GMS 701 Lecture Notes - Lecture 3: Transaction Data, Software As A Service, Transaction Cost
19 Dec 2017
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Document Summary
Potential contribution to effective organizational operations inherent to the function. Identification and analysis of possible sources of supply. Preparation and placement of the purchase order. A person or a system identifies a definite need in the organization- what, how much, and when needed. The greatest opportunity to affect value is when needs are recognized and described (product conception and design: supply and supplier(s) can contribute more in these steps than later in the acquisition process. Needs should be driven by external customers: external customer needs >>> internal customers >>> purchasers >>> potential suppliers. An accurate description of the need (good, service, or combination) is essential: unclear or ambiguous descriptions, or over specified materials, services, quality. = unnecessary costs: supply management and the internal customer or cross-functional sourcing team share responsibility for accurate descriptions. A gatekeeping tool to manage the flow of information through three gates: One optional communication tool that is not a solicitation for business:
