CM J23 - Strategic Purchasing*"CLOSED FOR FURTHER ENROLLMENT"

Faculty
Associate Professor, Chris Ellegaard
Course Coordinator
Associate Professor, Chris Ellegaard
Prerequisite/progression of the course
Only requirement is the completion of a relevant bachelors degree
Course content, structure and teaching
Purchasing is one of the fastest growing organizational functions of companies and plays a key role in the pursuit of competitive advantage. An extensive range of competencies are required to manage the purchasing of components, systems, and services, which in many companies amount to more than half of annual costs. This course prepares students for working as or with employees in the purchasing function.
The course will be based on theories of strategic purchasing. These cover themes such as strategic purchasing planning, supplier segmentation and portfolios, supplier relationship management, the sourcing process, supply risk management, purchasing organization, and purchasing coordination. The course will be based mainly on a relational paradigm, as opposed to a financial or operations paradigm. The course will provide a key add-on for students wishing to expand their marketing or SCM competencies in the complementary strategic purchasing area. The lectures will combine class lectures with case work, class discussions, and group exercises.
The course's development of personal competences
Students will obtain extensive knowledge of the strategic purchasing process of companies. They will learn about the capabilities required to work as a boundary spanner between buying and selling companies. Students with a focus and background in marketing will be prepared to use the obtained knowledge on strategic purchasing to improve their marketing capabilities as Sales Managers or Key Account Managers for instance. In other words, to know the processes, procedures, and people they will be doing business with from customer companies.
Students with a background in Supply Chain Management, Logistics, and Operations will learn about the capabilities required for working in or with employees in the purchasing function of the industrial company, e.g. Category Manager or Purchasing Manager.
Learning Objectives
  • The student must explain the processes, methods, and tasks of strategic purchasing.
  • The student must demonstrate an overview of the theories and concepts of the course curriculum.
  • The student must use cases and examples to demonstrate understanding of the curriculum.
  • The student must explain how the key theories and concepts of the curriculum are related to each other.
Type of examination, exam aids and assessment
Four hour individual written exam. Students can use their own computer. Students are allowed to bring all written aids – including books, articles, notes etc.
Recommended literature
Cousins, P.; Lamming, R.; Lawson, B.; Squire, B. (2007), Strategic supply management: Principles, theory, and practice, Financial Times/ Prentice Hall, 336 pages.
Araujo, L., Dubois, A., & Gadde, L.-E. (1999), "Managing interfaces with suppliers", Industrial Marketing Management, vol. 28, pp. 497-506.
Baier, C.; Hartmann, E.; Moser, R. (2008), “Strategic alignment and purchasing efficacy: An exploratory analysis of their impact on financial performance”, Journal of Supply Chain Management, 44, 4, pp. 36-52.
Chopra, S. & Sodhi, M. S. (2004), "Managing risk to avoid supply-chain breakdown", Sloan Management Review, Fall, pp. 53-61.
Cousins, Paul D.; Spekman, Robert (2003), “Strategic supply and the management and intra- and interorganisational relationships”, Journal of Purchasing and Supply Management, 9, pp. 19-29.
Ellegaard, C. (2008). ”Supply risk management in a small company perspective”, Supply Chain Management: An International Journal, Vol. 13, No. 6, pp. 425-434.
Mitchell, V. (1995), "Organizational risk perception and reduction: A literature review", British Journal of Management, vol. 6, pp. 115-133.
Nollet, J.; Ponce, S.; Campbell, M. (2005). About “strategy” and “strategies” in supply management, Journal of Purchasing and Supply Management, vol. 11, No. 2/3, 129-140.
Smeltzer, L.R.; Siferd, S.P. (1998). Proactive supply management: The management of risk. International Journal of Purchasing and Materials Management, Winter issue.

Last updated by The Electives Office 18/08/2010