Course: Bachelor Thesis in Business Administration, 15 ECTS Topic: The Impact of Strategic Purchasing on an Organization’s Profitability A Case Study of Ghana Telecom Company Supervisor: Mats Viimne Background: The purchasing function contributes directly to the operating results and profitability of an organization. It has been argued out that, the fact that purchasing is responsible for spending more than 60 percent of an organization’s sales dollars highlights the profit-enhancing potentials of the purchasing on an organization. Problem: How can strategic purchasing affect the profitability of an organization? Purpose: The purpose of this research is to describe how strategic purchasing impact on the profitability of Ghana Telecom Company. Method: The author collected both primary and secondary data in order to fulfill the purpose of the paper; the primary data was gathered directly from relevant sources in Ghana Telecom Company, through telephone and email interviews. The secondary data was obtained from indirect sources, such as textbooks, articles, and websites. The method used can be described as a qualitative. Conclusion: An organization’s purchasing strategy is becoming recognized as a strategic weapon equal in importance to its marketing, conversion and finance strategies as pointed out by Dobler et al. Ghana Telecom Company’s strategic approach to buying include multiple sourcing, short-term contracting and competitive bidding as a measure towards increasing its profitability by being able to source at the lowest cost, and having other sourcing alternatives, which leads to cost reduction.
| Identifer | oai:union.ndltd.org:UPSALLA1/oai:DiVA.org:mdh-1590 |
| Date | January 2008 |
| Creators | ASSIAMAH, ALBERT KOFI |
| Publisher | Mälardalens högskola, Akademin för hållbar samhälls- och teknikutveckling |
| Source Sets | DiVA Archive at Upsalla University |
| Language | English |
| Detected Language | English |
| Type | Student thesis, info:eu-repo/semantics/bachelorThesis, text |
| Format | application/pdf |
| Rights | info:eu-repo/semantics/openAccess |
Page generated in 0.0021 seconds