What is procurement management?

What is procurement and logistic management?

• procurement and logistic management

• Answer:

  Hi, Simplistically procurement is the purchasing of supplies for a business. More specifically is the acquisition of goods and/or services at the best price possible in the right quantity to meet the demands on the business. The procurement people need to consider price, quality and many other factors such as environmental concerns (i.e. some businesses want to purchase using recycled product), social concerns (i.e. no child labour used to produce the product) etc. Logistics is the process of managing the arrival of supplies and distribution of product. As well as purchasing the supplies a business needs there is also a requirement that it arrives when needed, the right quanity is on hand in the right places; and that the finished product is sent out when ready to the right companies, individuals etc. Courtesy of a business definition website: The systematic coordination of all aspects of the procurement process including bids, price negotiations, assuring proper quantities and specifications, shipping and delivery. The goal is to obtain materials, services or products at the best possible cost which meet the needs and time constraints of the organization. Read more: http://www.businessdictionary.com/definition/procurement-logistics.html#ixzz1w2JWHX9h