Managing Buyer-Supplier Relations: The Winning Edge Through Specification Management

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Managing suppliers is a complex process that is often underestimated. This book presents research carried out by a practising manager in the automotive industry, coupled with over six hundred interviews in automotive, aircraft and white goods industry, in order to describe the tools and techniques needed to better manage suppliers.

Author(s): Rajesh Nellore
Series: Routledge Studies in Business Organizations and Networks
Edition: 1
Publisher: Routledge
Year: 2001

Language: English
Commentary: 100601
Pages: 206

Table of Contents......Page 0
Managing Buyer–Supplier Relations: The winning edge through specification management......Page 3
Figures......Page 7
Tables......Page 8
Foreword......Page 10
Acknowledgements......Page 11
Abbreviations......Page 14
Contents......Page 6
Introduction......Page 15
Overview of the book......Page 17
Methodology......Page 18
Aims of the book......Page 19
Evolution of the automotive industry and the changing role of suppliers......Page 20
Evolution of the role of specifications......Page 22
Understanding specifications......Page 23
Specifications: an overview......Page 26
Define specifications......Page 29
Expertise effects on specifications......Page 31
Specification and communications......Page 33
Types of specifications and links to suppliers......Page 35
Models of specifications......Page 38
Map the design space......Page 40
Creation of common goals......Page 41
Visions......Page 43
Culture......Page 44
Core capabilities......Page 46
Customer (OEM) benefits and specifications......Page 47
Technology effects on specifications......Page 48
Stage 4 elements......Page 50
Capabilities and specifications......Page 51
Trade-offs and specifications......Page 52
Notes......Page 53
What is a specification problem?......Page 55
The survey......Page 56
Communication......Page 57
Product requirements......Page 58
Standards......Page 59
Customer requirements......Page 60
Conclusion......Page 61
Case study......Page 62
Post-mortem......Page 63
Reflection on the dimensions......Page 64
What is a visionary-driven outsourced development?......Page 65
The questionnaire......Page 66
Effects of supplier visions on outsourced development......Page 67
Creation of supplier visions......Page 68
Interplay between visions and core capabilities......Page 72
Conclusion......Page 75
Framework of problem areas in specifications......Page 78
Technical content......Page 80
Changes in specifications......Page 81
Cost......Page 82
Interpretation and understanding......Page 83
Participation of suppliers in the specification process......Page 84
Implications for the specification process......Page 85
Role of the supplier......Page 86
Technical content......Page 87
Changes......Page 88
Participation......Page 89
Control......Page 90
Limitations and trade-offs......Page 91
Demonstrating the model......Page 92
Conclusion......Page 93
The specification process at an auto OEM......Page 95
Role of brand/marketing management......Page 97
Role of R&D......Page 98
Role of after-sales/service......Page 99
The project organisation: project manager......Page 100
Directives......Page 101
Risk analysis......Page 102
Legal demands......Page 103
The specification process in the aircraft OEM......Page 104
Comparative specifications in the auto and aircraft OEMs......Page 106
Model of product development by specifications......Page 107
Conclusion......Page 110
An example of the problem......Page 112
Strategic outsourcing – what do we know?......Page 113
Positive and negative effects of collaborations......Page 114
Quinn and Hilmer’s outsourcing models......Page 115
Olsen and Ellram’s outsourcing model......Page 116
A tour of the case companies......Page 117
Essentially qualitative specifications......Page 121
Mixed specifications......Page 122
Essentially quantitative specifications......Page 123
Building on the Quinn and Hilmer model......Page 124
Exploring the range of relationships for the six scenarios complementing Quinn and Hilmer’s model......Page 126
Conclusion......Page 127
A theoretical understanding of portfolio models......Page 129
Analysis of portfolio approaches to purchasing......Page 130
Specification generators and the link to the component categories......Page 136
The overall link – connecting link with the specification types and the supplier categories......Page 138
Supplier relationships and sourcing strategies......Page 141
Conclusion......Page 144
Introduction to commercial contracts......Page 147
What is a contract?......Page 150
Validation parameters......Page 152
Exploring contracts in the auto and aircraft OEMs......Page 153
Purpose......Page 158
Responsibility......Page 160
Performance criteria......Page 161
Legal issues......Page 162
Communication......Page 163
Specification–contract link......Page 165
Conclusions – the elements of a contract to validate the specifications......Page 167
Notes......Page 170
Introduction......Page 171
Systems suppliers – constituents......Page 172
Range of products......Page 174
Product development responsibility......Page 175
Experience......Page 176
Systems supplier – the requirements......Page 177
Model of systems supplier and lessons......Page 178
Systems suppliers – are they self-sufficient?......Page 180
Types of digital procurement......Page 182
The digital scenario......Page 183
Potential purchasing tasks online......Page 184
B2B implementation strategies......Page 186
Digital infrastructure providers......Page 187
A complex rationale......Page 188
Hypotheses about major trends......Page 191
Disadvantages of utilising digital portals......Page 192
Case study......Page 193
Digitalisation......Page 194
Results......Page 196
Outcome......Page 197
Conclusion......Page 198
Bibliography......Page 200