Published by:
Harvard Business Publishing
Length: 7 pages
Share a link:
https://casecent.re/p/47069
Write a review
|
No reviews for this item
This product has not been used yet
Abstract
U.S. manufacturers spend, on average, 56 cents of every sales dollar on purchased goods. They need fewer, smarter suppliers whom they can turn into production partners. At companies such as Xerox, Hewlett-Packard, and Ford buyers put together interfunctional teams of engineers, quality specialists, and purchasing agents to evaluate suppliers. When negotiating price, buyers need as much information as possible about production costs. However, they must not abuse this access by shaving suppliers'' margins to the bone.
About
Abstract
U.S. manufacturers spend, on average, 56 cents of every sales dollar on purchased goods. They need fewer, smarter suppliers whom they can turn into production partners. At companies such as Xerox, Hewlett-Packard, and Ford buyers put together interfunctional teams of engineers, quality specialists, and purchasing agents to evaluate suppliers. When negotiating price, buyers need as much information as possible about production costs. However, they must not abuse this access by shaving suppliers'' margins to the bone.