GROUP PURCHASING ORGANIZATION (GPO) AS A MEANS OF BUSINESS COSTS SAVINGS

Abstract

The main purpose of the paper is to introduce group purchasing organizations and elaborate on their role as a savings generating factor in reconfiguration of the supply chain. The basic methodological approach profited from in this article is descriptive and has been based on literature (mainly scholarly articles), business reports and a case study. Literature study, and an analysis of a case study of one of the Polish purchasing group against the background of topical academic research and business reports. The article is aimed at showing a new way of optimizing operational costs and thereby create new employment possibilities. The main value of the article lies in the acknowledgement of appearance in Poland of a new business structure which allows, without excessive expenditure on the part of an enterprise, to lower operational costs and thereby improve cost-effectiveness of the business.