CASE STUDY ON ACCOUNTABILITY, USING A CASE STUDY TO SUPPORT YOUR DISCUSSION

Case Study on Accountability, Using a case study to support your discussion



Case Study on Accountability, Using a case study to support your discussion

Introduction

With the development of information technologies and procurement, Boing Australia Limited (BAL) is given the opportunity to explore the opportunities of procurement. The credit card purchasing system has bought in a considerable cost saving for generic low cost high volume purchases, an e-procurement system will further make the contracting and bidding process more competitive for these items.

The e-buy system which is currently being used by the Parent company Boing, as the majority of the transactions are day to day buys, and it is very important to have this new process targeting this segment.

Making the day to day purchasing process simpler and more efficient will leave more room for the company to improve on the supply management of the strategic and critical suppliers.

Concentrating on supplier management in all areas of product categories, will enable BAL to achieve more effectiveness in the over all purchase of strategic / Critical items.

By working with the existing ERP provider, BAL can extend the development of the link between the suppliers customers and BAL. At BAL procurement is a part of information systems, it is important for the company to link the existing Legacy system to the suppliers and customers, and its by far the most cost effective way of integrating between the front end and the back end of customers and suppliers.

This will enable the company to move forward with the existing resources, as it's time for the company to progress with the technological advancements in the most cost effective way in order to increase the profitability without loosing the strategic advantage.

Discussion

Key Assumptions

1. The supply agreement with ADF will continue, for the next many years, and it will justify the expenditure incurred in moving towards a new procurement system

2. No government regulations will be imposed in the airline manufacturing and military equipment industry in Australia

3. BAL will be allowed to access e-purchase system through Boing USA , and gain the advantage by leveraging off the parent company's competitive advantage though BAL is a foreign company

Statement Of Issues

In order to maintain the advantage of the aerospace industry in the Australian region, we must focus the attention on the areas of e-commerce and supplier management, in order to reduce the costs in procurement and maximizing profitability.

Looking at the options of e-procurement we will be able to reduce the costs on procurement through process improvement, system upgrades, spend analysis and efficiency in purchasing, whilst enjoying the benefits of group purchasing for BAL and Boing USA.

As it's stated in one of the pre stated vision statements, by the executive board, it is mandatory for us to make sure that the primary customer Australian Defense force is continuously delivered with the updated information system solutions.

The main issue prevailing is how to implement a new procurement and information systems, at an affordable cost

The cross functional team, MMPC (Material ...