supply function in process of specifying requiements
process of requisitioning authorisation
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Supply chain managment
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What can happen when purchasing &
supply is not involved in specifying...
12
Urgent requirements 9
6
3
Ignoring good commercial practice, resulting
in:
Restrictive specifications
Expensive customised parts
Sourcing difficulties
Over-specifying
Lack of clarity for the supplier
ITC M2:U5:5.2-1
, How it should work!
P&S should be informed & involved early
Specifying should involve interaction at various
levels
It should be a cross-functional process
P&S should contribute its market knowledge…
…and facilitate suppliers’
involvement to promote innovation & best
solutions
ITC M2:U5:5.2-2
, Action Point 5.2-1
Purchasing & supply in your company’s
specification process
• Is it involved? Why or why not?
• Which problems could it help to resolve if it were
more involved?
ITC M2:U5:5.2-3
, Taking account of all the needs
User/consumers
consumption habits and patterns
influencing factors
The case of machinery & equipment
people who will install, operate & maintain it
operating conditions
types & availability of materials & other required
inputs
compatibility with existing equipment
ITC M2:U5:5.2-4
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