Optimizing Analyses Of International Procurement Management For DTC Company

Production factors are flowing relatively free in the world under economic globalization. Nowadays Chinese enterprises are facing the transformation and upgrading under the "new normal". But in the previous extensive growth mode, the majority of enterprises' main simple purpose is just to obtain the resources for production through international procurement. With deep development moving on, it requires much higher international procurement capacity and management level of enterprises to comply with the transformation and upgrading of enterprises and independent innovation. If the enterprise itself has a clear positioning for its own international procurement stage of development, it will be able to well promote the enterprises to improve the international procurement optimization and use global resources more efficiently. Also, the enterprises could be able to win advantages in the future market competition and their development.DTC company is using as this paper's research object. This company is an influential stated-owned enterprise in power equipment manufacturing industry. Along with the development of China's social and economic reform and opening, this company has mainly experienced and been growing in a extensive mode of development for international procurement management as many other Chinese enterprises. This kind of developing mode had its relative rationality at that period of time to seize global tight resource. However, with the development and progress of technology, in the current macro situation of China's economic transformation and upgrading, the international procurement management of DTC company do has the necessity to optimization.First of all, this paper introduces the background of the international procurement of DTC company, using of international procurement stage theory and with the form of questionnaire survey to get the accurate position of this company's international procurement stage. According to the result of analysis, actually, DTC company is currently in the stage of very beginning. It is still paying much attention on hard costs and facing obstacles mainly from external side. In such situation, the optimization strategies are made aim to hard cost and external barrier and starting from the point of view optimization of supply chain management. Three aspects of improvements and optimized solutions are given on international procurement model, the supplier management and international procurement logistics operation. Some measures have been implemented and somehow achieved certain positive role. And it is clear that optimization won't be able to accomplish in an action, continuous improvement of soft cost and internal barrier would also play an important role for DTC's development path of international procurement. According to this aspect, this paper gives the improvement opinion on these aspects from the angle of risk management and suggestions expectations. This paper might play a certain reference role on those large state-owned enterprises who want to make continues improvements of international procurement management.