Debates over centralised and decentralised procurement, and the linked issue of how much purchasing authority can and should be delegated to respective branch offices/sites, have been going on for years. In fact, every organisation needs to look at its specific needs, and indeed the right approach may differ across different spend categories as well. Select a multinational or a local company in the manufacturing industry that you are familiar with to answer the following questions. (b) Propose an appropriate procurement organisational design (centralised or decentralised) for the selected company.

Practical Management Science
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Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
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Debates over centralised and decentralised procurement, and the linked issue of
how much purchasing authority can and should be delegated to respective branch
offices/sites, have been going on for years. In fact, every organisation needs to look
at its specific needs, and indeed the right approach may differ across different spend
categories as well.
Select a multinational or a local company in the manufacturing industry that you are
familiar with to answer the following questions.

(b) Propose an appropriate procurement organisational design (centralised or
decentralised) for the selected company.

 

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