YT Company Procurement Cost Management Research

The die-casting industry has shown a booming trend in recent years,which has brought about the rising of raw materials for die-casting parts.Relevant data show that since 2010,the market price of raw materials such as aluminum alloy has been gradually increasing along with the market demand for aluminum alloy raw materials.The growth rate reached 4%,further increasing the procurement cost of aluminum alloy raw material demand enterprises.Purchasing cost management plays an increasingly important role in more efficient allocation of enterprise resources and enhancing the competitiveness of enterprises.As a key strategic factor,it affects the realization of long-term development goals of enterprises,and is indispensable for production activities and sales activities of enterprises.Less links.As a professional manufacturer of die-casting parts,YT Company gradually recognizes the importance of procurement cost management in an increasingly competitive market environment and adopts various means to reduce procurement costs.However,there are still many problems to be solved.Taking YT Company as an example,this paper analyzes the procurement cost management problem of YT Company based on the theory and method of procurement cost management.The basic method and idea adopted are “PDCA” method,through the existing procurement process and system of YT Company.Analysis of personnel configuration,supplier management,etc.Although YT has established corresponding systems and programs in the above aspects,it is insufficient in terms of depth and effectiveness,and there are major hidden dangers and problems,namely,procurement personnel.The quality is not high,the procurement process and procurement system are not perfect,the price management is out of control,and the supplier management system is not perfect.The main reasons for these problems are that the leadership does not pay attention,the cost management system is imperfect and the cost control methods are backward.The above problems have a very negative impact on YT's fierce competition in the die casting market,so the above problems must be properly addressed.In view of this,this paper proposes that YT's procurement cost management improvement program must also be carried out in five aspects: personnel,process,system,price and supplier management.At the same time,cost leadership strategy,strategic cost management,and cost management information technology The procurement cost management has been improved to effectively reduce the procurement cost of YT,further improve the economic benefits of YT,and provide a reference for the reduction of procurement costs in the die casting industry.