Title :
Total Cost Modeling and Systemic, Strategic Methods for Purchasing Cost Decision and Management
Author :
Shen Wen ; Chen Jiaqing ; Xiao Hanbin
Author_Institution :
Sch. of Logistics Eng., Wuhan Univ. of Technol., Wuhan, China
Abstract :
This paper firstly identifies several total cost concepts and decision modelings within purchasing management practice; secondly, suggests a cost management method system consisting of three levels, namely, cost avoidance, reduction and controlling; finally, based on strategic sourcing and supply chain management, investigates the strategic cost management method applied to purchasing cost decision and management.
Keywords :
cost reduction; decision making; life cycle costing; purchasing; strategic planning; supply chain management; cost avoidance; cost control; cost management method system; cost reduction; purchasing cost decisions; purchasing cost management; strategic cost management method; strategic sourcing; supply chain management; total cost modeling; Maintenance engineering; Materials; Organizations; Pricing; Standards organizations; Supply chain management; Supply chains;
Conference_Titel :
Management and Service Science (MASS), 2011 International Conference on
Conference_Location :
Wuhan
Print_ISBN :
978-1-4244-6579-8
DOI :
10.1109/ICMSS.2011.5999412
