Chapter 22 - Chapter 11 Strategic Leadership Chapter 22 ©...

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Unformatted text preview: Chapter 11: Strategic Leadership Chapter 22 © Oxford University Press Southern Africa, 2008. All rights reserved. PURCHASING AND SUPPLY MANAGEMENT Chapter 11: Strategic Leadership CHAPTER CONTENT • Opening case: Procurement at SAB • Introduction • Broadening the provision function • The importance of the purchasing and supply function to the business • The management task of the purchasing and supply manager • Tools available to purchasing and supply management © Oxford University Press Southern Africa, 2008. All rights reserved. Chapter 11: Strategic Leadership ACTIVITIES OF THE PURCHASING AND SUPPLY FUNCTION • Choose suppliers. • Purchase and arrange for the transport of materials to the business. • Decide what prices to accept. • Determine quantity and quality of materials or services. • Expedite and receive materials. • Control warehousing and inventory holding. Chapter 11: Strategic Leadership THE SCOPE OF MATERIALS SUPPLY APPROACHES AND ACTIVITIES Chapter 11: Strategic Leadership THE IMPORTANCE OF THE PURCHASING AND SUPPLY FUNCTION TO THE BUSINESS • Purchasing costs account for a business’ biggest expense and thus represent an area where cost savings can make a vital contribution to the business profits. • Stock is held to prevent disruptions in the transformation process when there is an interruption in the flow of material to a business. The aim of inventory management is to keep inventory levels as low as possible, without risking an interruption in the operational process....
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This note was uploaded on 03/22/2011 for the course MNB 101D taught by Professor Unknown during the Spring '09 term at University of South Africa.

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Chapter 22 - Chapter 11 Strategic Leadership Chapter 22 ©...

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