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Risk management: a competitive advantage in the purchasing function
Authors:Vrassidas N. Leopoulos  Konstantinos A. Kirytopoulos
Abstract:This paper aims to explore the purchasing function on behalf of the provider, when the purchasing takes the form of a request for proposals (RfP) from the client. A methodology for handling the bidding process is presented, illustrated by a case study from the IT sector. The proposed methodology places risk as a factor for the selection of the best and final offer of the provider in addition to the traditional decision factors: delivery time, product cost and performance. The method is supported by a structured corporate memory and a decision support system based on the analytical hierarchy process.
Keywords:Risk management  bidding process  purchasing function  proposal building
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