How to gain efficiency through purchasing management?

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A company's good results depend on several factors and the performance of the organization's various departments. Whether in financial management, human resources management or purchasing management, no company can afford not to achieve maximum productivity and efficiency.

Although the commercial area is seen as one of the main promoters of success, the truth is that the purchasing process is also responsible for an important part of the profit margin and should be seen as a structuring area of ​​the company.

With the market becoming increasingly competitive, purchasing becomes an essential process to ensure the acquisition of quality materials at a reduced price.

For this to be possible, structured and organized purchasing ivory coast whatsapp number database is important, allowing the organization to be more efficient and have a better relationship with customers and suppliers.

The importance of purchasing management for the success of the organization
Purchasing management is a process that aims to ensure maximum efficiency in the process of acquiring goods and services.

To this end, it seeks to ensure the constant availability of products and raw materials, maintaining a balanced stock, in order to avoid storing excessive quantities and spending unnecessary money.

One of the most successful strategies within purchasing management is procurement , a process adopted to achieve supply optimization.

Often confused with the basic "purchasing" process, procurement is a broader and more complete approach that includes a more strategic vision of the entire process of acquiring products and raw materials.

What is procurement ?
The term procurement derives from the Latin procurare , whose meaning is related to the management of other people's businesses. In a free translation, this term is translated as "acquisition", "purchase" or "provisioning" of goods or services.

However, procurement is something much more complex and comprehensive, encompassing several elements and stages of the company's logistics management .

In addition to the traditional tasks of purchasing, receiving and paying for goods, there are other essential tasks in supply chain management and in the relationship with suppliers:



Quotation, evaluation and selection of suppliers;
Negotiation between the company and suppliers;
Contract management;
Acquisition of goods, raw materials and services;
Transport, logistics and order receipt;
Supplier performance evaluation.


Advantages of procurement in purchasing management


Procurement allows companies to structure their purchasing management and strategically think about their relationship with suppliers and the supply process .

To make this possible, it acts at several levels throughout the logistics process to ensure the optimization of the various stages:



Analysis of internal needs – Organization and structuring of the needs of the various departments, dividing them into direct purchases (which influence the company's main activity) and indirect purchases (support materials)
Market research – Search for suppliers to meet the company’s needs, including quotation, evaluation and selection of partners.
Transaction control – Recording of all purchases so that it is possible to consult the price history, calculate the seasonality of purchases and consult the supplier's quality indexes.
Order verification – Receipt of goods, confirmation of material received and assessment of quality standards and delivery times.
Supplier evaluation – Recording the quality standards of each delivery in order to create a scorecard for each supplier to measure their performance.
Legal consultancy – Drafting, negotiation and management of contracts with suppliers.
Process standardization – Standardization of the relationship with suppliers to simplify the purchasing process, optimize ordering and delivery times and reduce costs.


By adopting a procurement solution , companies can optimize the entire purchasing process so that the purchase is made at the exact moment the products are needed. This makes it possible to reduce delivery times, simplify the relationship with suppliers, ensure traceability throughout the entire process and monitor the quality indices of each order.

By increasing the efficiency of this process, it reduces the costs of acquiring goods, increasing the competitive advantage and performance of the organization.