Problem:The importance of purchasing is often neglected, and the possibilities for continuous improvements in order to reap advantages, such as cost reductions, are often overlooked. Furthermore, the subject of purchasing has not been explored to a large extent in academic research. Therefore, we found the subject to be of great interest and possibly containing opportunities for companies, including Saab Avitronics, to seize.

Purpose:The purpose of the thesis is to present recommendations after evaluating the purchasing organization and strategies regarding the strategic purchases within Saab Avitronics, Sweden.

Methodology:To receive a deeper understanding of the purchasing department, we found it necessary to use a qualitative method approach. Through a target-oriented selection we choose to do our empirical case study at Saab Avitronics. The empirical study consists of interviews with the selected respondents as well as written documents.

Analysis:The analysis is structured according to the theoretical framework; purchasing, purchasing objectives, purchasing organization, purchasing process and purchasing strategies.

Conclusions:The conclusions are the recommendations we have been able to suggest to Saab Avitronics in order to improve its purchasing function and increase the purchasing power. We find it appropriate for the business unit to rationalize and diversify its supply-base. Another recommendation is to remove the monetary range each purchaser can authorize purchases of.