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Digital Library

of the European Council for Modelling and Simulation

 

Title:

Strategic Procurement Process For Multiple Items In A Supply Chain

Authors:

Tuanjai Somboonwiwat, Tuangyot Supeekit

Published in:

 

 

(2019). ECMS 2019 Proceedings Edited by: Mauro Iacono, Francesco Palmieri, Marco Gribaudo, Massimo Ficco, European Council for Modeling and Simulation.

 

DOI: http://doi.org/10.7148/2019

 

ISSN: 2522-2422 (ONLINE)

ISSN: 2522-2414 (PRINT)

ISSN: 2522-2430 (CD-ROM)

 

33rd International ECMS Conference on Modelling and Simulation, Caserta, Italy, June 11th – June 14th, 2019

 

 

Citation format:

Tuanjai Somboonwiwat, Tuangyot Supeekit (2019). Strategic Procurement Process For Multiple Items In A Supply Chain, ECMS 2019 Proceedings Edited by: Mauro Iacono, Francesco Palmieri, Marco Gribaudo, Massimo Ficco European Council for Modeling and Simulation. doi: 10.7148/2019-0254

DOI:

https://doi.org/10.7148/2019-0254

Abstract:

Procurement, the process of acquiring goods or services from the external providers, involves strategic sourcing and purchasing. Observing the researches related to procurement finds that many researches study sourcing and purchasing separately, missing out the essence of the procurement process. This paper shows procurement process from sourcing to purchasing. The methods used to select the supplier and to determine the order quantity in the researches are reviewed. Moreover, this paper explains the procurement process through a case of an oilrigs manufacturer. AHP is applied for supplier selection, then the multiple items are purchased from the selected supplier. The 3 models of applied EOQ method for the order quantity are compared. The method of partially jointly order the items by applied EOQ method is selected with the lowest total costs.

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