Description
Brief outline in relation to macmillan i., the entrepreneurial mindset, harvard business school press, usa, 2000.
5
th
International Quality Conference
May 20
th
2011
Center for Quality, Faculty of Mechanical Engineering, University of Kragujevac
5
th
IQC May, 20 2011 459
Zora Arsovski
1)
Slavko Arsovski
2)
Goran Markovi?
3)
Maja Dabeti?
13)
1) Faculty of
Economics,Univeristy of
Kragujevac,
mail: [email protected]
2) Faculty of Mechanical
Engineering, Kragujevac,
mail:{kanjevac,
cqm}@kg.ac.rs
3) Telekom, Srbija, {
goranmar,
majak}@telekom.rs
DESIGN OF PURCHASING PROCESS IN
TELECOMUNICATION COMPANY
Abstract: One of the key charracteristic of
telecomunication industry is numerios suppliers
organized in clasical way or in supply chains. In this
paper is analysed purchasing process as base for
transition from clasical purchasing to suply chain
management (SCM).
Supply chain is a very complex business process with
purchasing capability, costly and timely benefits than
classical purchasing and mutual research and
development.
Purchasing process in telecomunication company has
strategic role because purchased products/services are
part of final service to customers. Because of that it is
necessary to review of existing purchasing process, as
end tier in supply chain, with respect of new and more
competitive pressure of needs and requests of all
stakeholders, including quality standards.
Based on state analysis, analysis of strategic request
on purchasing process, analysis of interfaces is
performed modeling and process mapping, desired
process concepting and quality metrics introduced. In
this paper are presented one part of research results for
one telecomunication company.
Keywords: directives of new approach, CE mark,
competitiveness, quality of product, safety of products,
price, simulation
1. INTRODUCTION
Purchasing process has great
contribution in new value generation.
Because that it is analysed very frequently
from aspects of concept, organization,
costs, communications, vulnerability etc.
In the paper [1] authors analysed problem
of risk and uncertaintly of global supply
chains and emphasize dynamic aspect of
process and relation to multicriteria
decision making. Authors of paper [2]
emphasize purchasing performance
evaluation using DEA (Data Envelopment
Analysis).
Between time and cost of purchasing
process is very complex relationship [3]
which needs process mapping and time-
based analysis, cost collection, cost-time
integration and cost-time analysis.
In paper [4] authors discover
analytical tools for dinamic supply chain,
as SCOR (Supply Chain Operation
Reference) and discrete event simulation.
In Purchasing process is necessery to
construct linkages between service
sourcing decisions and competitive
advantage [5] with appropriate strategy
and tactics.
Effects of integration purchasing in
supply chain on firm performance are very
high [6]. Author proved hypothesis:
460 Z. Arsovski, S. Arsovski, G. Markovi?, M. Dabeti?
H1 – The level of SCM practice will have
a significant association with
competitive capability,
H2 – The level of SC integration have a
significant influence on
competitive capability and SCM
practice,
H3 – competitive capability will have a
significant influence on firm
performance.
For effective supply chain
management can be used different new
techologies [7]. Adoption of its depends on
size of organization, structure of
organization, existing performance, supply
chain strategy integration,
interorganizational factors, and
environmental uncertainty.
In supply chain network (SCN)
modelling significant role has quality
approach [8] with: (1) supplier affilation
process, (2) incoming inspection, (3)
definition of supplier affilation, (4)
definition and execution of supply chain
network optimization model.
One of effectivity measure of SCM is
cost of quality [9]. Using PAf (Prevention-
Appraisal-Failure) model and DMAIC
(Define-Measure-Analyse-Improve-
Check) is possible to find drivers
purchasing in SCM.
In [10] authors discover impact of
quality standard ISO 9000 on supply chain
efficiency and indicators conclude higher
performance related to inventory days,
operating cycle etc.
One of the key charracteristic of
telecomunication industry is numerios
suppliers organized in clasical way or in
supply chains. In this paper is analysed
purchasing process as base for transition
from clasical purchasing to suply chain
management (SCM).
Supply chain is a very complex
business process with purchasing
capability, costly and timely benefits than
classical purchasing and mutual research
and development.
Purchasing process in
telecomunication company has strategic
role because purchased products/services
are part of final service to customers.
Because of that it is necessary to review of
existing purchasing process, as end tier in
supply chain, with respect of new and
more competitive pressure of needs and
requests of all stakeholders, including
quality standards.
Based on state analysis, analysis of
strategic request on purchasing process,
analysis of interfaces is performed
modeling and process mapping, desired
process concepting and quality metrics
introduced. In this paper are presented one
part of research results for one
telecomunication company.
2. TRADITIONAL APPROACH
TO PURCHASING
Purchasing or resource acquisition has
dominantly supporting process [11,12].
Primarly analysis in previos period is
targeted to cost reduction, profit
generation, efc. In this concept, purchasing
becomes ²accountants purchasing² with
emphasis on baying a cheaper resources
(focusing on value engineering, value
analysis and standardisation of materials
and services), or attempt to supply
²cheaply² with focusing on alternative
sources, negatiation, purchasing methods
and inventary management. In this context
quality becomes new role. In globalization
era traditional approach needs to make
trade – off analysis among varios related
achivities for achieving lowest total
acquisition cost and highest quality.
In this business environment is
necesery to analysis the purchasing
process in view of its contribution to costs
and quality of products / services and find
the sources and methods for improving the
purchasing process. Using Kaplan and
Norton strategy map [13,14,15,16],
purchasing process become the part of
internal perspectal with adequate
5
th
IQC May, 20 2011 461
performances (figure 1).
Productivity
Income
ROI
Financial
perspective
Customer
perspective
Internal
perspective
Perspective
of growth
and leonig
Quality
Price
Other
support
processes
Purchasing
process
Realization
processes
Purchasing
knowledge
Purchasing
budget
Organization
purchasing of
+
Figure 1 - Purchasing process in strategic map
In this model, purchasing process
has inputs from perspective of growth and
learning, as in one organization is
presented in figure1. Arows presents
relationship and sign plus means that with
increased input increase output. For
purchasing process has to develop metrix,
as in table 1, for one telecommunication
organization.
Table 1 - Purchasing process metrix
Waiting
becouse
purchasing
delays
(hours)
Stocks/
stock
minimum
[%]
Budget for
purchasing/
planed
budget
Quality
of
purchasing
Purchased
price/
planed
price
Score
0 £100 £100 10 £100 10
0-1 100-109 100-109 9 100-102 9
1-4 110-119 110-119 8 103-105 8
5-8 120-129 120-129 7 106-108 7
8-16 130-139 130-139 6 109-111 6
16-36 140-149 140-149 5 112-114 5
36-80 150-159 150-159 4 115-117 4
80-160 160-169 160-169 3 118-120 3
160-400 170-179 170-179 2 121-123 2
>400 >180 >180 1 >124 1
0.25 0.25 0.15 0.20 0.15 ponder
In this example performance of
purchasing process is weighted awerage
value:
462 Z. Arsovski, S. Arsovski, G. Markovi?, M. Dabeti?
Pp = 0.25P1 + 0.25P2 +
0.15P3 + 0.20P4 +
0.15P5
Scales are designed aceording
expirience for each organization and
priorities in realization of processes.
In the same way we can define and
measure performance of other support
process and realization process. Relations
among those processes depends on many
factors and vary in organizations and
during time. Its are very influential on
quality and price on market, as
performance in customer perspective, and
performances in financial perspective.
Using benchmarking techniques for
performance in each perspective we could
find potential for improvement. According
previos investigation [17,18] is dominantly
quality of purchasing process. One of the
key influencial factor for that is treatment
of purchasing as separate process.
3. PURCHASING PROCESS AS
AN INTEGRATION OF
INTERNAL AND EXTERNAL
CHANGES
In this new concept [11] purchasing
is also sale (because contribute to
marketing and organization goals) and
more than baying (because external
exchause relationships with suppliers in
markets). Instead purchasing function
contemporary organizations need to
organize supply chain with three basic
functions:
§ strategic procurement,
§ supplier – base
management, and
§ lean supply organization
(figure 2).
Suppliers
Customers
Other processes
Lean supply
organization
Supplier - base
management
Strategic
procurement
Marketing
and sale
Marketing
and sale
Purchasing
processes
Other business processes
Fig. 2. Purchasing in supply chain management (SCM) context
High complexity and frequences of
relations between processes, as great
amount of [19,20,21,22] information need
to develop and use ICT support of
purschasing process. Figure 3 presents
decomposition diagrams of purschasing
process.
5
th
IQC May, 20 2011 463
Purchasinf
in networks
for data
transmissrions
IT
Purchasinf
in logistics
and inport
Purchasinf in
communication
and transport
systems
Purchasinf
in lentrance
networks
Purchasinf
Output
Input
Input
Output 1
Output 2
Output 4
Fig. 3. Purchasing as part of e-supply chain solution
Information Communication
Technology (ICT) can use for this purpose
in different levels:
§ level 1: single purchasing
information system,
§ level 2: purchasing
system as part of
integrated (SAP or
other) solution,
§ level 3: purchasing as
part of e-supply chain
solution.
For each of thase posible ICT
solutions, for designing appropriate
information system, is necessary to start
with analysis of purschasing process
[23,24,25,26,27,28].
4. MODELING OF
PURCHASING PROCESS IN
TELECOMMUNICATION
ORGANIZATIONS
For telecomunication organizations
is defined e TOM process model, in which
purchasing activities are performed in
folowing subprocesses:
§ supply chain development &
management,
§ supply chain development & change
management,
§ resurce management & operations,
§ S/PRM support & readiness.
For purpose of modeling the
purchasing process in one
telecomunication organization is
developed project with folowing phases:
1. definition of state of existing
purchasing process,
2. analysis of strategic requests
related to purchasing process,
3. identification and decomposition
of processes,
4. analysis of stakeholders needs and
requests,
5. analysis of interfaces,
6. modeling and mapping of
processes,
464 Z. Arsovski, S. Arsovski, G. Markovi?, M. Dabeti?
7. conceptualization of desired
process,
8. defining of process metrix,
9. generation of procedure for
purchasing process management.
Autcomes from this project are:
§ procedure (s),
§ purchasing process model,
§ decomposition of this model in
purpose of Decision Support
System (DSS) supported by ICT,
§ higher transparency of processes,
§ improving purchasing process goals
[29,30,31,32].
Realization of project activities is
performed using appropriate standards and
specifications for project management
(ISO 10006, ISO 10007, PMBOK, ISO
21500 etc.).
Because purchasing process has
strategic impact on each
telecommunication organization, during
analysis have to discover requests from
different standards on purchasing
activities, as:
§ QMS (Quality Management
System),
§ TL 9000 (Telecommunication
Quality Systems in Industry),
§ RM (Risk Management System –
ISO 31000),
§ CM (Continuity Management –
BS 25999),
§ CRM (Computer Relationship
Management),
§ SR (Social Responsibility – ISO
22000),
§ ISM (Information Security
Management – ISO 27000),
§ SCM (Supply Chain Management
– ISO 28000),
§ SM (Service Management – ISO
20000).
Risk of this project is related to:
1. gathering the relevant
information about state of
process in planed period,
2. information gathering from
other sources,
3. selection team members from
aspects of competency,
autority, motivation and
availability.
Team for purchesing process has to
produce plan for mitigation of risk, as is
presented in figure 4.
NOT ALOWED
ZONE
5
10 5
ALARP
ZONE
1
3
2
frequency
of hazards
impact
of hazards
Figure 4. Risk project of purchesing process modeling
In this mitigation plan:
§ first risk will be decreased or
eliminated through effective work of
Project Council,
§ second risk will be decreased through
gathering the bencmarking studies
from other services, using knowledge
of external experts, etc.,
5
th
IQC May, 20 2011 465
§ third risk will be decreased through
good selection process, with
eventualy added external experts in
purpose adding new knowledge or
increasing of capacity of team to
realize project goals in planed terms.
5. CONCLUSION
Purchasing process is very
influential on value creation in
telecommunication services. Because that,
each telecommunicationorganizacion have
to:
§ review existing purchasing process
from quality and costs aspects,
§ prepare new project for creating the
new model for improvement of
purchasing process,
§ define basic elements for effective ICT
support in e-SCM environment,
§ incorporate requests of different ISO
and other standards and specifications
into purchasing process model,
§ through purchesing improvement
increase overall business performance,
shareholders benefits and value of
telecommunication organization.
.
REFERENCES:
[1] Tricker R., CE Conformity Marking and New Approach Directives, Butterworth
Heineman, Oxford, 2000.
[2] Lin W.T., Chen S.C. and Chen K.S., Evaluation of performance in introducing CE
marking on the European market to the machinery industry in Taiwan, International
Journal of Quality & Reliability Managament, Vol. 22. No. 5, 2005, pp. 503-517
[3]http://www.newapproach.org/.
[4] Barringer, Bruce R., Entrepreneurship: successfully launching new ventures, Pearson
Prentice Hall, Inc, New Jersey, 2006.
[5] McGrath R. G., MacMillan I., The entrepreneurial mindset, Harvard Business School
Press, USA, 2000.
[6] Bodde D. L., The intentional entrepreneur, M.E. Sharpe, Inc., New York, 2004.
[7] Soos L., Modeling the Iimpact of New Approach Diresctives on Competitiveness of
enterprise, International Journal for Quality Research, Vol. 2. No. 3, pp. 169-176, 2008
[8] Ruth M., Hanman B., Modeling Dynamic Economic Systems, Springr-Verlay, INC., New
York, 1997.
[9] Arsovski S., Kanjevac Milovanovic K., Modeling the impact of new approach diresctives
on competitiveness of enterprise, International Journal for Quality Research, Vol. 2. No.
2, pp. 85-92, 2008
[10] Arsovski S., Kanjevac Milovanovic K., Extended model of competitivity throug
application of new approach directives, International Journal for Quality Research, Vol.
3. No. 1, pp. 1-6, 2009
[11] Questionnaire Researching the impact of the new approach directive on the
competitiveness of enterprises in Serbia
[12] Pidd M., Computer Simulation in Management Science, John Wiley&sons, INC., New
York, 1992.
[13] Ross S., Simulation, Elsevie Academic Press, INC., USA, 2006.
Acknowledgment: Research presented in this paper was supported by Ministry of Science and
Technological Development of Republic of Serbia, Grant III-44010, Title: Intelligent Systems
for Software Product Development and Business Support based on Models.
466 Z. Arsovski, S. Arsovski, G. Markovi?, M. Dabeti?
doc_597435637.pdf
Brief outline in relation to macmillan i., the entrepreneurial mindset, harvard business school press, usa, 2000.
5
th
International Quality Conference
May 20
th
2011
Center for Quality, Faculty of Mechanical Engineering, University of Kragujevac
5
th
IQC May, 20 2011 459
Zora Arsovski
1)
Slavko Arsovski
2)
Goran Markovi?
3)
Maja Dabeti?
13)
1) Faculty of
Economics,Univeristy of
Kragujevac,
mail: [email protected]
2) Faculty of Mechanical
Engineering, Kragujevac,
mail:{kanjevac,
cqm}@kg.ac.rs
3) Telekom, Srbija, {
goranmar,
majak}@telekom.rs
DESIGN OF PURCHASING PROCESS IN
TELECOMUNICATION COMPANY
Abstract: One of the key charracteristic of
telecomunication industry is numerios suppliers
organized in clasical way or in supply chains. In this
paper is analysed purchasing process as base for
transition from clasical purchasing to suply chain
management (SCM).
Supply chain is a very complex business process with
purchasing capability, costly and timely benefits than
classical purchasing and mutual research and
development.
Purchasing process in telecomunication company has
strategic role because purchased products/services are
part of final service to customers. Because of that it is
necessary to review of existing purchasing process, as
end tier in supply chain, with respect of new and more
competitive pressure of needs and requests of all
stakeholders, including quality standards.
Based on state analysis, analysis of strategic request
on purchasing process, analysis of interfaces is
performed modeling and process mapping, desired
process concepting and quality metrics introduced. In
this paper are presented one part of research results for
one telecomunication company.
Keywords: directives of new approach, CE mark,
competitiveness, quality of product, safety of products,
price, simulation
1. INTRODUCTION
Purchasing process has great
contribution in new value generation.
Because that it is analysed very frequently
from aspects of concept, organization,
costs, communications, vulnerability etc.
In the paper [1] authors analysed problem
of risk and uncertaintly of global supply
chains and emphasize dynamic aspect of
process and relation to multicriteria
decision making. Authors of paper [2]
emphasize purchasing performance
evaluation using DEA (Data Envelopment
Analysis).
Between time and cost of purchasing
process is very complex relationship [3]
which needs process mapping and time-
based analysis, cost collection, cost-time
integration and cost-time analysis.
In paper [4] authors discover
analytical tools for dinamic supply chain,
as SCOR (Supply Chain Operation
Reference) and discrete event simulation.
In Purchasing process is necessery to
construct linkages between service
sourcing decisions and competitive
advantage [5] with appropriate strategy
and tactics.
Effects of integration purchasing in
supply chain on firm performance are very
high [6]. Author proved hypothesis:
460 Z. Arsovski, S. Arsovski, G. Markovi?, M. Dabeti?
H1 – The level of SCM practice will have
a significant association with
competitive capability,
H2 – The level of SC integration have a
significant influence on
competitive capability and SCM
practice,
H3 – competitive capability will have a
significant influence on firm
performance.
For effective supply chain
management can be used different new
techologies [7]. Adoption of its depends on
size of organization, structure of
organization, existing performance, supply
chain strategy integration,
interorganizational factors, and
environmental uncertainty.
In supply chain network (SCN)
modelling significant role has quality
approach [8] with: (1) supplier affilation
process, (2) incoming inspection, (3)
definition of supplier affilation, (4)
definition and execution of supply chain
network optimization model.
One of effectivity measure of SCM is
cost of quality [9]. Using PAf (Prevention-
Appraisal-Failure) model and DMAIC
(Define-Measure-Analyse-Improve-
Check) is possible to find drivers
purchasing in SCM.
In [10] authors discover impact of
quality standard ISO 9000 on supply chain
efficiency and indicators conclude higher
performance related to inventory days,
operating cycle etc.
One of the key charracteristic of
telecomunication industry is numerios
suppliers organized in clasical way or in
supply chains. In this paper is analysed
purchasing process as base for transition
from clasical purchasing to suply chain
management (SCM).
Supply chain is a very complex
business process with purchasing
capability, costly and timely benefits than
classical purchasing and mutual research
and development.
Purchasing process in
telecomunication company has strategic
role because purchased products/services
are part of final service to customers.
Because of that it is necessary to review of
existing purchasing process, as end tier in
supply chain, with respect of new and
more competitive pressure of needs and
requests of all stakeholders, including
quality standards.
Based on state analysis, analysis of
strategic request on purchasing process,
analysis of interfaces is performed
modeling and process mapping, desired
process concepting and quality metrics
introduced. In this paper are presented one
part of research results for one
telecomunication company.
2. TRADITIONAL APPROACH
TO PURCHASING
Purchasing or resource acquisition has
dominantly supporting process [11,12].
Primarly analysis in previos period is
targeted to cost reduction, profit
generation, efc. In this concept, purchasing
becomes ²accountants purchasing² with
emphasis on baying a cheaper resources
(focusing on value engineering, value
analysis and standardisation of materials
and services), or attempt to supply
²cheaply² with focusing on alternative
sources, negatiation, purchasing methods
and inventary management. In this context
quality becomes new role. In globalization
era traditional approach needs to make
trade – off analysis among varios related
achivities for achieving lowest total
acquisition cost and highest quality.
In this business environment is
necesery to analysis the purchasing
process in view of its contribution to costs
and quality of products / services and find
the sources and methods for improving the
purchasing process. Using Kaplan and
Norton strategy map [13,14,15,16],
purchasing process become the part of
internal perspectal with adequate
5
th
IQC May, 20 2011 461
performances (figure 1).
Productivity
Income
ROI
Financial
perspective
Customer
perspective
Internal
perspective
Perspective
of growth
and leonig
Quality
Price
Other
support
processes
Purchasing
process
Realization
processes
Purchasing
knowledge
Purchasing
budget
Organization
purchasing of
+
Figure 1 - Purchasing process in strategic map
In this model, purchasing process
has inputs from perspective of growth and
learning, as in one organization is
presented in figure1. Arows presents
relationship and sign plus means that with
increased input increase output. For
purchasing process has to develop metrix,
as in table 1, for one telecommunication
organization.
Table 1 - Purchasing process metrix
Waiting
becouse
purchasing
delays
(hours)
Stocks/
stock
minimum
[%]
Budget for
purchasing/
planed
budget
Quality
of
purchasing
Purchased
price/
planed
price
Score
0 £100 £100 10 £100 10
0-1 100-109 100-109 9 100-102 9
1-4 110-119 110-119 8 103-105 8
5-8 120-129 120-129 7 106-108 7
8-16 130-139 130-139 6 109-111 6
16-36 140-149 140-149 5 112-114 5
36-80 150-159 150-159 4 115-117 4
80-160 160-169 160-169 3 118-120 3
160-400 170-179 170-179 2 121-123 2
>400 >180 >180 1 >124 1
0.25 0.25 0.15 0.20 0.15 ponder
In this example performance of
purchasing process is weighted awerage
value:
462 Z. Arsovski, S. Arsovski, G. Markovi?, M. Dabeti?
Pp = 0.25P1 + 0.25P2 +
0.15P3 + 0.20P4 +
0.15P5
Scales are designed aceording
expirience for each organization and
priorities in realization of processes.
In the same way we can define and
measure performance of other support
process and realization process. Relations
among those processes depends on many
factors and vary in organizations and
during time. Its are very influential on
quality and price on market, as
performance in customer perspective, and
performances in financial perspective.
Using benchmarking techniques for
performance in each perspective we could
find potential for improvement. According
previos investigation [17,18] is dominantly
quality of purchasing process. One of the
key influencial factor for that is treatment
of purchasing as separate process.
3. PURCHASING PROCESS AS
AN INTEGRATION OF
INTERNAL AND EXTERNAL
CHANGES
In this new concept [11] purchasing
is also sale (because contribute to
marketing and organization goals) and
more than baying (because external
exchause relationships with suppliers in
markets). Instead purchasing function
contemporary organizations need to
organize supply chain with three basic
functions:
§ strategic procurement,
§ supplier – base
management, and
§ lean supply organization
(figure 2).
Suppliers
Customers
Other processes
Lean supply
organization
Supplier - base
management
Strategic
procurement
Marketing
and sale
Marketing
and sale
Purchasing
processes
Other business processes
Fig. 2. Purchasing in supply chain management (SCM) context
High complexity and frequences of
relations between processes, as great
amount of [19,20,21,22] information need
to develop and use ICT support of
purschasing process. Figure 3 presents
decomposition diagrams of purschasing
process.
5
th
IQC May, 20 2011 463
Purchasinf
in networks
for data
transmissrions
IT
Purchasinf
in logistics
and inport
Purchasinf in
communication
and transport
systems
Purchasinf
in lentrance
networks
Purchasinf
Output
Input
Input
Output 1
Output 2
Output 4
Fig. 3. Purchasing as part of e-supply chain solution
Information Communication
Technology (ICT) can use for this purpose
in different levels:
§ level 1: single purchasing
information system,
§ level 2: purchasing
system as part of
integrated (SAP or
other) solution,
§ level 3: purchasing as
part of e-supply chain
solution.
For each of thase posible ICT
solutions, for designing appropriate
information system, is necessary to start
with analysis of purschasing process
[23,24,25,26,27,28].
4. MODELING OF
PURCHASING PROCESS IN
TELECOMMUNICATION
ORGANIZATIONS
For telecomunication organizations
is defined e TOM process model, in which
purchasing activities are performed in
folowing subprocesses:
§ supply chain development &
management,
§ supply chain development & change
management,
§ resurce management & operations,
§ S/PRM support & readiness.
For purpose of modeling the
purchasing process in one
telecomunication organization is
developed project with folowing phases:
1. definition of state of existing
purchasing process,
2. analysis of strategic requests
related to purchasing process,
3. identification and decomposition
of processes,
4. analysis of stakeholders needs and
requests,
5. analysis of interfaces,
6. modeling and mapping of
processes,
464 Z. Arsovski, S. Arsovski, G. Markovi?, M. Dabeti?
7. conceptualization of desired
process,
8. defining of process metrix,
9. generation of procedure for
purchasing process management.
Autcomes from this project are:
§ procedure (s),
§ purchasing process model,
§ decomposition of this model in
purpose of Decision Support
System (DSS) supported by ICT,
§ higher transparency of processes,
§ improving purchasing process goals
[29,30,31,32].
Realization of project activities is
performed using appropriate standards and
specifications for project management
(ISO 10006, ISO 10007, PMBOK, ISO
21500 etc.).
Because purchasing process has
strategic impact on each
telecommunication organization, during
analysis have to discover requests from
different standards on purchasing
activities, as:
§ QMS (Quality Management
System),
§ TL 9000 (Telecommunication
Quality Systems in Industry),
§ RM (Risk Management System –
ISO 31000),
§ CM (Continuity Management –
BS 25999),
§ CRM (Computer Relationship
Management),
§ SR (Social Responsibility – ISO
22000),
§ ISM (Information Security
Management – ISO 27000),
§ SCM (Supply Chain Management
– ISO 28000),
§ SM (Service Management – ISO
20000).
Risk of this project is related to:
1. gathering the relevant
information about state of
process in planed period,
2. information gathering from
other sources,
3. selection team members from
aspects of competency,
autority, motivation and
availability.
Team for purchesing process has to
produce plan for mitigation of risk, as is
presented in figure 4.
NOT ALOWED
ZONE
5
10 5
ALARP
ZONE
1
3
2
frequency
of hazards
impact
of hazards
Figure 4. Risk project of purchesing process modeling
In this mitigation plan:
§ first risk will be decreased or
eliminated through effective work of
Project Council,
§ second risk will be decreased through
gathering the bencmarking studies
from other services, using knowledge
of external experts, etc.,
5
th
IQC May, 20 2011 465
§ third risk will be decreased through
good selection process, with
eventualy added external experts in
purpose adding new knowledge or
increasing of capacity of team to
realize project goals in planed terms.
5. CONCLUSION
Purchasing process is very
influential on value creation in
telecommunication services. Because that,
each telecommunicationorganizacion have
to:
§ review existing purchasing process
from quality and costs aspects,
§ prepare new project for creating the
new model for improvement of
purchasing process,
§ define basic elements for effective ICT
support in e-SCM environment,
§ incorporate requests of different ISO
and other standards and specifications
into purchasing process model,
§ through purchesing improvement
increase overall business performance,
shareholders benefits and value of
telecommunication organization.
.
REFERENCES:
[1] Tricker R., CE Conformity Marking and New Approach Directives, Butterworth
Heineman, Oxford, 2000.
[2] Lin W.T., Chen S.C. and Chen K.S., Evaluation of performance in introducing CE
marking on the European market to the machinery industry in Taiwan, International
Journal of Quality & Reliability Managament, Vol. 22. No. 5, 2005, pp. 503-517
[3]http://www.newapproach.org/.
[4] Barringer, Bruce R., Entrepreneurship: successfully launching new ventures, Pearson
Prentice Hall, Inc, New Jersey, 2006.
[5] McGrath R. G., MacMillan I., The entrepreneurial mindset, Harvard Business School
Press, USA, 2000.
[6] Bodde D. L., The intentional entrepreneur, M.E. Sharpe, Inc., New York, 2004.
[7] Soos L., Modeling the Iimpact of New Approach Diresctives on Competitiveness of
enterprise, International Journal for Quality Research, Vol. 2. No. 3, pp. 169-176, 2008
[8] Ruth M., Hanman B., Modeling Dynamic Economic Systems, Springr-Verlay, INC., New
York, 1997.
[9] Arsovski S., Kanjevac Milovanovic K., Modeling the impact of new approach diresctives
on competitiveness of enterprise, International Journal for Quality Research, Vol. 2. No.
2, pp. 85-92, 2008
[10] Arsovski S., Kanjevac Milovanovic K., Extended model of competitivity throug
application of new approach directives, International Journal for Quality Research, Vol.
3. No. 1, pp. 1-6, 2009
[11] Questionnaire Researching the impact of the new approach directive on the
competitiveness of enterprises in Serbia
[12] Pidd M., Computer Simulation in Management Science, John Wiley&sons, INC., New
York, 1992.
[13] Ross S., Simulation, Elsevie Academic Press, INC., USA, 2006.
Acknowledgment: Research presented in this paper was supported by Ministry of Science and
Technological Development of Republic of Serbia, Grant III-44010, Title: Intelligent Systems
for Software Product Development and Business Support based on Models.
466 Z. Arsovski, S. Arsovski, G. Markovi?, M. Dabeti?
doc_597435637.pdf