Purchasing on demand is to carry out purchasing activities according to actual purchasing needs, which can avoid over-purchasing or under-purchasing. Purchasing on demand emphasizes the integration and utilization of key factors, such as suppliers, prices, quantities, products and after-sales services. As the saying goes, doing the right thing at the right time will not be redundant or in short supply.

A certain e-commerce company in Xi’an implements a model that combines centralized procurement with departmental independent procurement. Centralized procurement is used for the purchase of bulk goods, while independent procurement is mainly used for the purchase of small quantities of goods. At the same time, independent procurement is mainly based on on-demand procurement. Goods with a total purchase price of less than 10,000 yuan will be reported to the department head by the purchasing manager, and can be purchased after approval, but they must be selected from designated suppliers

In addition, the purchasing manager can also adjust the purchase quantity according to actual conditions. For example, a batch of packaging boxes was purchased at the beginning of the month, but 10%~15% remained unused at the end of the month. After seeing this situation, the purchasing manager can reduce the purchase of packaging boxes and adopt a “multiple small quantities” model, that is, purchase less each month to avoid waste.

On-demand purchasing is more suitable for small quantities of goods, which can be purchased at any time and have relatively small price fluctuations. However, for small quantities of goods, suppliers will refuse to provide them due to cost issues. At this time, you can find a fixed supplier and sign a long-term supply agreement, provided that both quality and price are guaranteed.

Because on-demand purchasing determines the purchasing plan based on the quantity of goods required, it can reduce unnecessary intermediate links and reduce procurement costs. For goods with small quantities and low total value, the purchasing department can purchase directly. , just apply for as much as you need.

In addition, for goods with low frequency of use, e-commerce companies can also adopt the method of on-demand procurement, because such goods can be used for a long time once purchased. E-commerce companies purchase such goods through the method of on-demand procurement, which will neither cause waste due to excessive purchases nor affect the operation of the supply chain due to insufficient purchases.

Tips

For e-commerce companies, if there is a need for procurement, then a detailed procurement list must be made. If there is no need to purchase for the time being, it can be put aside for a while. In short, it does not affect normal production and can save costs, which is the original meaning of on-demand procurement.