Vidcase Essay

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Trek Video Case 5 Question 1: What is the role of the buying center at Trek? Who is likely to comprise the buying center in the decision to select and new supplier? The buying center is a group of individuals who are responsible for finding the best suppliers and vendors for the organization’s purchases. At Trek, the buying center consists of a purchasing manager, buyers who identify domestic and international sources of materials and components, and representatives from research and development, production, and quality control. The communication between the product managers and the buying center is important. Question 2: What selection criteria does Trek utilize when it selects a new supplier or evaluates an existing supplier? When potential suppliers are identified, they are evaluated on four criteria, quality, delivery, capability, price, and environmental impact of their production process. This allows Trek to compare alternative suppliers and to select the best match for Trek and its customers. Once a business is selected as a Trek supplier, it is continuously evaluated on elements of the four criteria. For example, current suppliers might receive scores on the number of defects in a large quantity of supplies, whether just in time orders made their deadlines, if target prices were maintained, and if recycled packaging was used. Question 3: How has Trek’s interest in the environmental impact of its business influenced its organizational buying process? Trek’s interest in the environmental impact of its business influenced its organizational buying process immensely. When suppliers understand the impact a product has on the environment from start to finish, it draws companies such as Trek closer to finalizing a contract with them. The environmental impact influenced the organizational buying process of Trek because it helped seek opportunity for innovation
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