Maintenance economics: Life cycle cost analysis
Life-cycle cost analysis (LCCA) is a tool to determine the most cost-effective option among different competing alternatives to purchase, own, operate, maintain and, finally, dispose of an object or process, […]
Analysis of Designed capacity
Capacity analysis is the process of determining the capacity of an operation. In this regard, “capacity” can have a number of meanings, and a truly comprehensive capacity analysis will evaluate […]
Factors affecting productivity and capacity expansion strategies
Raw Materials Materials need to be readily available in sufficient quantity to supply your production line. Your supplier’s turnaround time on additional orders is also important. With long lead times, […]
Load distance Model
The load-distance method is a mathematical model used to evaluate locations based on proximity factors. The objective is to select a location that minimizes the total weighted loads moving into […]
Factor rating Analysis
Factor Rating Method The process of selecting a new facility location involves a series of following steps: Identify the important location factors. Rate each factor according to its relative importance, […]
Facility planning
Facility planning or strategic facility planning recognizes that every decision made in business planning has a direct impact on an organization’s real estate assets and needs. In the real world […]
Closeness Ratings
Closeness rating is done in order to understand the relationship between different pairs of activities in the production management. For example, in order to rate a production process as an […]
e-Tendering
E tendering system has turned out to be extremely successful after the quick pace of innovation in technology. This type of e tendering system associates enterprises directly with suppliers making […]
Fundamental principles of Public Buying
Public procurement principles are the foundation of public procurement and should be addressed in the public procurement rules. They govern the management of public procurement, and also set the framework […]
Legal aspects of Purchasing Management: An introduction
A key management decision with significant legal ramifications is the level of delegated authority or discretion granted to purchasing staff – i.e. are they responsible for routine purchases only or […]
Tendering: Introduction
To tender is to invite bids for a project or accept a formal offer such as a takeover bid. Tendering usually refers to the process whereby governments and financial institutions […]
Tendering process
The Tender Process used by Governments differs from the private sector in that it is more formalized and more strictly managed to ensure consistency between departments and locations. In addition, […]
Skills for successful negotiating
Preparation Preparation is responsible for 90% of negotiating success. The more prepared you are preceding a negotiation, the more likely it is that the result of the negotiation will be […]
Objectives of Pricing in Material Management
Pricing is the first phase of Materials Management. Pricing means procurement of goods and services from some external agencies. The object of purchase department is to arrange the supply of […]
Negotiation in Sourcing: Meaning of Negotiation
Negotiation is essentially relating to quality, date of delivery, prices etc. so that a satisfactory settlement is reached. As a result of negotiation, the supplier reduces the price. Negotiation refers […]
Factors influencing pricing
The pricing decisions for a product are affected by internal and external factors. A. Internal Factors: 1. Cost: While fixing the prices of a product, the firm should consider the […]
