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Vendor Management-overview (MBA Project Management)
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| MBA Project ID: |
514 |
| MBA Project Name: |
Vendor Management-overview (MBA Project Management) |
| MBA Category: |
MBA Project Management |
Project Abstract:
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Vendors and their performance are becoming more and more important to companies as they focus more on their core operations and outsource others. In most companies the volume of purchases is 50-90 percent of the turnover while for example the corresponding figure for labor costs is six percent and for overhead expenses three percent. There has also been a tendency towards decreasing the amount of vendors caused by specialization and more complex technology. As dependency on vendors increases, companies have to pay more attention on how they manage their vendor base.
As enterprise organizations continue their charge to cut costs and achieve efficiencies, an oft-pursued strategy is to build relationships with outside vendors that can deliver results in key business areas. But, particularly in a recession, many organizations need a refresher in setting/establishing an vendor management strategy. A well-designed vendor management system can support professional software purchasing and increase conformity and a systematic way of purchasing. It also has an effect on risk. Risk management is in close contact with vendor management because vendors are also a source of risk. All in all, vendor management can be a great contributor to the success of a company.
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| Project Report: |
66 Pages |
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