BMKT 9103 Chapter 6 – Case Study DOCX

Title BMKT 9103 Chapter 6 – Case Study
Author Whitney Harte
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File Type DOCX
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Summary

BMKT 9103 Chapter 6 – Case Study 1. What is the role of the buying centre at Trek? Who is likely to comprise the buying centre in the decision to select a new supplier at Trek? The buying centre’s main role is to identify specific types of materials for its bikes such as carbon fibre, component part...


Description

BMKT 9103 Chapter 6 – Case Study 1. What is the role of the buying centre at Trek? Who is likely to comprise the buying centre in the decision to select a new supplier at Trek? The buying centre's main role is to identify specific types of materials for its bikes such as carbon fibre, component parts such as wheels and shifters, and finishing materials such as paint and decals. The centre specifies quality requirements, sizing standards, and delivery schedules. Of greater importance recently, the centre identifies which vendors use green techniques in the material and manufacturing process. The buying centre is a group of individuals who are responsible for finding the best supplies: purchasing managers, buyers who identify domestic and international sources of materials and components, and reps from research & development, production, and quality control. This team is small and experienced. (In a traditional buying centre, roles are users, influencers, buyers, deciders, and gatekeepers. Trek likely keeps similar roles for its overall process.) 2. What selection criteria does Trek utilize when it selects a new supplier or evaluates an existing supplier? To select or evaluate a new or existing supplier, Trek evaluates them on four criteria: Quality – high quality material that lasts. Scores given for number of defective material received Delivery capabilities – must be able to supply on demand. Just-in-time orders to meet deadlines Price – fit for the quality Environmental impact – for both material and production, and if minimal packaging was used. 3. How has Trek's interest in the environment impact of its business influenced its organizational buying process? Trek places huge importance on minimizing the environmental impact of its business activities and supplier identification. Trek knows that bicycles can combat congestion, climate change, and build human fitness. It is important that its practices follow its vision. As a result, Trek does not just look at high quality material for low prices from vendors/suppliers. The vendors/suppliers must use green initiatives as well. Trek recently selected a supplier that used natural gas instead of coal for production. Also of importance is low-impact materials and components must be used and packaging size and weight must be reduced. Further, Trek wants to make sure its bikes and components last a long time. It also...


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