Assume that you are the Purchasing Manager recently joined to a manufacturing company which consists with several functional divisions. You are reporting to the Managing Director of the company. The company has been implementing a purchasing strategy with less coordination with the other functional groups within the company. Moreover, there has been no coordination with its suppliers. As a qualified person with a MBA in supply chain management, you identified that it is required to do changes in many areas, especially the integration and collaboration of functional divisions when developing purchasing strategies. Write a one-page memo to the Managing Director outlining the benefits of having regular meetings between the heads of design, marketing, production and yourself when implementing the purchasing strategy. Indicate the possible advantages of involving suppliers in the preparation of specifications for bought-out items and on developing new products. Describe at least four benefits of functional involvement on meetings and discussions related to purchasing decision. Describe at least three benefits of involving suppliers in preparing specifications

Purchasing and Supply Chain Management
6th Edition
ISBN:9781285869681
Author:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson
Publisher:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson
Chapter2: The Purchasing Process
Section: Chapter Questions
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Assume that you are the Purchasing Manager recently joined to a manufacturing company which consists
with several functional divisions. You are reporting to the Managing Director of the company. The company
has been implementing a purchasing strategy with less coordination with the other functional groups within
the company. Moreover, there has been no coordination with its suppliers. As a qualified person with a
MBA in supply chain management, you identified that it is required to do changes in many areas, especially
the integration and collaboration of functional divisions when developing purchasing strategies. Write a
one-page memo to the Managing Director outlining the benefits of having regular meetings between the
heads of design, marketing, production and yourself when implementing the purchasing strategy. Indicate
the possible advantages of involving suppliers in the preparation of specifications for bought-out items and
on developing new products.

  • Describe at least four benefits of functional involvement on meetings and discussions related to purchasing decision.
  • Describe at least three benefits of involving suppliers in preparing specifications.
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