Selecting Suppliers

Supplier – are entities that provides

the materials used in the
productions of the operations
-
they produce the materials in the
production
 they are called the marketing
channels
 they are agents, wholesalers,
retailers or
distributors
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Considerations in Choosing the Supplier
Quantity – refers the amount or bulk of
product they can supply to the buyer based on
the buyers demand
Reliability – it refers to the capacity of the
supplier to produce the quality materials as
expected by enterprise.
Location- the place of the supplier must be
accessible or reachable for an ease
transactions
Other services
 Credit – refers to the modes of
pyment of materials obtain from the
supplier cash on delivery ( COD) ;50%
upon delivery; instalment etc.
 Repair offering for products under
warranties
 -delivery included
 -Discount and promo
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WAYS OF BUILDING GOOD SUPPLIER
RELATIONSHIP
1.Pay bills promptly
2.Prompt, courteous dealing of sales
representative
3.Avoid abrupt cancellation of orders
4.Make suggestions of product
improvement , cost reduction etc
5.Provide reasons for rejecting bids
Decisions to Consider in Purchasing
from Supplier
 Thequality needed
The quantity demanded
The availability
The production requirement
Minimum cost
Right time
 Activity:
1. Lists 3-5 common problems
encounter with the supplier.
2.Ways to avoid the problem possible.
3. Propose solution to the
problem.
Supply Chain in Relation to Business
Enterprise
Demand – refers to the quantity of a product that an
individual is willing to purchase within the given period
Factors that Affect Demand
1.Price
The law of demand states that as product price increases,
the demand of product decreases, while others factors
remain constant or unchanged
Continuation of factors
2. Income – This represents earnings such as
salaries ,wages, profits, interests or rent an
individual receives within a given period.
 If the price of a product remains constant but
individual’s income increases, two things happen
 a. if good is normal good , demand will increase
 b. if good is inferior good, demand will decreases
Continuation of factors
 3. Wealth -this refers to the value of an individual’s assets
such as cash, buildings, jewellery minus his /her liabilities
( debt/ loans ). It effects demands as the same way the income
does
 4. Price of the related goods -Related goods are
either complementary or substitutes
 If the price of one good increases, it lead to decrease in the
demand of that good, and increase in the demand for the other
.
 5. Taste and Preferences –a person’s choice will
ultimately be affected by his or her taste and preference
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Supply - is the quantity of a product that a
producer is willing to provide to consumers
within a given period
Factors to Affect Supply
1. Price – The law of supply states that as the
price of a product increases
2. Production cost of Goods- the production
cost increases, price will also increase to
earn profit
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Equilibrium –is the point where supply is equal
to demand, and where the consumer and
producers agree on price of goods
Surplus– the supply exceeds the demand
Shortage – if demands exceed the supply

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Assignment:

Interview an entrepreneur and asks

how supply and demand affects their
enterprise .

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Recruitment of Qualified People for the Enterprise

Tellsomething about HUMAN RESOURCES

Management ?
Human Resources Activities
Recruitment

Performance
appraisal Selection

Training Orientation
Recruitment -refers to the process of searching for
and attracting competent candidates for specific job
Criteria in Recruiting People
Recruitment Criteria Definition
1.Past performance Track record and resume of recruit
2. Proficiency Profile Brain references, intelligence skills talents

3. Personality Profile Personal conduct, behaviour, personal

4. Psychological Profile
5. Personal character
6. Potential for Growth
disposition
Normalcy in psychological test, negative
neurotic psychotic
Emotional literacy, maturity values
attitudes, principles
Personal ambition, lead review
Ways of generating good candidates
newspaper advertisement
Internet
Employee referral
Job fair
Company website
Placement office / university
Employment agency
Selection – screening applicants to ensure that
only qualified one will be hired
Selection process
1.Application form or resume
2.Interview
3.Written test
4.Work sampling/ skills test
5.Background investigation
6.Physical examination
Orientation- a process for the adjustment and
familiarization of the newly hired employee to the nature
of business, the details of the job, and with their co-
employees etc.
New Employee must know..
1. nature of business
2. history of the organization
3. structure of the organization
4. details of the job
5. people in the department
6. policies and rules
7. facilities of organization
8. Practices and culture
Training-is a program that helps the employee learn a
specific skill, knowledge to improve their performance in
their current roles
Ways of measuring Training Needs of Employee
1. Performance appraisal
2. Analysis of job requirements
3. Survey needs
Training methods example:
1.On-the job training
2. mentoring/ coaching
3. Job Rotation
Performance Appraisal- a process of evaluating
how well an employee did his or her respective job
that can be conducted formally or informally in a
regular basis.
- It serves as a measure for promotion or
demotion ,increase or decrease in pay,
dismissal and training of an employee.
 ACTIVITY
THE ENTREPRENEURSHIP FAST TALK
(Based from the Boy Abunda Fast Talk Show)
MECHANICS:
1. Similar groupings will be used (Business Plan Group). Have a quick review of
what has been discussed in the lesson.
2. Choose 2 members from the group who will act as Boy Abunda who will ask
questions in the fastest way as well as another member who will answer quickly the
questions to be raised by the one acting as Boy Abunda.
3. Questions to be raised are all from the questions asked during an interview for job
application. Create your own. (Acting Boy Abunda as interviewer, and the guest as
interviewee). The Q & A will only last for two (2) minutes.
4. The Numerous questions to be asked and to be answered will be recorded as the
group score.

GOOD LUCK AND ENJOY!!!!