Research On Material Purchasing Management Of EPC Project Of A Company

In the EPC project,procurement costs account for 60%-70%of the project's output value,therefor,material purchase is the key point of project management and the main source of project benefit.Though the research on engineering material procurement management,this paper points out the existing problems and solutions in the procurement and purchasing management.And also though administrate of purchasing process,control purchasing quantity?price?and schedule to implement the concept of full life cycle cost of material purchasa.The article studies the purchasing management of Company A mainly from the aspects of purchasing strategy,open bidding and material control,offering a new proposal for improving the purchasing management of EPC Project.In fact,it is found that Company A has various problems of messy formats,differentstandards,detailedcontents,too many examining and approving personnel and long time of testing and approval in the made of acquisition strategy.According to the problems mentioned above,we put forward an improving proposal to push the development of purchasing strategy more templated,regulating the execution of the strategy from basic information of project construction,the way of purchasing,the assurance of price and suppliers,processcontrol,logistics,HSE,cost price control and warehousing management.According to the phenomenon of rejecting to the open bidding and the problem of cut-throat competition between suppliers,the paper advises enhancing the study and implement of the Bidding Law and regulations concerned,improving the prepare work before the open bidding.Besides,through the analysis of the bid lost,the paper summarizes six points needed to be paid attention to during the open-bidding.Last but not least,through the control of whole process from making the purchasing file,issuing the bidding announcement to fulfilling the contract,it finally reduces the risk caused from long time of purchase during the open-bidding.Improve the open-bidding through the implement strategy of purchase and fulfillment of the contract.According to the problem of late start in material control,differentmarketing,slow progress and lack of talented people,the paper suggests to setting up the SPM project department in order to improve the efficient of work.It also discusses how to make progress in the material control management of EPC Project and achieve the goal of material purchasing control in both progress and cost.