Research On Purchasing Management Optimization Of S Construction Company Under The Supply Chain Management

The construction market is in face of fierce competition with a rate of slow growth in the construction industry in China. And the construction enterprises must enhance their core competitiveness to survive where the living space is decreasing gradually. For the particularity in construction industry, the procurement of building materials and management of construction equipment will cost about 70 percent of the whole project. Therefore, it is important to develop an appropriate procurement to reduce procurement costs and improve procurement ability, which plays an important role in the improvement of core competitiveness for enterprises. Based on supply chain management, the optimization of procurement management for a construction company named S is studied in this paper. It is organized as follows:Firstly, the aspects of organization, costs and process in procurement, including stock logistics of management,are investigated for the S company. And this paper presents a solution to deal with problems existing in these aspects,which can optimize the company’s procurement management.Secondly, for this company is lack of a scientific supplier management method, a series of schemes are established on evaluation, selection and management of supplier using the theory of supply chain management in procurement. Not only are the company’s supplier management capabilities enhanced, but also the procurement level is improved fundamentally.Finally, a scheme is proposed to guarantee the implementation of the procurement management in a smooth mode. In addition, some aspects of the procurement management are discussed, including the construction of procurement team, performance and information system, and the supplier management. It is said that the progress of procurement optimization could be guaranteed,meanwhile the company’s procurement efficiency and procurement level are improved.