Project Risk and Procurement Management †MyAssignmenthelp.com

Question: Discuss about the Project Risk and Procurement Management. Answer: Introduction: The procurement had a strategic and broader strategic impact. The influence of such changes had its influence and they are within the reach of the organization. It has been found that procurement plays an important role in the development and execution of the strategy of a company. The organizations are playing an active role of the top level managers of the company. The companies have also added various sourcing methodologies and processes and they adapt with the supplier and thus take advantage of the power in the supply base of the company. The technological changes also play an important role in the procurement process. It is also necessary to identify the long term management strategies and collaborate with the key suppliers which necessary for value creation. The performance management, information and the knowledge are the key aspects of procurement management. It is also important to contribute to the bottom lines and the top lines management of the company. The procurement l eaders must also contribute in the innovation of suppliers for the introduction of new product and also creation of new business opportunities in the market. It is also necessary to manage the risk systematically and it is one of the most important changes that have occurred in the company. The leaders of the company must also use the supplier relationship process and this has helped them in managing their followers. It is also seen that the leaders must follow a strategic value by pointing to the various improvements in innovation and growth. It is also vital to have control over the technologies as they allow visibility in spending. The successful leaders also must have access of the various real time database of the company. The sourcing methods of the company have also changed and this has increased the amount of procurement in the next few years. The procurement will also have to gain visibility from the various spending processes. The companies have also used the six sigma pro cesses and thus manage the source pipeline accordingly. The supply chain management of Boeing airline has also been changed. The suppliers have upgraded their existing products and they are also changing the outsourcing procedures. The various products and services are also upgraded and thus the customers are supplied with higher quality products. The product is directly supplied in accordance with the demands of the retailers and the suppliers. This procurement process has also changed the operational processes and the delivery system has also been changed. Boeing Airline has also adopted low economies of scale with lower cost of labor and it has engaged more effective suppliers. Boeing has also entered the fixed price contract. Moreover, the contracts are associated with the commercial satellites and the government must try the extensive procurement regulation policies and thus it will increase Boeings cost. The orbit incentive payments are also paid prior to the various satellite payments if they are at risk or if they do not perform well. Moreover, Boeing also avoids the multi million investment of dollars which plays an important role in making engines. Thus, it can be said that the company focuses on various production stages and this has also helped in value addition.