Purchasing and Supply Chain Management
Purchasing and Supply Chain Management
6th Edition
ISBN: 9781305809789
Author: MONCZKA
Publisher: Cengage
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Chapter 19, Problem 8DQ
Summary Introduction

To determine: The pros of formulating performance measures that emphases on cost versus purchase price.

Performance and evaluation system is a formal and systematic methodology to observe and assess the purchasing performance.

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CASE STUDY 9-1 Was Robert Eaton a Good Performance Management Leader? R obert Eaton was CEO and chairman of Chrys- ler from 1993 to 1998, replacing Lee Iacocca, who retired after serving in this capacity since 1978. Eaton then served as cochairman of the newly merged DaimlerChrysler organization from 1998 to 2000. In fact, Eaton was responsible for the sale of Chrysler Corporation to Daimler-Benz, thereby creating DaimlerChrysler. With 362,100 employees, DaimlerChrysler had achieved revenues of €136.4 billion in 2003. DaimlerChrysler's passenger car brands included Maybach, Mercedes-Benz, Chrysler, Jeep, Dodge, and Smart. Commercial vehicle brands included Mercedes-Benz, Freightliner, Sterling, Western Star, and Setra. From the beginning of his tenure as CEO, Eaton communicated with the people under him. He immediately shared his plans for the future with his top four executives, and upon the advice of his colleague, Bob Lutz, decided to look around the company before making any hasty…
Critically assess Martin’s coaching style.
Compare Robert Eaton’s performance management leadership presented in the case against the performance management leadership principles, functions, and behaviors.  What recommendations can be made about what he might do more effectively?  Explain and defend your answer.
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