0
A national company with many operating units must buy goods and services from a range of suppliers and sources.
In some cases there are economic and practical advantages to having all purchasing done by head-office. This is called centralised procurement. An example of this might be printed stationery, where head office decides the styles, identifies the best source, and makes a contract with one supplier. In this way they benefit from (a) bulk buying bargaining power, and (b) harmony of image throughout the country.
Decentralised procurement delegates the buying responsibility to regional offices. In this way their scattered divisions have relative autonomy.
There are pros and cons re centralised v. decentralised. Often it is found that some procurement needs are best dealt with centrally, and other matters are best left to the local offices to handle.
What else can I help you with?
What is manual procurement?
Manual Procurement is a process of providing the guidance om procurement steps and policies to all the people in the different stages of procurement actions.
What are the strengths and shortcomings of a decentralised approach to training managers and hourly employees?
cost
What are advantages of procurement plan?
Better align of procurement strategies with organizational objectivesimproved procurement advantagesBetter value for money outcomesbetter planning and risk management
How project procurement is different from operation procurement?
Project Procurement is where the decision to procure and the funding to pay the invoice comes from a project budget. Operational Procurement is where decision to procure and the funding comes from the general budget as the commodities or services are required for the overall operation. The method of making the procurement decision can be identical in both cases. OLD ANSWER project procurement is directly we search the material from the vendors and get the price of such lower price according to our project buget and the operation procurement is to lead the use of the material in accordingly. project procurement is directly we search the material from the vendors and get the price of such lower price according to our project buget and the operation procurement is to lead the use of the material in accordingly.
What is the relationship between supply chain management and procurement?
supply cahin starts from the requisitining stage procurement and distribution to the end user, while procurement is the aquisition of goods and services
What is decentralised filing?
stuff
Is Asda decentralised?
maybe
Should the information systems function in a business be centralised or decentralised?
should the information system function in a business be centralised or decentralised
What is the meaning of decentralised?
to away from the headquarters
Distnguish between the centralised and the decentralised traditional political system in Nigeria?
Distinguish between the centralised and the decentralised traditional political system in Nigeria?
What is the difference between the centralised and decentralised departmentalisation?
centralised is a high degree of authority at the top of the hierarchy and decentralised is a high degree of delegated authority
What are forms of procurement?
There are several forms of procurement. Some of these include traditional procurement, design and build procurement, and management contacting procurement.
Traditional procurement and e-Procurement?
Challenges traditional procurement
What appropriations are funded for 3 years?
procurement
Difference between centralised and decentralised stationry?
Difference_between_centralised_and_decentralised_stationry
What is centralised and decentralised room service?
define services
What is a decentralised information processing system?
it is a computer software
