Purchasing and Financing 2024
Purchasing- and Financial Management For 2nd year CATS learners. Aligned to the outcomes of the German accredited certification: “Industrie Kaufmann/frau”.
Purchasing- and Financial Management
For 2nd year CATS learners.
Aligned to the outcomes of the German accredited certification: “Industrie Kaufmann/frau”.
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Option B<br />
Beta Leather produces B quality leather. They deliver the quantity as requested; their<br />
delivery time is normally 2 weeks, but it can also take up to 4 weeks. There are no delivery<br />
costs. They offer 50kg bags at R225 a bag. They give no cash discount, but if you order<br />
more than 1 500 kg you get a R50 refund.<br />
Option C<br />
Gamma Leather offers B quality leather in 100 kg bags at R470 a bag, but one can<br />
purchase less. The delivery cost is R100, but that will be refunded it more than 750 kg is<br />
purchased. They give a 2% cash discount <strong>and</strong> delivers between 2 <strong>and</strong> 5 days.<br />
Step 1: Identify the Criteria against which you are going to measure the suppliers.<br />
Quality - B grade leather required.<br />
Quantity - 500kg is needed initially.<br />
- 100kg is needed on five occasions after that<br />
Delivery Time - The initial quantity must be delivered within two weeks.<br />
- The rest must be delivered on short notice<br />
Price - The price must be competitive.<br />
- All price components must be considered.<br />
Step 2: Measure the suppliers against the Criteria <strong>and</strong> award a percentage mark in each<br />
case.<br />
Quality<br />
o Alpha provides grade “A” quality, while you require only grade “B”. They exceed<br />
your requirements <strong>and</strong> will score 100% for Quality.<br />
o Beta provides the “B” grade quality that you require; therefore, they will also score<br />
100% for Quality.<br />
o Gamma also provides the required “B” grade <strong>and</strong> will also score 100% for Quality.<br />
Quantity<br />
o Alpha can deliver the initial 500 kg as required. They can not deliver less than 250<br />
kg at a time. They will score about 75% for Quantity.<br />
o Beta delivers as requested <strong>and</strong> will therefore score 100% for Quantity.<br />
o Gamma will be able to meet your quantity requirements <strong>and</strong> will also score 100%<br />
Delivery Time<br />
o Alpha guarantees delivery within two days <strong>and</strong> will score 100% for Delivery Time.<br />
o Beta should just be able to deliver the initial 500 kg in time, but will not be able to<br />
deliver anything on short notice. They will score no more than 40% for Delivery<br />
Time.<br />
o Gamma will be able to meet the initial requirement <strong>and</strong> can deliver on short notice<br />
to a degree but can not guarantee it. They will score about 75% for Delivery Time<br />
6
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