Home / Supply Chain Management
2018
PROCUREMENT ANALYTICS
ThaiBev Group’s spend analysis is crucial for the supply chain visibility. It helps us to determine the suitable sourcing strategy for each merchandise category and how we manage our suppliers as well as manage risks in the supply chain.
CHALLENGES AND MANAGEMENT STRATEGIES
DIRECT MATERIAL
Merchandise that are product components or used directly in the production process

CHALLENGES
  • High volatility in commodity
  • Non-substitutable suppliers
MANAGEMENT STRATEGY
  • Secure supply
  • Build strategic and collaborative partnership


Category is not diverse but contributes to high procurement spend
INDIRECT MATERIAL
Other merchandise not under Direct Materials which ensure business continuity

CHALLENGES
  • High number and variety of suppliers
  • SME capability and compliance
MANAGEMENT STRATEGY
  • Supplier rationalization
  • Leverage procurement volume
  • Process automation


Procurement spend is not high, but covers a wide range of merchandise
CATEGORY DISTRIBUTION
DIRECT MATERIAL

PACKAGING
39%

COMMODITY
24%

CHEMICAL
3%

INDIRECT MATERIAL

CONSTRUCTION
9%

MACHINERY &
SPARE PARTS
9%

MATERIAL HANDLING
7%

POP / POS & PREMIUM
5%

SERVICES, IT & OA
2%

CONSUMABLES
2%
GEOGRAPHIC DISTRIBUTION
Packaging
Commodity
Chemical
Construction
Machinery & Spare Part
Material Handling
POP / POS & Premium
Services, IT & OA
Consumables