Analysis And Optimization About Procurement Process Of B Company

With China join to the WTO and the continuous improvement of the level of science and technology,companies need to continuously improve product quality and service levels,reduce costs and supply cycle time to face with fierce competition in the market environment,rapid changes in end-customer demand and shorten the product life cycle and other issues.Purchasing is the beginning of business operations in an enterprise.It is a combination of logistics,cash flow,information flow and work flow from supply and demand,which influences an enterprise's cost and profit.According to statistics,most enterprises spend 60%-80% of total cost on purchasing,meanwhile,50% product quality problems are related to purchasing.Hence,improving purchasing process is significant in increasing competitive strength to a company.This paper takes B company as the research object,and introduced the B company and procurement-related basic situations,then use the Visio,ASME analysis and interview method,the procurement process problems are found according all aspects of understanding and analysis,and the mainly issues arise from four aspects: the personnel,suppliers,information systems and processes.So in the following analysis,this paper will use the method of ECRS to optimize and design the original process,and put forward requirements to the implementation of the optimized program,to guarantee the implementation of the program smoothly.From the implementation of the effect we can we find procurement cycle and buyers' workloads have all greatly reduced,while procurement efficiency has also been improved.As a microcosm of the subsidiary of Group B,according to the problems existing in the optimization process of B Company's procurement process is solved,it will be promoted in a large scale in the subsidiary company,and the improvement effect can be achieved quickly.And it also have some reference for a similar foreign companies.