Power2sme Senior Sourcing Executive Interview Questions, Process, and Tips

RFQ stands for Request for Quotation. It is a document used in procurement to request quotes from suppliers for goods or services.

• RFQ is used to gather information about pricing, availability, and delivery times from potential suppliers.

• It typically includes a description of the goods or services required, quantities, and any technical specifications.

• RFQs are often used in competitive bidding processes to help organiza...read more

Vendor development is the process of identifying and building relationships with new suppliers to meet business needs.

• Identifying potential vendors through research and networking

• Evaluating vendor capabilities and assessing their suitability for the business

• Negotiating contracts and pricing with vendors

• Collaborating with vendors to improve product quality and delivery times

• Monitoring vendor performance and addressing a...read more

Online directories, trade shows, and industry associations are great sources for finding new vendors.

• Online directories like ThomasNet and Alibaba can help you find vendors from all over the world.

• Trade shows are a great way to meet vendors in person and see their products firsthand.

• Industry associations like the National Association of Manufacturers can provide a list of reputable vendors in your industry.

• Social media...read more

Negotiating with vendors requires preparation, communication, and a win-win mindset.

• Research the market and vendor to understand their strengths and weaknesses.

• Set clear objectives and priorities for the negotiation.

• Communicate openly and actively listen to the vendor's perspective.

• Explore creative solutions that benefit both parties.

• Be willing to walk away if the terms are not favorable.

• Follow up with a written agreem

MIS stands for Management Information System, which is a computer-based system that provides information for decision-making.

• MIS is used to collect, process, store, and disseminate data in an organization.

• It helps in decision-making by providing timely and accurate information to managers.

• MIS can be used in various functions such as finance, marketing, operations, and human resources.

• Examples of MIS include ERP systems

ABC analysis is a method of categorizing items based on their value or importance.

• ABC stands for 'Always Better Control'

• It is used in inventory management to prioritize items based on their importance

• Category A items are high value and high priority, while category C items are low value and low priority

• It helps in efficient allocation of resources and inventory management

• Example: In a retail store, category A items cou...read more

Purchase is a transactional activity of buying goods or services while procurement is a strategic process of acquiring goods or services.

• Purchase is a one-time activity while procurement is a continuous process.

• Purchase is focused on getting the best price for a specific item while procurement is focused on building relationships with suppliers and ensuring the overall value of the goods or services.

• Purchase is usually...read more

A Purchase Order is a commercial document issued by a buyer to a seller, indicating types, quantities, and agreed prices for products or services.

• It is a legal document that confirms the purchase of goods or services.

• It includes details such as product or service description, quantity, price, delivery date, and payment terms.

• It serves as a contract between the buyer and the seller.

• It helps in tracking the delivery of g...read more

Tax invoice is issued for taxable goods/services while Proforma invoice is issued before the actual sale.

• Tax invoice is issued after the sale of taxable goods/services while Proforma invoice is issued before the actual sale.

• Tax invoice includes details like GST, VAT, etc. while Proforma invoice does not include any tax details.

• Tax invoice is a legal document while Proforma invoice is not a legal document.

• Proforma invoi...read more

Incoterms are international commercial terms that define the responsibilities of buyers and sellers in international trade.

• There are 11 Incoterms, each with a unique set of rules and obligations.

• They cover everything from the delivery of goods to the payment of taxes and duties.

• Examples include FOB (Free on Board), CIF (Cost, Insurance, and Freight), and EXW (Ex Works).

I will manage my team by setting clear goals, providing support and feedback, and fostering a positive work environment.

• Establish clear goals and expectations for each team member

• Provide regular feedback and support to help team members improve

• Encourage open communication and collaboration within the team

• Recognize and reward team members for their contributions

• Create a positive work environment that promotes creativity...read more

Procurement challenges include supplier management, cost control, and supply chain disruptions.

• Supplier management: finding reliable suppliers, negotiating contracts, and ensuring compliance

• Cost control: balancing quality and price, managing budgets, and avoiding overpaying

• Supply chain disruptions: unexpected events like natural disasters, political instability, and pandemics can disrupt the supply chain

• Other challenge...read more