Purchasing Management: The optimisation of product variance

Uhl, Christian, Nabhani, Farhad, Shokri, Alireza and Kauf, Florian (2017) Purchasing Management: The optimisation of product variance. Procedia Manufacturing, 11. pp. 1366-1374. ISSN 2351-9789

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Official URL: http://dx.doi.org/10.1016/j.promfg.2017.07.266


The purpose of this paper is to present a new optimised approach for product variance from the purchasing perspective. The research is based on a case study involving a global acting automotive Tier 1 supplier who produces steering systems for cars and commercial vehicles. The case study analysis the product variance of three components. The data were gathered from 116 variants, 13 sub suppliers for three different types of steering system. Time, money, quality and technology can be saved through a greater understanding of such product variances. The results of the case study lead to a generalised method to optimise the existing variance, present cost improvements as well as optimising new key performance indicators to manage product variance out of the purchasing department.

Item Type: Article
Uncontrolled Keywords: purchasing variance- and complexity management, lean management
Subjects: H600 Electronic and Electrical Engineering
N100 Business studies
N200 Management studies
Department: Faculties > Business and Law > Newcastle Business School
Depositing User: Alireza Shokri
Date Deposited: 09 Oct 2017 15:49
Last Modified: 31 Jul 2021 21:47
URI: http://nrl.northumbria.ac.uk/id/eprint/32295

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