Unit8PurchasingPartIPracticalReadingPassageA IntroductiontoPurchasingPurchasing is primarily responsible for inbound flows into an organizationwhereas logistics spans both inbound and outbound relationships and materialflows. Purchasing and logistics need to work closely in coordinating inboundlogistics.Purchasing was once looked upon primarily as a service function. It was notthe responsibility of purchasingto question those needs,forge long-termrelationships with suppliers, or to understand the needs of the end customer.Purchasing focused on getting the right product or service to the right place at theright time in the right quantity, in the right condition or quality, and from the rightsupplier at the right price. Typically, purchasing was not seen as an activity ofstrategic importance. It involved following a series of prescribed steps, whichincluded writing up a purchase order, contacting suppliers for pricing, andsometimes following up on a supplier who failed to deliver.The role of purchasing in the supply chain is an integration of businessprocesses from end userthrough original suppliers that provide products, services,and information that add value to customers
Unit 8 Purchasing Passage A Introduction to Purchasing Purchasing is primarily responsible for inbound flows into an organization, whereas logistics spans both inbound and outbound relationships and material flows. Purchasing and logistics need to work closely in coordinating inbound logistics. Purchasing was once looked upon primarily as a service function. It was not the responsibility of purchasing to question those needs, forge long-term relationships with suppliers, or to understand the needs of the end customer. Purchasing focused on getting the right product or service to the right place at the right time in the right quantity, in the right condition or quality, and from the right supplier at the right price. Typically, purchasing was not seen as an activity of strategic importance. It involved following a series of prescribed steps, which included writing up a purchase order, contacting suppliers for pricing, and sometimes following up on a supplier who failed to deliver. The role of purchasing in the supply chain is an integration of business processes from end user through original suppliers that provide products, services, and information that add value to customers. Part I Practical Reading
Unit8PurchasingTheStrategicRoleofPurchasingPurchasing can make many contributions to the strategic success of theorganization through its key role as one of the organization's boundary-spanningfunctions.1.Access to external markets. Through external contacts with the supplymarket, purchasing can gain important information about new technologies,potentialnewmaterials orservices,newsourcesofsupply,and changes in marketconditions.By communicating this competitive intelligence,purchasing can helpreshape the organization's strategy to take advantage of market opportunities.2.Supplier development and relationship management.Purchasing can helpsupport the organization's strategic success by identifying and developing newand existing suppliers.Getting suppliers involved early in the development of newproducts and services or modifications to existing offerings can reducedevelopmenttimes.3. Relationship to other functions.Virtually every department within anorganization relies on the purchasing function for some type of information orsupport.Purchasing's role ranges from a support role to a strategic function.Tothe extent that purchasing provides value to other functional areas, it will beincludedinimportantdecisions
The Strategic Role of Purchasing Purchasing can make many contributions to the strategic success of the organization through its key role as one of the organization's boundary-spanning functions. 1. Access to external markets. Through external contacts with the supply market, purchasing can gain important information about new technologies, potential new materials or services, new sources of supply, and changes in market conditions. By communicating this competitive intelligence, purchasing can help reshape the organization's strategy to take advantage of market opportunities. 2. Supplier development and relationship management. Purchasing can help support the organization's strategic success by identifying and developing new and existing suppliers. Getting suppliers involved early in the development of new products and services or modifications to existing offerings can reduce development times. 3. Relationship to other functions. Virtually every department within an organization relies on the purchasing function for some type of information or support. Purchasing's role ranges from a support role to a strategic function. To the extent that purchasing provides value to other functional areas, it will be included in important decisions. Unit 8 Purchasing
Unit8PurchasingNotes1. It involved following a series of prescribed steps, which included writing up apurchase order,contacting suppliers for pricing,and sometimes following up on asupplierwhofailedtodeliver.本句中which引导非限制性定语从句：who引导定语从句，修饰先行词supplier。全句可译为：它包含了一系列规定步骤：如填写订购单、联系供应商定价、跟进未能按期交货的供应商。2.The role of purchasing in the supply chain is an integration of businessprocesses from end user through original suppliers that provide products,services,and information that addvalue to customers.本句中存在两个定语从句：第一个that修饰先行词original suppliers第二个that修饰先行词products，servicesandinformation。全句可译为：在供应链中，采购是业务流程的综合，即从终端用户到能为顾客提供增值的产品、服务及信息的原始供应商
Notes 1. It involved following a series of prescribed steps, which included writing up a purchase order, contacting suppliers for pricing, and sometimes following up on a supplier who failed to deliver. 本句中which引导非限制性定语从句；who引导定语从 句，修饰先行词supplier。全句可译为：它包含了一系列规定步骤：如填写订购单、 联系供应商定价、跟进未能按期交货的供应商。 2. The role of purchasing in the supply chain is an integration of business processes from end user through original suppliers that provide products, services, and information that add value to customers. 本句中存在两个定语从句：第一个 that修饰先行词original suppliers；第二个that修饰先行词products，services’ and information。全句可译为：在供应链中，采购是业务流程的综合，即从终端用户到 能为顾客提供增值的产品、服务及信息的原始供应商。 Unit 8 Purchasing
Unit 8 PurchasingNewWordsdeliver vt&vi.投递，递送purchasingn.购买，采购access n.进入inboundadj.入境的，归本国的intelligencen.情报，信息spanvt.跨越，贯穿reshapevt.改造，再成型outboundadj.驶向外国的modificationn.修改，修正forgevt&vi.锻造，建立offeringn.提供，供品questionvt.&vi.询问，怀疑compressionn.压缩，浓缩perspectiven.观点，远景evaluation n.评估firmn.公司，厂商recognitionn.公认，识别strategic adj.战略上的participationn.参与，分享prescribed adj.规定的reporting adj.报告的pricing n.定价coordinating adj.协调的associatedadj.相关的，关联的
New Words purchasing n. 购买，采购 inbound adj. 入境的，归本国的 span vt. 跨越，贯穿 outbound adj. 驶向外国的 forge vt＆vi. 锻造，建立 question vt.＆vi. 询问，怀疑 perspective n. 观点，远景 firm n. 公司，厂商 strategic adj. 战略上的 prescribed adj. 规定的 pricing n. 定价 deliver vt＆vi. 投递，递送 access n. 进入 intelligence n. 情报，信息 reshape vt. 改造，再成型 modification n. 修改，修正 offering n. 提供，供品 compression n. 压缩，浓缩 evaluation n. 评估 recognition n. 公认，识别 participation n. 参与，分享 reporting adj. 报告的 coordinating adj. 协调的 associated adj. 相关的，关联的 Unit 8 Purchasing
Unit 8 PurchasingPhrasesandExpressionsmaterialflow物料流supplymarket 供给市场lookuponas把....看作marketcondition 行情service function服务功能competitiveintelligence 竞争情报long-termrelationship长期合作关系takeadvantage of 利用endcustomer 终端客户marketopportunity市场商机strategicimportance 战略重要性supplierdevelopment供应商开发aseriesof一系列relationshipmanagement关系管理purchaseorder 订购单developmenttime 研制时间followup跟踪，随访relyon依赖businessprocess业务流程purchasingfunction 采购功能enduser终端用户supportrole辅助作用originalsupplier 原始供应商functionalarea 功能区provide..to...提供给externalmarket 国外市场externalcontacts 境外联络
Phrases and Expressions material flow 物料流 look upon as 把.看作 service function 服务功能 long-term relationship 长期合作关系 end customer 终端客户 strategic importance 战略重要性 a series of 一系列 purchase order 订购单 follow up 跟踪，随访 business process 业务流程 end user 终端用户 original supplier 原始供应商 provide . to . 提供给. external market 国外市场 external contacts 境外联络 supply market 供给市场 market condition 行情 competitive intelligence 竞争情报 take advantage of 利用 market opportunity 市场商机 supplier development 供应商开发 relationship management 关系管理 development time 研制时间 rely on 依赖 purchasing function 采购功能 support role 辅助作用 functional area 功能区 Unit 8 Purchasing
Unit8PurchasingTask 1 Mark the following statements with T (True)or F (False)accordingto the passage.F1.Purchasing was oncelooked upon primarily as a strategicfunction.2. It was warehousing that focused on getting the right product from the rightsupplier.F3. Purchasing,which makes contributions to the organization, is an activity ofTstrategicimportance.4.Purchasing only plays a support role to an organization.F5. Modification to existing offerings is one of the ways to reduce developmentTtimes
Task 1 Mark the following statements with T (True) or F (False) according to the passage. 1. Purchasing was once looked upon primarily as a strategic function. 2. It was warehousing that focused on getting the right product from the right supplier. 3. Purchasing, which makes contributions to the organization, is an activity of strategic importance. 4. Purchasing only plays a support role to an organization. 5. Modification to existing offerings is one of the ways to reduce development times. F F T F T Unit 8 Purchasing
Unit 8 PurchasingTask2Translatethefollowingphrases intoChinese or English终端客户1.endcustomerlong-termrelationship2.长期合作关系战略重要性3.strategicimportancemarket opportunity市场商机4供应市场5.supply marketpurchasing function采购功能6.国外市场7. external market原始供应商8.originalsupplier
Task 2 Translate the following phrases into Chinese or English. 1. end customer _ 2. _ 长期合作关系 3. strategic importance _ 4. _ 市场商机 5. supply market _ 6. _ 采购功能 7. external market _ 8. _ 原始供应商 终端客户 long-term relationship 战略重要性 market opportunity 供应市场 purchasing function 国外市场 original supplier Unit 8 Purchasing
Unit8PurchasingPassageBSupplierSelectionandEvaluationIn the acquisition process,perhaps the most important activity is selecting thebest supplier from among a number of suppliers that can provide the neededmaterials.Thebuyingprocess is complex because ofthevariety offactorsthat mustbe considered when making a purchase.The process includes both decision makersand decisioninfluencers,who combinetoform the decision-making unit.Purchasing managers may consider a broad range of factors when making thepurchasing decision. These may include issues such as lead time, on-time deliveryperformance,ability to promote and price competitiveness.PurchasecategoriesThere are six major purchase categories in most companies:(1) componentparts,(2)raw materials,(3)operating supplies,(4)support equipment,(5)processequipment, and (6) services.These may be routine, ongoing purchases or non-routinepurchasesthatmayrequirespecialattention.ManagingsupplierrelationshipsA partnership is a tailored business relationship based on mutual trust,openness,shared risk and shared rewards that yield a competitive advantage,resulting in business performance greater than wouldbe achieved by the firmsindividually
Passage B Supplier Selection and Evaluation In the acquisition process, perhaps the most important activity is selecting the best supplier from among a number of suppliers that can provide the needed materials. The buying process is complex because of the variety of factors that must be considered when making a purchase. The process includes both decision makers and decision influencers, who combine to form the decision-making unit. Purchasing managers may consider a broad range of factors when making the purchasing decision. These may include issues such as lead time, on-time delivery performance, ability to promote and price competitiveness. Purchase categories There are six major purchase categories in most companies: (1) component parts, (2) raw materials, (3) operating supplies, (4) support equipment, (5) process equipment, and (6) services. These may be routine, ongoing purchases or nonroutine purchases that may require special attention. Managing supplier relationships A partnership is a tailored business relationship based on mutual trust, openness, shared risk and shared rewards that yield a competitive advantage, resulting in business performance greater than would be achieved by the firms individually. Unit 8 Purchasing
Unit 8PurchasingTypesofpartnershipsType I.The organizations involved recognizeeach otheras partnersand,ona limited basis,coordinate activities and planning.The partnership usuallyhas ashort-term focus and involves only one division or functional area within eachorganization.Type IⅡI.The organizations involved progress beyond coordination ofactivities to integration of activities.Although not expected to last"forever,"thepartnership has along-termhorizon.Multipledivisions and functions within thefirm are involved in the partnership.Type ⅢI.The organizations share a significant level of integration.Eachpartyviews theotheras an extensionoftheir own firm.Typicallyno"end date"forthepartnershipexists.Normally,a firm will have a wide range of relationships spanning the entirearea, the majority of which will not be partnerships but arm's length associationsOf the relationshipsthat are partnerships,the largest percentage will be Type Iand only a limited number will be Type Ⅲ partnerships. Type ⅢI partnershipsshould be reserved for those suppliers or customers who are critical to anorganizationslong-termsuccess
Types of partnerships Type I. The organizations involved recognize each other as partners and, on a limited basis, coordinate activities and planning. The partnership usually has a short-term focus and involves only one division or functional area within each organization. Type Ⅱ. The organizations involved progress beyond coordination of activities to integration of activities. Although not expected to last“forever,”the partnership has a long-term horizon. Multiple divisions and functions within the firm are involved in the partnership. Type Ⅲ. The organizations share a significant level of integration. Each party views the other as an extension of their own firm. Typically no“end date”for the partnership exists. Normally, a firm will have a wide range of relationships spanning the entire area, the majority of which will not be partnerships but arm’s length associations. Of the relationships that are partnerships, the largest percentage will be Type Ⅰ, and only a limited number will be Type Ⅲ partnerships. Type Ⅲ partnerships should be reserved for those suppliers or customers who are critical to an organizations long-term success. Unit 8 Purchasing
Unit 8 PurchasingNewWordsmutual adj.相互的complex adj.复杂的partnershipn.伙伴关系influencern.影响者rewardn.报酬，回报decision n.决定basisn.基础decision-making adj.决策的coordinate adj.同等的delivery n.交付horizonn.视野，范围performancen.绩效extension：延长，延期promotevi.&vt.促进，推销，提升majorityn.大多数raw adj.未加工的critical adj.决定性的routine adj.日常的short-term adj.短期的infrequentadj.罕见的long-term adj.长期的tailored adj.订做的
New Words complex adj. 复杂的 influencer n. 影响者 decision n. 决定 decision-making adj. 决策的 delivery n. 交付 performance n. 绩效 promote vi.＆vt. 促进，推销，提升 raw adj. 未加工的 routine adj. 日常的 infrequent adj. 罕见的 tailored adj. 订做的 mutual adj. 相互的 partnership n. 伙伴关系 reward n. 报酬，回报 basis n. 基础 coordinate adj. 同等的 horizon n. 视野，范围 extension . 延长，延期 majority n. 大多数 critical adj. 决定性的 short-term adj. 短期的 long-term adj. 长期的 Unit 8 Purchasing