Similarities and differences of the purchasing strategy

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Reference no: EM131178884

Write a 700- to 1050-word paper that defines the similarities and differences of the purchasing strategy you will use at each stage of the Product Life Cycle of your company's specific product.

Identify a company or industry that you are either familiar with or one that you would like to become more familiar with. As a purchasing professional of the chosen company or industry, identify a purchased material or component that is used to produce a specific product.

Analyze how your purchasing strategies of this material or component will change depending on the different stages of the Product Life Cycle: Introduction, Growth, Maturity, and Decline.  To perform this analysis consider the following questions:

  • Where does the purchased material or component fall in the Product Life Cycle?  Is this a new technology or has this material or component matured within its market?
  • Do you anticipate product functional changes that will require revisions to the purchased material or component?  How would the Product Life Cycle stages of the product being produced alter your purchasing actions?
  • At the different stages of the Product Life Cycle will you be more inclined to negotiate either contracts or purchase orders with the supplier? 
  • How will you work with other functional areas within your company to determine the best purchasing strategy for each Product Life Cycle?  Is the importance of cross-functional teams different depending on the Life Cycle stages?
  • How would you consider financial risk when determining your purchasing strategies?

Format your paper consistent with APA guidelines.

Reference no: EM131178884

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