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Intercompany Collaborative Plan Driven Procurement

This paper presents a conceptual analysis of an inter-company collaborative plan-driven procurement (ICPP) process for direct materials using available solutions based on SAP platform. This analysis attempts to explore to automate and optimize this process to highlight areas where an organization can find process improvements that lead to positive impact on the bottom line. Focus is to build a theoretical background of a responsive supply chain, which not only needs an advanced planning and automated procurement process, but also seamless collaboration with suppliers, to gain more visibility to the in-coming materials to minimize bull-whip effect.

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