Procurement For the Digital Age
Since the Internet has become all encompassing and information now moves extremely fast, procurement management can be done far more efficiently than in the past when it was mainly done through a combination of phone calls, snail mail, email and fax.
This doesn’t mean that skilled buyers are no longer as valuable; it just means these digital tools help them complete their tasks much more quickly. Now it takes less time to find suppliers, negotiate, contract, deliver and analyze the outcome.
What is Procurement Management?
What is Procurement Management?
Identification of need – We work closely with companies and organizations to identify their needs and what products and services will fit best. Specifications and budget options are discussed and then it is our job to find our customers the best quality for the best price while also making sure the supplier is able to deliver.
Finding and qualifying the suppliers – Using our supplier databases, we assemble a list of all potential product and/or service providers. Sometimes it’s useful to run RFIs or gather additional information, like years on the market and turnover rates, to pre-qualify suppliers.
Requesting proposals – To make sure we buy the products or services under the best conditions – price, quality, etc. – we request proposals. Based on the results, we begin negotiations. The RFP results can be considered an overview of current market capability.
Negotiating with suppliers – To achieve the best conditions regarding prices, terms and delivery, our role is to negotiate with suppliers on behalf of our clients. We specialize in as this is not an easy process. It is essential to work with the right people in the supply chain in order to negotiate the best products for the best price.
Contracting – If both parties, the buyer and the supplier, agree on all terms (pricing, delivery, quality, etc.) it can be made official by signing a contract.
Delivery – Throughout the delivery process, we inspect and evaluate the products and services delivered to ensure they are what was agreed to buy, they meet quality standards, they arrive on schedule and we are charged the prices outlined in the contract.
Analyzing results – Once the project is complete, we analyze the process and evaluate its success as well as record observations for future projects. The results can be used the next time the company needs to make a similar purchase.
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