Research On Purchasing Cost-Controlling Strategy Based On The Management Of Supplying Chain Of National Armament

Armament purchase has a profound influence on national financial burden and security for the needs of the current national defense construction. How to purchase armaments with good quality and reasonable price with limited national defense budget becomes an important problem which deserves study by modern society.With the development of globalizing economy and computer & IT technology, the accelerating information is prevailing to every corner of the world. Military enterprises will be facing a more and more fierce, or even cruel, marketing competition. Under this situation it is very important to learn how to cope with the ever changing and unpredictable purchasing market and make efficient use of limited resources to change the slow response of traditional manufacturing and managing pattern into quick response, which can best exert the competitiveness.This article tries to find a new way out for the cost-control of our national military enterprises from a new type of management pattern----supplying chain management.This article, beginning from the development situation of current armament equipment, analyses the important position and features of purchasing armament and points out the significance of controlling armament purchasing cost to our national defense and manufacturing units. This article holds that the cost-controlling strategy based on the management of supplying chain is of feasibility.Based on the concepts and methods of supplying chain and its management as well as the fundamental theory of purchasing under supplying chain, this article makes a comparison between traditional purchasing and supplying chain purchasing and a comparison of between them to explain the effectiveness of controlling cost in supplying chain purchasing.What’s more, this article also introduces the features of purchasing armament which is a kind of special products. This article introduces the purchasing procedure of armament from two aspects of army and military manufacturing units with emphasis on setting price of purchasing armament. The factors that may influence the cost of purchasing are analyzed to point out the deficiency in the cost-control of armament purchasing. This article points out that low management of supplying chain, the post-oriented cost-control and the reality of national armament purchasing mainly contribute to the deficiency.Then this article introduces the strategies of American and Western countries based on their well developed purchasing management system to learn some feasible strategies. Based on these learned strategies, this article proposes the suitable strategy for our national armament purchasing cost-control according to the theory and method of supplying chain.Finally, a case of certain armament is raised to illustrate the effectiveness of purchasing cost-control by using the management of supplying chain.