There are many terms used when discussing purchasing - procurement, sourcing, supply chain management etc. - and they all have their place in the lexicon. However, the key question is: what do they mean? This presentation explains these concepts in context. It examines the procurement function in relation to the key business functions that fundamentally shape its design, implementation and key decisions made on a daily basis. An excellent discussion for the CIO who:
1. Wants to understand how the business works
2. The role of IT in enabling business functions
But most importantly, in using this as a template to create an IT organization that runs like a business. So, you will learn about procurement and sourcing and supply chain etc. But more importantly you will understand how they fit in with sales and manufacturing and of course IT.
- What are the key functions in a business?
- How are they functions related i.e. how do decisions in one affect the others?
- What is strategy and strategic alignment?
- What is process and its impact on business?
- What is quality and how does it affect business?
- How does sales affect manufacturing?
- How does manufacturing affect purchasing?
- What is logistics? What is forecasting? How do they relate to procurement?
This is an excellent resource for a CIO to learn how a business works in unison to create value for its shareholders. Excellent read!