The procurement process has become a necessity for business efficiency. It concerns the buying and managing of raw materials that a company requires to manufacture its products or provide services. This process typically involves huge cash flows and requires visibility throughout the transaction cycle, from vendor selection to the final invoice generation and payments with adjustments.
A procurement plan is indispensable and can be implemented in any small to mid-tier thriving business. Successful procurement planning can define clear purchasing guidelines, place a company above their competitors, and identify anticipated goods and services for potential purchase, thus reducing expected costs.