324 exam 1 study guide

324 exam 1 study guide - Chapter 1 Cross-functional-...

Info iconThis preview shows pages 1–2. Sign up to view the full content.

View Full Document Right Arrow Icon
Chapter 1 Cross-functional- involves purchasing, engineering, supplier quality assurance, the supplier, and other related functions working together as one team, early on, to further mutual goals Supply chain- a set of three or more organizations linked directly by one or more of the upstream and downstream flows of products, services, finances, and information from a source to a customer Supply chain management- endorses a supply chain orientation and involves proactively managing the two-way movement and coordination of goods, services, finances, and information from a source to a customer Requires purchasing professionals to work directly with those suppliers that are capable of providing world-class performance and advantage to buyers Extended value chain/ Extended enterprise- success is a function of effectively managing a linked group of firms past first-level suppliers or customers Purchasing- a functional group as well as a functional activity (formal entity that buys goods and services) Value chain- composed of primary and support activities that can lead to competitive advantage when configured properly Organizational design- the process of assessing and selecting the structure and formal system of communication, division of labor, coordination, control, authority, and responsibility required to achieve organizational goals and objectives, including supply chain objectives Chapter 2 Purchasing process- process used to identify user requirements, evaluate the need effectively and efficiently, identify suppliers, ensure payment occurs promptly, ascertain that the need was effectively met, and drive continuous improvement Supply base management- selection, development, and maintenance of supply Stakeholders- individuals that have a significant stake in the effectiveness of purchasing performance Span of control- the duties carried out by a functional group on behalf of the organization Maverick buying and selling- occurs when sellers contact and attempt to sell directly to end users (purchasing’s internal users) E-procurement- the suite of tools used to achieve efficiency in purchasing transactions Description by brand- used when a product or service is proprietary, or when there is a perceived advantage to using a particular supplier’s products or services Description by specification- an organization may need to provide very detailed descriptions of the characteristics of an item or service Description by performance characteristics- focuses attention on the outcome the customer wants, not on the precise configuration of the product or service Request for quotation- initiates competitive bidding by requesting a price and awarding business to the most qualified supplier Request for proposal- document sent by the purchasing department to a supplier when a contract requires negotiation rather than competitive bidding
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Image of page 2
This is the end of the preview. Sign up to access the rest of the document.

This note was uploaded on 02/25/2012 for the course MGMT 4375 taught by Professor Eixmann during the Fall '11 term at Texas State.

Page1 / 4

324 exam 1 study guide - Chapter 1 Cross-functional-...

This preview shows document pages 1 - 2. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online