Research On The Procurement Cost Control Of JH Corporation From The Perspective Of Supply Chain

Since the reform and opening up,China's economy has been rising rapidly,especially in recent years,China's automobile manufacturing industry has developed rapidly.In such a rapid growth of the development background,China's automobile export volume has continued to decline,at the same time,foreign automobile manufacturing leaders have found the Chinese market demand growth opportunities,began to enter the Chinese market,which undoubtedly intensified the intensity of competition in China's automobile market.In order to improve brand awareness and occupy part of the market,many automobile enterprises have adopted the low-price strategy as a sales method,so reducing cost has become the inevitable choice for enterprises to improve their competitive advantage,and the purchase cost directly accounts for 70%~80% of the total vehicle cost.Therefore,the control and management of purchase cost is of great significance.Starting from the industrial background of JH company,this paper analyzes the competition status quo of the industry JH company is in by using porter's five forces model,and finds that the traditional cost control method can no longer give play to the competitive advantage of the enterprise,so it is particularly necessary to adopt advanced cost control concept to reduce the procurement cost.First of all,in order to "high proportion,controllable strong" purchasing cost as the main analysis object,using the TCO technology evaluation standard to JH company purchase cost analysis,put forward that the reason of higher JH company procurement cost is due to: purchase price is on the high side,high inventory holding cost and transaction cost on the high side,and in accordance with the analysis of the existing purchasing cost control a series of problems found.Therefore,enterprises should control procurement cost from the perspective of supply chain.Secondly,combining the influencing factors of JH company's procurement cost with the existing problems of procurement cost control,and aiming at reducing procurement cost for JH company,corresponding improvement plans are proposed from the perspective of supply chain.In the procurement planning stage,JH company should streamline the approval process and use the exponential smoothing method to predict the demand.In the stage of supplier selection,the status quo of supplier management can be improved by establishing the access mechanism of supplier evaluation and hierarchical management of suppliers through the analytic hierarchy process.In the procurement implementation stage,job responsibilities should be clarified,staff training should be strengthened,procurement process should be simplified and procurement cycle should be shortened.However,due to the unscientific inventory management and the lack of strategic vision in inventory decision-making,ABC classification can be used to reduce warehouse costs and idle inventory to reduce inventory holding costs in the inventory management stage.Through the research on the procurement cost control of JH company,the purpose is to solve the procurement cost control problem of JH company,reduce the procurement cost,improve the competitiveness of the industry,and also hope to provide reference for the same type of enterprises in the implementation of procurement cost control.