1 / 6

Ch 5. Knowledge of Supply Market (Cont.)

Ch 5. Knowledge of Supply Market (Cont.). Edmundo Largaespada Cheng-Tao Yu Xiaodong Zhao. Knowledge of Supply Markets Implications. Supplier-specific knowledge Understanding more about suppliers will create advantages for purchasers in the following aspects:

judd
Download Presentation

Ch 5. Knowledge of Supply Market (Cont.)

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Ch 5.Knowledge of Supply Market(Cont.) Edmundo Largaespada Cheng-Tao Yu Xiaodong Zhao

  2. Knowledge of Supply MarketsImplications • Supplier-specific knowledge Understanding more about suppliers will create advantages for purchasers in the following aspects: • The cost model will support contract negotiations • By determining the supplier’s profitable product range, the purchaser can add value to the firm

  3. Knowledge of Supply MarketsImplications (cont.) • Identifying the appropriate technology used by supplier improves sourcing alternative • Management and ownership can improve purchaser’ strategic planning • Process used by the supplier may optimize the information flow of the purchaser • Knowing who has the relevant innovation and introducing it to the market will improve the advantage of the firm

  4. Knowledge of Supply MarketsImplications (cont.) • Purchaser’s firm knowledge • Understanding the production process optimize the supplier’s selection • Understanding the customer’s requirement enable timely access to technology innovation • Understanding the financial resources help determine the outsourcing strategy • Understanding cost structure

  5. Knowledge of Supply MarketsFrom Data to Knowledge Determine What We Need Macroeconomic Industry Specific Supplier Specific Purchaser’s Firm Collecting Data Formal Process Informal Process Analyzing Data Combining Sources Knowledge Selectivity Disseminating Knowledge

  6. Knowledge of Supply MarketsConclusions: Supply market knowledge is vital for the efficient and effective management of the products and services. To undertake any aspect of the purchasing activities without detailed supply market knowledge only serves to increase the probability of failure.

More Related