Dear friend,What is the difference between Procurement, Purchasing and Supplychain.
I would only add that Procurement is generally thought of as being more strategic. i.e. Sourcing suppliers, setting up and managing supplier agreements, negotiating pricing / contracts and the like.Dear friend,
Supply Chain is a system of organisation with different activities whose final goal is purchasing, inventory management, consumer service. In brief, supply chain helps an end user to get a product or service from the manufacturer is a systematic fashion. Purchasing and procurement are part of suppy chain management and they are similar terms that are commonly used in the field of supply chain. There is no difference between these terms.
May I add that purchasing is actually buying so you need to pay in exchange of the goods that you acquired. Procurement is getting the goods regardless if you had paid for it or you got it for free. Just like the sand that is delivered to the hardware for construction supplies, they procure the sand from the seashore but it cannot be said that they purchased it for they got it for free. That is just one example on how to differentiate purchasing from procuring. It is just the proper use of words.Simply, purchasing is an operational means of obtaining goods at all cost by all means,but procurement is a strategic process of acquiring goods whereas supply chain is the organization of the process, information and resources to obtain goods and services.
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