engleski

The role of operational and strategic procurement management on the example of a large agricultural company

The modern function of procurement has become rather complex. It is never separated from other functions ; it has an increasingly dynamic communication with all the company’s functions and is strongly connected with them. Procurement of inputs for production and contracting of services represent only a small part of the entire business operation, regardless of whether it was an operational or strategic procurement. It is precise because of dynamic business operations that operational and strategic procurement are often combined into a single function that aims to address the current challenges. Savings in the procurement of goods and services has ceased to be the primary goal. Today, the additional objective is the development and maintenance of partnerships with all suppliers. This paper aims to present the theoretical framework of procurement and the determinants of well-organized procurement. First, we will explain the importance of procurement and communication, the difference between operational and strategic procurement, and the significance of creating partnerships. After that, we will present a study on the importance of procurement on a large agricultural company’s practical example during the Osijek dairy company’s take-over. Special attention was paid to interviewing procurement employees, production technologists, and warehouse workers regarding the new production plant’s take-over from purchasing the business, challenges they encountered, and suggestions of possible alternative approaches to future take- overs.

procurement ; strategic management ; partnerships ; communication ; acquisition of a new company

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