Procurement and supply tools

See the reference in Procurement and Supply Tools and Techniques (chapter 8). 

The discussion that follows analyses the general functional use of procurement and supply tools and techniques in total, and across the 7 business activities outlined earlier in chapter 1. The analysis then focuses on the use of tools in general within the 16 industry sectors and the 6 industry sector groupings also outlined in chapter 1. 

Table 9.1 The Total Use of Procurement and Supply Tools and Techniques (42 Tools with 456 Tool Usages in Total Recorded)... 

It is interesting to note, however, that in the Project/Combined and Project/Services groupings managers did believe that procurement and supply tools could provide them with a strategic competitive advantage, but once again this was primarily focused on cost leadership considerations rather than differentiation or market repositioning. This trend was most evident for Construction (27%) and Oil Gas (35%) in the Process/ Combined and for Media Entertainment (40%) and Tourism Leisure... 

If procurement and supply tools and techniques do not provide much scope for strategic influence within firms it is still important to imderstand what the functional objectives are for introducing them operationally in the first place. Table 9.6 provides findings about this issue. Survey respondents were asked to explain the primary purpose for which they used tools and techniques based on whether they used them to improve the functional performance of their departments their departmental costs of operations to improve communication and information flow management to provide a more flexible and responsive service to others in the business to improve staff skill sets and, to increase departmental... 

In general, most managers felt that procurement and supply tools and techniques had a positive impact upon both the performance of the firm... 

These findings can perhaps be explained by reference to the fact that in the industries that have high external risks the extensive historical use of procurement and supply tools and techniques reinforces performance satisfaction since it mitigates the risks that have to be managed and ensures the fulfilment of functional level objectives. The industries with the highest risks appear, therefore, to be using tools and techniques more extensively and with higher satisfaction levels than the medium risk industries, where the lower risks reduce the need for such an extensive use of tools and techniques. 

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