China valve procurement risk management and response

China valve procurement risk management and response

With the rapid development of industry, the procurement of valves has become a hot topic. As an indispensable equipment in industrial production, the quality of valves is directly related to the safety and efficiency of production. However, in the process of China valve procurement, there are many risks, such as quality risk, price risk, delivery risk, etc. These problems have brought great difficulties to the procurement work of enterprises. Therefore, how to effectively manage and deal with the risk of China valve procurement has become an urgent problem to be solved.

First, the type of China valve procurement risk

1. Quality risk

Quality risk refers to the risk that in the China valve procurement process, due to the supplier’s quality control is not strict, or the production process is unreasonable, resulting in the quality of the valve does not meet the requirements, thus affecting the production safety. This risk is one of the most common risks in China valve procurement.

2. Price risk

Price risk refers to the risk that in the China valve procurement process, the procurement cost exceeds the budget due to market price fluctuations or the supplier’s quotation is not transparent. This risk is also a more common risk in China valve procurement.

3. Delivery date risk

Delivery risk refers to the risk that the valve cannot be delivered on time due to the supplier’s insufficient production capacity or transportation problems during the China valve procurement process. This risk is also a more common risk in China valve procurement.

Second, China valve procurement risk management

1. Quality risk management

In view of quality risks, purchasing enterprises should conduct a comprehensive quality audit of suppliers before purchasing to ensure that the quality control system of suppliers is sound and effective. At the same time, when signing the contract, the quality standards and acceptance methods should be clearly specified to ensure that the quality of the valve meets the requirements. In the procurement process, the purchasing enterprise should strengthen the supervision of the supplier’s production process and quality control process, and discover and solve quality problems in a timely manner.

2. Price risk management

In view of the price risk, purchasing enterprises should conduct full market research before purchasing, understand the market price fluctuations, and negotiate with suppliers to ensure that the procurement cost is within the budget range. At the same time, when signing the contract, the price adjustment mechanism should be clearly stipulated to deal with the risk caused by market price fluctuations.

3. Delivery risk management

In view of the delivery risk, the purchasing enterprise should have a full understanding of the production capacity of the supplier before purchasing, and negotiate with the supplier to determine a reasonable delivery time. At the same time, when signing the contract, it should be clearly stipulated that the handling method of delivery delay should be provided to ensure that the procurement enterprise can receive the valve on time.

Third, China valve procurement risk response

1. Quality risk response

In view of the quality risk, the purchasing enterprise should require the supplier to provide a quality guarantee certificate when signing the contract, and accept the valve to ensure that the quality of the valve meets the requirements. If quality problems are found, the purchasing enterprise should communicate with the supplier in time and ask the supplier to repair or replace the valve to ensure production safety.

2. Price risk response

In view of price risk, purchasing enterprises should require suppliers to provide price commitments when signing contracts, and strictly control procurement costs. If it is found that the supplier’s quotation is not transparent, the purchasing enterprise should communicate with the supplier in time and ask the supplier to make the quotation public to ensure that the procurement cost is within the budget.

3. Response to delivery risk

In view of the delivery risk, the purchasing enterprise should require the supplier to provide the delivery commitment when signing the contract, and strictly control the delivery time. If it is found that the supplier cannot deliver the valve on time, the purchasing enterprise should communicate with the supplier in time and ask the supplier to take effective measures to ensure that the valve can be delivered on time.