By Nancy Y. Moore, Robert C. Roll, Lynne M. Leftwich, James A. Leftwich
This file offers a build for reoranizing Air strength acquisition and buying actions by means of enforcing buying and provide administration.
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Extra resources for Organizational Concepts for Purchasing and SUpply Management Implemantation
Sample text
Extensive procurement benchmarking research of nearly 2,000 global companies finds that world-class companies that employ higher levels of crossfunctional teaming realize a higher quality of decisionmaking with a corporate-wide view of needs. 6 A General Accounting Office (GAO) best practice report finds that leading companies are moving from the traditional role of the buyer to a more strategic commodity/service expert. 7 A cross-functional approach is key to implementing a process-based PSM organization.
1997, p. 10). 3. However, PSM affects and is affected by the other processes as well. • PSM is both short- and long-term; it affects the entire life cycle use of goods and services from raw materials, through customer use, to disposal. It is a strategic, long-term commitment. The implementation, execution, and benefits of PSM must be approached from a current as well as a future perspective. 4 _____________ 4 Initial PSM savings typically come from leveraging spending by consolidating contracts and suppliers; performance improvements come from selecting better suppliers.
The review was called _____________ 6 See Galway et al. (2000). 7 See Zettler (2001). 8 The Spares Campaign resulted in eight initiatives designed to modernize the spares process to support AEF operations, insert financial management changes into the fiscal year 2004 Program Objective Memorandum (POM), provide credible estimates of Air Force spares requirements, provide authority and accountability for spares performance to meet planned weapon systems availability, and exploit relevant commercial capabilities.