strategic procurement
Qn. Select procurement/ supply chain management function (department/unit) of any company/ organization you are familiar with. In the selected context, answer the following:
a) What are the major objectives of the department/ unit in focus? Do you find these objectives aligned to organization’s strategic goals? Why or why not?
b) Critically examine the organizational positioning of the department in terms of structure and power/ authority to influence strategic decision making
c) Suggest any five major steps regarding how the department/ unit could be made more effective in contributing towards strategic objectives of the organization.
The major objectives of the Procurement Management unit at National Social Security are as follows:
The aim and objective of procurement is to carry out activities related to procurement in such a way that the goods and services so procured are of the right quality, from the right source, are at the right cost and can be delivered in the right quantities, to the right place, at the right time.
Meeting the following objectives of procurement enables the Procurement Specialists to fulfil the “Six Rights”: buy quality materials, items and services economically from reliable sources; ensure timely delivery through the selection of capable and efficient suppliers; continuously locate, evaluate and develop economical and reliable supply sources; identify the most reliable sources of supply through either open tender, multi-stage tendering (pre-qualifying suppliers and retaining only those that are capable of meeting the organisation's requirements - strategic sourcing) and limited tendering. investigate the availability of new materials and monitor trends in market prices; buy in accordance with organisations policies; estimate, position and monitor appropriate levels of stocks based on estimated needs, operational policy, objectives and priorities, estimated time for
a) What are the major objectives of the department/ unit in focus? Do you find these objectives aligned to organization’s strategic goals? Why or why not?
b) Critically examine the organizational positioning of the department in terms of structure and power/ authority to influence strategic decision making
c) Suggest any five major steps regarding how the department/ unit could be made more effective in contributing towards strategic objectives of the organization.
The major objectives of the Procurement Management unit at National Social Security are as follows:
The aim and objective of procurement is to carry out activities related to procurement in such a way that the goods and services so procured are of the right quality, from the right source, are at the right cost and can be delivered in the right quantities, to the right place, at the right time.
Meeting the following objectives of procurement enables the Procurement Specialists to fulfil the “Six Rights”: buy quality materials, items and services economically from reliable sources; ensure timely delivery through the selection of capable and efficient suppliers; continuously locate, evaluate and develop economical and reliable supply sources; identify the most reliable sources of supply through either open tender, multi-stage tendering (pre-qualifying suppliers and retaining only those that are capable of meeting the organisation's requirements - strategic sourcing) and limited tendering. investigate the availability of new materials and monitor trends in market prices; buy in accordance with organisations policies; estimate, position and monitor appropriate levels of stocks based on estimated needs, operational policy, objectives and priorities, estimated time for