Improving the suboptimal collaborations of Plegt-Vos Wonen BV with its suppliers by linking platform technology and purchasing management.

W.M. Schreuder
University of Twente, Civil Engineering & Management

Graduation Data
June 23th, 2010

Graduation Committee
Dr. J.T. Voordijk
University of Twente

J.I.H. Buter
University of Twente

Ir. J.W. Bemelmans
University of Twente

R.T. Opdam
Plegt-Vos Bouwgroep BV

This master thesis combined purchasing management from industrial management and platform technology from civil engineering and eventually developed a link between them. This link is tested by means of a case study. The main reason for this research is the suboptimal collaboration in the supply chain between Plegt-Vos Wonen and their suppliers. Plegt-Vos Wonen is a conceptual constructor of the Dutch house building industry. Their suboptimal collaboration with suppliers is caused by a lack of adjustment during cooperation between each other in the supply chain. During this master thesis, relevant relationships for different types of modules are determined such that Plegt-Vos Wonen can collaborate most effectively with suppliers and can realize a better performance in future. The research question of this master thesis therefore is: “What type of supplier relationship with which suppliers does Plegt-Vos Wonen need to realize better performance in future?

An adjustment of modularity and relationships with suppliers will result in better performance, because product architecture and supply chain structure designs are complementary. But every module and supplier is different and that is why it is not always possible to use one kind of relationship. Three relationships are selected with increasing intensity: market exchange, preferred suppliers and partnership. The best relationship for a module depends on the participating parties: the constructor and the supplier. Both have a certain level of interest to collaborate with the other. Because of that, the interest of collaboration of the constructor and the supplier are both determinants to select the best relationship for a module. The interest of the constructor is determined by the supply risk of the module and the profit impact of the module on the constructor. The interest of the supplier is determined by the relation specific investments of the supplier to be able to supply the constructor and the safeguards of the supplier. Both interests have to be comparable to collaborate optimal, where an increasing interest will lead to a more intensive relationship, appropriate for a constructor as well as a supplier.

The model is tested during a case study carried out at Plegt-Vos Wonen BV. Evaluation shows that Plegt-Vos Wonen has to maintain the existing relationships for the foundation, the floors, the casings and the tiles. They have to select an extra supplier of concrete inner walls, develop the relationship with the supplier of the installations and Plegt-Vos Houtindustrie into a partnership, and purchase the painting by a market exchange.

Further research can be done to the distortion of the building process as a result of changing suppliers and the affect on the interest of the constructor. It would be wise to look at how to measure the interest of the supplier with objective data and to test the model on other services instead of the painting. Finally, a validation of the model can be executed by means of a survey with multiple constructors and their potential suppliers.