chains management and owned strong operability. It provided not only the guidance to DTC future stragic supplier management and evaluation, but some reference on the study of Chinese equipment manufacturing enterprises’ strategic supplier evaluation.