Over the last few years, the Group's Purchasing function has become a profession in its own right and has evolved into a fully fledged Supply Chain function. It now plays a strategic role and largely determines THALES' quality and competitiveness.
The volume of business handled by the Supply Chain function is increasing, and this increase is a long-term trend. Purchases of components, equipment, systems, subsystems and services represent over 50% of Group revenues.
This figure is likely to continue to increase in the light of technological evolutions and the Group's progressive move towards a systems-based offering. Increased outsourcing by certain activities as part of a "make or buy" approach means the Supply Chain function must work ever more closely with other functions, including Bid and Programme Management, Research and Development and Manufacturing, to ensure seamless continuity throughout the supply chain and optimise costs.
Supply Chain staff organise a process of convergence between multiple, complementary skills. As the point of contact between the company and the outside world, the purchaser draws on as many diverse skills as possible - individual skills that alone cannot ensure that objectives are met. This transverse approach is applied from the bid phase onwards. The purchaser acts as a coordinator from the start of the requirements specification process, bringing his/her specific skills and critical analysis, establishing international networks of purchasers and involving the suppliers and subcontractors best able to meet users' needs.
The Supply Chain Manager is the person who brings everything together, ensuring the optimum products or services for any given market and helping interested parties inside the company to identify and understand the risks associated with this process of optimisation.
The Supply Chain process covers all activities that contribute to providing a solution (product and/or service) to meet a customer's needs. These activities correspond to the operational functions that create value for the customer: sales management, development, purchasing, procurement, manufacturing, services, logistical support, etc. Purchasing covers activities related to added value originating outside the company, i.e., value that is bought from suppliers and/or subcontractors. It is primarily associated with bids/programmes/products as well as the purchase of commodities (families of standard products and/or services that are purchased regularly)(1)
Typical career path
After initial experience in Research and Development, management of bids or programmes, manufacturing or commodities purchasing, leading to a position as a buyer (bids/programmes/products) with responsibility for managing several million euros of purchased products or services in terms of technical, financial, contractual and logistical risks and finally a generalist position.
(1) Scheduling, planning and industrial procurement activities are part of the Manufacturing function while distribution logistics is integrated in the Services & Support function