Purchasing Department Business Analysis

2.2

Purchasing department has the responsibility to acquire materials from suppliers, assemble parts and services to produce or provide services to customers. However the purchasing department should ensure quality purchased and goods should deliver within specific period of time. The purchasing department has a special unit of work should abide, such as the duty to perform analytical work in provide reports and managing the operation efficiently. Purchasing department will allocate the duties and responsibilities to be assigning such as job descriptions and contribute toward the company's primary activities. The primary task is to secure the efficient supply from reliable suppliers and reduce the risk of losing credibility. Purchasing department

E-commerce is not the process of buying and selling but as well providing service for customers and collaboration within business partners and conducting electronic transaction within an organisation-commerce has been beneficial for many organisation in term less of paper work, efficiency to integrate purchasing and ordering system, eliminate administrative tasks, provide service 24 hours and 365 days a years and ease commination with customers by using email, telephone or fax. There are transparency at every stage of transaction like negotiation in price, reduced time to market, reduce cost, create transparency amongst suppliers and facilitate reintermediation e-commerce can be differentiate into different type of businesses business to buisness,this electronic transaction occur between organisation .business to consumers, transaction between retailers and customers and customers to customers business. A customer can sell its product directly to other customers.

The E-business is an important concept in utilizing the internet to build a collaborative relationship between supply members. However E-commerce has major impact on the supply chain due to high flow of interaction between suppliers' and customers.

Product and service design: As taste and preference of customers keep on changing drastically, Ecommerce has the ability to improve quality

The strategy adopted of negotiating with many suppliers and select one supplier from another and maintaining a long-term partnership relationship with few suppliers to meet exact demand of customers. The strategy of maintaining few suppliers is looking out for short-term characteristics, reduces costs and buyers will form a long-term relationship with fewer suppliers. Moreover long-term suppliers understand the relationship between firms to end of customers, as a result fewer suppliers will create values for suppliers by benefit from economies of scale and learning curve that help both lower transaction costs and lower production