Procurement in pandemic conditions - Critical analysis and application of online sourcing strategies
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| Dokumentumtípus: | Diplomadolgozat |
| Kulcsszavak: | beszállító(k) COVID-19 e-kereskedelem e-üzlet ellátási lánc - ellátó hálózat nemzetközi gazdaság SAP |
| Online Access: | http://dolgozattar.uni-bge.hu/35144 |
| Kivonat: | The thesis focuses on the procurement processes of a Hungary-based international oiland gas company. Respecting the company’s request, the report will not disclose its name.The pandemic had negative effects on the market activities, in which the companyconducts its business. Besides that, governmental measures deepened the crisis. As aresult, the company’s EBIDTA declined by 44% comparing to the previous year, so plannedCapital Expenditures (CAPEX) suffered severe cuts and Operational Expenditures (OPEX)has been significantly reduced as well. The organization had to change its strategy, andby significant cost saving measures, it has to survive these difficult times. Theprocurement plays a key role in cost saving. The research questions is: Which methodsand online tools make more cost-efficient procurement strategies possible for non-criticalitems?The procurement has strategical importance within the organizations, as this is theprocess which results the delivery of goods or services within a set time period, at a setprice. The thesis focuses on non-critical items, which is managed by the indirectprocurement, as all other goods necessary for maintenance, repair or operation. The directprocurement deals with goods for manufacturing processes.Due to the technological development, several online procurement tools are availablenow, which allow organizations to decrease the process costs and cycle times, decreasethe purchase costs, shorten the negotiation periods and have a better overview on themarket prices. Reverse auctions are methods used in e-procurement. What is common inthem, that they all target price optimization, supplier comparison and decision-makingsupport.The company uses reverse auctions for only 10% of the total purchase, moreover, itworks with outdated platforms, a very hierarchical procurement structure, and inflexibleconditions. By analyzing the relevant literature and the interviews with other businesseswe realized that the company should implement changes not only in procurementprocesses, but in the procurement strategy as well.The changes in procurement strategy target decentralization, segmentation bystrategic and transactional purchases and/or segmentation by geographical division.Regarding to change the procurement processes, we suggest using reverse auctions,particularly English reverse auction for office supplies in general, and Japanese reverseauction for the more expensive office items. Parallel with that we suggest implementingthe SAP Ariba as an online procurement tool, as it would support further cost savings, bothin process costs and product costs, and it would result in decreased cycle times. The Aribawould support proper supplier performance monitoring and building a dynamic supplierdatabase.The proposed solution does not require high investment or specific trainings from thecompany, can be used in a wide variety of cases. |
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