Scribd Logo
Upload

Welcome to Scribd!

  • 13 views

    Unit - 2 Purchasing - Compressed

    Uploaded by

    Saurabh Tiwari
    The document discusses the responsibilities and objectives of scientific purchasing. The purchasing agent is responsible for obtaining the right quality, quantity, time and price of goods from the right source. The objectives of scientific purchasing include producing goods on time and at the right quality, reducing waste, keeping costs low, and maintaining good supplier relationships. Key principles are obtaining the right quality, quantity, price, time and source for purchased goods. The purchasing process involves requisitions, obtaining quotes, placing orders, follow up, receipt, inspection and payment. Factors in make-or-buy decisions include spare capacity, manufacturing costs, labor issues, opportunity costs, and supplier relationships.

    Copyright:

    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd
    Flag for inappropriate content

    You might also like

    Unit - 2 Purchasing - Compressed

    Uploaded by

    Saurabh Tiwari
    13 views21 pages
    The document discusses the responsibilities and objectives of scientific purchasing. The purchasing agent is responsible for obtaining the right quality, quantity, time and price of goods from the right source. The objectives of scientific purchasing include producing goods on time and at the right quality, reducing waste, keeping costs low, and maintaining good supplier relationships. Key principles are obtaining the right quality, quantity, price, time and source for purchased goods. The purchasing process involves requisitions, obtaining quotes, placing orders, follow up, receipt, inspection and payment. Factors in make-or-buy decisions include spare capacity, manufacturing costs, labor issues, opportunity costs, and supplier relationships.

    Original Description:

    Original Title

    Unit -2 Purchasing_compressed

    Copyright

    © © All Rights Reserved

    Available Formats

    PDF, TXT or read online from Scribd

    Did you find this document useful?

    Is this content inappropriate?

    Report this Document
    The document discusses the responsibilities and objectives of scientific purchasing. The purchasing agent is responsible for obtaining the right quality, quantity, time and price of goods from the right source. The objectives of scientific purchasing include producing goods on time and at the right quality, reducing waste, keeping costs low, and maintaining good supplier relationships. Key principles are obtaining the right quality, quantity, price, time and source for purchased goods. The purchasing process involves requisitions, obtaining quotes, placing orders, follow up, receipt, inspection and payment. Factors in make-or-buy decisions include spare capacity, manufacturing costs, labor issues, opportunity costs, and supplier relationships.

    Copyright:

    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd
    Flag for inappropriate content
    Download as pdf or txt
    13 views21 pages

    Unit - 2 Purchasing - Compressed

    Uploaded by

    Saurabh Tiwari
    The document discusses the responsibilities and objectives of scientific purchasing. The purchasing agent is responsible for obtaining the right quality, quantity, time and price of goods from the right source. The objectives of scientific purchasing include producing goods on time and at the right quality, reducing waste, keeping costs low, and maintaining good supplier relationships. Key principles are obtaining the right quality, quantity, price, time and source for purchased goods. The purchasing process involves requisitions, obtaining quotes, placing orders, follow up, receipt, inspection and payment. Factors in make-or-buy decisions include spare capacity, manufacturing costs, labor issues, opportunity costs, and supplier relationships.

    Copyright:

    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd
    Flag for inappropriate content
    Download as pdf or txt
    of 21

    UNIT-2

    PURCHASING
    MEANING
    “IT IS THE PURCHASING
    AGENT’S RESPONSIBILITY TO
    SEE THAT RIGHT QUALITYIS
    UNIT-2 BOUGH IN THE RIGHT
    QUANTITY, AT THE RIGHT
    TIME AND PRICE AND FROM
    PURCHASING THE RIGHT SOURCE”
    - JAMES
    LUNDY
    OBJECTIVES OF SCIENTIFIC PURCHASING

    1. TO PRODUCE GOODS IN RIGHT QUANTITY AND TIME


    2. TO REDUCE WASTE
    3. TO PRODUCE GOODS OF RIGHT QUALITY
    4. TO KEEP TIME FACTOR IN MIND
    5. TO WITHSTAND COMPETITION
    6. TO CREAT GOODWILL AMONG SUPPLIERS
    7. CO-OPERATION WITH OTHER DEPARTMENTS
    8. TO DEVELOP POLICY AND PROCEDURE
    9. OPTIMUM USE OF FUNDS
    IMPORTANCE OF SCIENTIFIC PURCHASING

    1. EFFICIENCY
    2. QUALITY OF THE FINAL PRODUCT
    3.REDUCTION IN COST OF PRODUCTION
    4. TIMELY PROCUREMENT (PURCHASE, PRODUCTION AND SALES)
    5. IMPROVED PROFITABILITY
    6. OPTIMUM USE OF FINANCE
    7. DELIVERY OF GOODS IN TIME
    8. CONTINUITY IN PRODUCTION
    9. CONTROL OVER MATERIALS
    10. MISTAKE CORRECTED IN TIME
    11. WORKLOAD OF SUPERVISORS REDUCED
    12. REDUCES WASTAGE OF MATERIALS
    13.INCREASED PRODUCTIVITY
    14. RAISES PRESTIGE OF THE FIRM
    PRINCIPLES / PROBLEMS OF
    SCIENTIFIC PURCHASING/ 5Rs

    1. RIGHT QUALITY
    2. RIGHT QUANTITY
    3. RIGHT PRICE
    4. RIGHT TIME
    5. RIGHT PLACE/ SOURCE
    6. VERIFICATION
    PURCHASING PROCEDURE

    1. PURCHASE REQUISITION
    2. RECEIPT OF QUOTATIONS
    3. PLACING OF ORDERS
    4. FOLLOW-UP OF THE PURCHASE ORDER
    5. RECEIPT AND INSPECTION OF GOODS
    6. CHECKING OF INVOICE AND PAYMENT
    Factors affecting to make or buy
    decision

    1. Spare capacity
    2. Cost of manufacturing
    3. Skilled workers
    4. Labor Problems
    5. Opportunity cost
    6. Business Secrets
    7. Suppliers
    8. Standard products

    You might also like