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2.3 Knowing the Buyer (Who AreThe OBC
Buying can involve a number of…
2.3 Knowing the Buyer
Who AreThe OBC
- Buying can involve a number of individuals who come together in an Organizational Buying Cente (OBC) with different functional areas.
Marketing - Impact of the product design and costs on the promotability, functionality and price.
General Management - Strategic or policy matters. Building and maintaining relationships with suppliers, and other external stakeholders.
Manufacturing - Make(in-house)-or-buy decisions.Order and delivery patterns. Evaluation of performance by existing suppliers.
Purchasing - Managing vendor performance.
Negotiating prices.
Accumulating info about the supply environment.
Coordinating input from functional participants.
Engineering - Product performance and technical specifications. Screening and formal qualifications of vendor pool. Evaluations of alternative products.
The OBC's involvement
Lateral Involvement - the number of departments or other work related groups involved in the purchase decision.
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