Research On Purchasing Management For Auto Components-FAW-VW

With the gradual maturity of the Chinese automobile market,the competition in the Chinese automobile market is becoming increasingly fierce.Minimize the cost of the entire vehicle to ensure its own sales and profits.Among them,excellent purchasing management capabilities are the top priority.For FAW-Volkswagen,the pressure on parts procurement management is also increasing.After several years of development,the procurement department has undergone several changes,and the number of employees has grown from a few people at the beginning of establishment to hundreds of people now.The scale of suppliers has expanded from the initial dozens to the current hundreds,and the procurement process has also initially referenced German Volkswagen and FAW Group to hundreds of unique process documents for FAW-Volkswagen.This paper analyzes and analyzes the core issues of FAW-Volkswagen’s procurement management in the procurement process,employee training,supplier management and cost control methods,points out the current problems and gives corresponding solutions one by one.With a view to improving the antagonistic relationship between the OEM and the component suppliers through scientific procurement management,the conflicts will be alleviated,and then the reasonable cost control methods and supplier management methods will be explored to achieve a win-win cooperation between both parties.This paper summarizes the production layout,product planning,and business strategy of FAW-Volkswagen Co.,Ltd.,and further introduces the focus of this article on the history of the development and transformation of the procurement department,organizational structure,procurement process,material cost optimization methods,products The key content of supply guarantee and other work,and then a simple combing of the problems in the current procurement management process in the procurement process,employee training,supplier management and procurement cost management.Secondly,through the detailed analysis of procurement management to the core work content of professional buyers-supplier management,procurement cost management and capacity supply guarantee,through the use of comparative analysis tools to deeply analyze the competition management model of competitors Toyota and GM,so as to find out the advantages and disadvantages of FAW-Volkswagen in procurement management.Third,after years of development,FAW-Volkswagen ’s procurement has also seen new features and changes such as enhanced central procurement,huge purchase amounts,platform model purchases increased year by year,new business growth,and complex production capacity assurance work.The company has been unable to fully adapt to the rapid development of the market in terms of the procurement process,the procurement team is younger and cannot be fully qualified for procurement in a short period of time;the supplier system is huge but the development of R & D capabilities,quality assurance capabilities and supply guarantee capabilities is not Cooperative development cannot be achieved;the cost management aspect relies too much on the existing rapid contract price reduction by relying on new business outsourcing while ignoring the development and application of other scientific cost reduction methods.Finally,give improvement countermeasures,continue to improve the process and actively introduce IT management systems to help improve the efficiency of procurement management,increase the management of core strategic partners in supplier management and promote the rapid improvement of supplier capabilities from several aspects,and optimize with the times The concept of cost management accelerates the test of practical effects of other cost reduction measures.In summary,the full text is divided into four chapters: Chapter 1,Introduction;it mainly introduces the background and significance of the topic,the research methods of the thesis and the literature review.The second chapter,the current status of FAW-Volkswagen’s procurement management,introduces the management status of the company and the procurement department,a simple combing of the current problems.The third chapter is the analysis of the causes of FAW-Volkswagen’s procurement management issues,with emphasis on the procurement process,workforce,supplier management and procurement cost management.Chapter 4 gives the improvement measures of FAW-Volkswagen’s procurement management,which are process optimization,strengthening personnel training,optimizing supplier management and procurement cost management capabilities.This paper takes the method of combining theoretical research and practical research,finds ways to improve the performance of procurement management through survey research and comparative analysis in the same industry,and finds a method of collaborative development from different perspectives inside and outside the OEM and suppliers.