CHAPTER 1 Flashcards
(40 cards)
TCO stands for?
Total Cost of Ownership
ESI stands for?
early supplier involvement
1ST MOVER DEFINITION
COMPANY WITH SHORTEST TIME-TO-MARKET
COMPANY WITH SHORTEST TIME-TO-MARKET IS?
1ST MOVER
Purchasing = ___ Procurement
Tactical
Tactical Procurement IS ___ FUNCTION
Purchasing
P-to-P STANDS FOR?
Procure-to-Pay
Category Management DEFINITION
-Managing a commodity group that has significant commonality (Ex. Chemicals, Drill Pipe, Travel, etc.)
Managing a commodity group that has significant commonality (Ex. Chemicals, Drill Pipe, Travel, etc.) IS?
Category Management
Strategic Sourcing (N-step Process) DEFINITION?
precursor to sourcing
precursor to sourcing IS?
Strategic Sourcing
Supply Management DEFINITION
A strategic approach to planning for and acquiring the organization’s current and future needs through effectively managing the supply base, utilizing a process orientation in conjunction with cross-functional teams to achieve the organizational mission.
A strategic approach to planning for and acquiring the organization’s current and future needs through effectively managing the supply base, utilizing a process orientation in conjunction with cross-functional teams to achieve the organizational mission IS?
Supply Management
SPEND VISIBILITY DEFINITION
UNDERSTANDING HOW MUCH WE HAVE SPENT
UNDERSTANDING HOW MUCH WE HAVE SPENT IS?
SPEND VISIBILITY
___ is the starting point of strategic sourcing
SPEND ANALYSIS
SPEND ANALYSIS is the starting point of ___
strategic sourcing
SOW STANDS FOR?
statements of work
statements of work ARE?
SERVICE CONTRACTS
SERVICE CONTRACTS ARE?
statements of work
3 Core Purchasing Processes: Strategic Supply Management Roles and Responsibilities CHART
STRATEGIC SOURCING STARTS WITH ___
SPEND ANALYSIS
A statement of an item’s required characteristics
Specification:
SPECIFICATION DEFINITION
A statement of an item’s required characteristics
