Study Guide
BADM 2160 INTRODUCTION TO PURCHASING
Supply Chain Management by
Burt, Petcavage and Pinkerton
Eighth Edition
Chapter 1
The overall objective of this chapter is to give the reader a sense of the importance of purchasing and the supply chain and how they fit in to and impacts the business environment.
Vignette:
Careers in Purchasing and Supply Management
1. Does purchasing sound like a class (or career) your would be interested in? Why or why not? - I am definitely interested in this class and the material that it covers, however I am not sure if a career in purchasing is for me because I don’t know enough about the industry, which I hope to learn more in this class. Working for many bars and restaurants in my life I have learned a lot about inventory control and inventory ordering, whether it be liquor or food. 2. Share with your classmates what you know about the function of purchasing. 3. Can you identify someone who might be a mentor during your early days if you decided to pursue a career in purchasing? (Note: This individual may be a great candidate for your Interview Project!) - When considering this question, I thought of my high school soccer teammate, Kevin, who currently owns a bar in the city of Lakewood where I live. I would like to talk him about how he handles keeping his beer and liquor inventories at an optimal level in order to make a profit, limit waste, and keep bar patrons happy and going back.
What are the five rights involved in the process of professional purchasing?
1. Purchase of the right item or service.
2. Purchase in the right quality.
3. Purchase in the right quantity.
4. Purchase at the right price.
5. Purchase at the right time.
List and describe the five stages of the Supply Management process.
1. Stage 1 – Identification of an item or service required to meet the needs of an organization.
2. Stage 2 – Identify the supplier who will best satisfy the need(s).
3.
Supply Chain Management by
Burt, Petcavage and Pinkerton
Eighth Edition
Chapter 1
The overall objective of this chapter is to give the reader a sense of the importance of purchasing and the supply chain and how they fit in to and impacts the business environment.
Vignette:
Careers in Purchasing and Supply Management
1. Does purchasing sound like a class (or career) your would be interested in? Why or why not? - I am definitely interested in this class and the material that it covers, however I am not sure if a career in purchasing is for me because I don’t know enough about the industry, which I hope to learn more in this class. Working for many bars and restaurants in my life I have learned a lot about inventory control and inventory ordering, whether it be liquor or food. 2. Share with your classmates what you know about the function of purchasing. 3. Can you identify someone who might be a mentor during your early days if you decided to pursue a career in purchasing? (Note: This individual may be a great candidate for your Interview Project!) - When considering this question, I thought of my high school soccer teammate, Kevin, who currently owns a bar in the city of Lakewood where I live. I would like to talk him about how he handles keeping his beer and liquor inventories at an optimal level in order to make a profit, limit waste, and keep bar patrons happy and going back.
What are the five rights involved in the process of professional purchasing?
1. Purchase of the right item or service.
2. Purchase in the right quality.
3. Purchase in the right quantity.
4. Purchase at the right price.
5. Purchase at the right time.
List and describe the five stages of the Supply Management process.
1. Stage 1 – Identification of an item or service required to meet the needs of an organization.
2. Stage 2 – Identify the supplier who will best satisfy the need(s).
3.