Essay on The Purchasing Process of Woolworths

Essay on The Purchasing Process of Woolworths

Length: 631 words (1.8 double-spaced pages)

Rating: Better Essays

Open Document

Essay Preview

Environmental pressures have caused green supply chain management to emerge as an important corporate environmental strategy for organisations’ processes. Our discussion will describe, illustrate and critically evaluate the purchasing process of Woolworths. It will further identify the steps of the purchasing process, the effect of green purchasing and sustainable purchasing. Moreover, the essay will go on to look at the effort that Woolworths has made through their programmes and initiatives of green purchasing.

Woolworths is a large retail business selling a wide range of products including clothing, food, and general merchandise in South Africa and Country Road in Australia. The company was founded in 1931 by Max Sonnenberg assisted by his sons Richard and Fred Kossuth. The purchasing structure is centralized having two main distribution centres, one located in Cape Town (Montague Gardens) and the other in the Midrand between Johannesburg and Pretoria. All Woolworths’ purchases go through these two main distribution centres. The company takes responsibility for the entire lifecycle of their products including the reduction of direct environmental impacts which requires it to take custodianship of the supply chain and at the same time to convince customers and suppliers in the network to reduce their environmental impact (Annual Report, 2010).

Purchasing Process
Purchasing process is the process of buying the right material, at the right quantity, at the right moment, at the right price and from the right supplier ( Heinritz et al, 1986). It can also be defined as the way an organisation behaves towards it suppliers, as suppliers are the pillar of strength for all organisations at large. According to We...

... middle of paper ...

... management ande-procurement: creating value added in the supply chain”,Industrial Marketing Management, Vol. 33 No. 2, pp. 219-26.
Svensson, G. and Wagner, B. (2012b), “Implementation of a sustainable business cycle: the case of a Swedish dairy producer”, Supply Chain Management: An International Journal, Vol. 17 No. 1, pp. 93-7
Woolworths (2009), Annual Report, pp. 1-192.
Woolworths Holdings Ltd (2010), Good Business Journey, pp. 1-60, Sustainability Report.
Živković, Snežana; Takić, Ljiljana; Živković, Nenad UNAPREĐENJE EKOLOŠKIH PERFORMANSI PRIMENOM STANDARDA ISO 14001 - STUDIJA SLUČAJ.. Chemical Industry & Chemical Engineering Quarterly. 2013, Vol. 19 Issue 4, p541-552. 12p. DOI: 10.2298/CICEQ120513088Z. ,
Zsidisin GA, Siferd SP. 2001. Environmental purchasing: a framework for theory development. European Journal of Purchasing and Supply Management 7(1): 61–73.

Need Writing Help?

Get feedback on grammar, clarity, concision and logic instantly.

Check your paper »

Risk Analysis Report for Woolworths Supermarket Essay

- RISK ASSESSMENT REPORT OF WOOLWORTHS SUPERMARKET Executive Summary Woolworths LTD has commissioned EA partners for auditing their supermarkets chains. Therefore it is important to prepare a risk analysis report to be added in the audit plan in order to identify and analyze possible events that could have an impact in achieving the company’s objectives. The element of risk is embedded in every business, the risk of not achieving the company objective. Risk assessment is important to the effective operations of the company....   [tags: business, retailer, auditing, control]

Better Essays
1626 words (4.6 pages)

The Purchasing Process And My Behavior Essay

- The purchasing process is a highly complex organizational process with objectives that reach far beyond the traditional belief and primary role is to obtain goods and services in response to internal needs. In this course, we are studying the consumer behaviour, which is defined as” the process involved when individuals or groups select, purchase, ideas or experience to satisfy needs and desires. In the past four weeks, I recorded my purchase behaviour and experience to show what effect on the purchasing process and my behaviour....   [tags: Marketing, Brand, Purchasing, Operations research]

Better Essays
1077 words (3.1 pages)

Essay on What Is Purchasing Power Parity?

- What is purchasing power parity (PPP). According to International Monetary Fund (IMF), PPP is defined as “The rate at which the currency of one country would have to be converted into that of another country to buy the same amount of goods and services in each country” Gustav Cassel (1920) provided the modern definition of PPP. According to Gustav, when measured in the same unit, the monies from different countries should have the same purchasing power and buy the same basket of goods. Otherwise, price differences will create international arbitrage which will bring adjustments in prices, exchange rates, or both, this international arbitrage will ultimately restore parity....   [tags: Inflation, Purchasing power parity, Exchange rate]

Better Essays
2132 words (6.1 pages)

The Importance Of A Purchasing Manager Should Have A Good Understanding On The Elements Of The Purchasing Cycle

- A purchasing manager should have a good understanding of the elements of the purchasing cycle. Explain the elements of the procurement cycle and assess its significance to the role of a purchasing manager. Introduction : Here is a sensitive process manager at the company, where the process of buying the resources that the company needed them to make their own products. The Director understands the role and size of the operation and their importance to the company and the company 's products. The manager must have a novel about global markets, where I come from the best resources to make the best products, so the manager must have a background of global trade and the domestic and a sophisti...   [tags: Procurement, Purchasing, Supply chain management]

Better Essays
1714 words (4.9 pages)

Austin Wood Products Organizational Purchasing Essay

- Before inventory productivity can be improved, one must take a careful and critical look at the specific business entity, which in this case is Austin Wood Products. In the case it stated that there is no way to know what is available in the storage room until you get there is a huge concern. There is usually a 50 percent chance of obtaining the needed lumber for a job, and this is interfering with productivity. In the area of inventory management, the purchasing professional should make explicit decisions....   [tags: purchasing department, stock turnover, inventory]

Better Essays
929 words (2.7 pages)

The Process And Advantages Of Purchasing A Franchise Business Essay

- Our research topic is – “The process and advantages of purchasing a franchise business rather than starting your own business.” It is quite evident that business owners, that are not very well known of the competitive industry in the market, choose to side with buying a franchise to understand how a certain business runs. They use this experience and grow there on otherwise business owners use their gained expertise from franchise experience and implement them in the new business. In contrary, there are examples of businesses that choose to establish their own business without getting any help from any parent company and find success with zero support....   [tags: Business, Small business, Franchising, Property]

Better Essays
733 words (2.1 pages)

Woolworths' Choice for Internal and External Communication Essay

- Question 1 When studying communications one will realize that different companies or organizations communicate internally and externally with their different target audiences. Therefore, we are exposed to different kinds of corporate publications. These can be internal and/or external publications. Corporate publications intend to communicate or rather aim to convey certain messages to different messages to different target audiences. For example, internal publications are publications aimed for employees and stakeholders, whereas external publications are aimed to communicate with customers....   [tags: corporate practices]

Better Essays
1414 words (4 pages)

The Concepts Of Purchasing Management Essay

- CONCEPTS OF PURCHASING MANAGEMENT Introduction. Management is the manipulation of organization resources with the aim of optimizing their use so as to maximize profit and achieve various objectives. It can also according to Mary Parker be defined as the art of getting things done through people. A concept is mainly an idea or intervention to help sell or publicize a commodity. Generally, purchasing in itself refers to the process involved in ordering and receiving goods and services via means of request or creation of a purchasing order and the receipting of goods....   [tags: Management, Quality assurance, Procurement]

Better Essays
1375 words (3.9 pages)

The Cost Of Purchasing 5000 Devices Essay

- Part A: 1) The cost of purchasing 5000 devices (DD11) per year = $14 × 5000 = $70,000 After discontinuing the manufacture of devices: The direct materials = 0 The direct labor = 0 The variable factory overhead costs = 20% × $30,000 = $6,000 The fixed factory overhead costs = $55,000 - $2,000 = $53,000 Manufacturing the devices ( DD11 ) Purchasing the devices ( DD11 ) from an outside supplier The incremental cost or benefit Total manufacturing costs ( $190,000 ) 0 $190,000 Costs of purchasing the devices 0 ($70,000) ( $70,000 ) Fixed factory overhead costs ($6,000)...   [tags: Costs, Cost, Variable cost, Cost-benefit analysis]

Better Essays
1668 words (4.8 pages)

Purchasing and Supply Management Essay

- Purchasing and supply management holds a position of the mortar to hold the bricks together in the business world. Within purchasing and supply management, there are a few steps while creating a project supply, service, and material budget from detailed requirements. Those steps show how to select the most qualified suppliers and strategies for negotiating prices. Along with this, there are also benefits and costs of outsourcing. This includes the growth of outsourcing. Various organizations will be evaluated on their benchmarks in purchasing and supply management, along with their best practices in this....   [tags: outsourcing, business]

Better Essays
2194 words (6.3 pages)