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Remodeling Indirect Procurement in a Global Organization

Eazharakkaran Moopparakath, Ranjit Narayanan (2023)

 
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RanjitNarayanan_EazharakkaranMoopparakath.pdf (1.011Mt)
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Eazharakkaran Moopparakath, Ranjit Narayanan
2023
All rights reserved. This publication is copyrighted. You may download, display and print it for Your own personal use. Commercial use is prohibited.
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Julkaisun pysyvä osoite on
https://urn.fi/URN:NBN:fi:amk-202305088267
Tiivistelmä
In the case organization, a need to improve the process efficiency was felt by the leadership of the organization. During the current state analysis, it was discovered that indirect procurement functions of the case organization were decentralized globally and caused process inefficiency. The objective of this thesis was to generate proposals for remodeling the indirect procurement in the case organization to improve process efficiency.

This thesis utilized qualitative research methods to collect all the relevant data. The thesis started with evaluating the current state of indirect procurement in the case organization. The theoretical framework focused on the topics related to indirect procurement, which was followed by developing a proposal for remodeling the current indirect procurement practices.

To arrive at the proposal, data collection and data analysis was done by adopting inductive approach. Indirect procurement experts at the case organization were interviewed to gain insight of the current situation with indirect procurement. Thematic analysis of the data pointed to the development options for tackling indirect procurement challenges in the case organization. The outcome of this thesis is the proposal for remodeling the indirect procurement, which the case organization can adopt.

This thesis proposed three options for remodeling the indirect procurement for the case organization, which is a global organization. The organization accepted one of the presented proposals, which is the hybrid mode of operation, formed by combining selectively the outsourcing and shared services center models. The interviews with the leadership also confirmed their willingness to consider adopting other proposals for remodeling the indirect procurement possibly in the future.
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