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What is the different between purchasing and procurement in your opinion ?

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Question ajoutée par Mohammed Ali , Owner’s Representative , BRISTORIA HOTEL
Date de publication: 2014/01/31
Fazal Ebrahim Dawood
par Fazal Ebrahim Dawood , Chief Executive Officer , Stardist Ltd

In some organizations the purchasing dept is a sub section of procurement. Procurement specializing in establishing requirements , sourcing activities , sampling process , market research , vendor evaluation, negotiations and Purchasing specializes in the purchasing process - ordering the goods - raising the purchase order and receipting the goods. 

Imran Ahmad
par Imran Ahmad , Sales Manager , Bahrain Steel Company

Both procurement and purchase are close terms but in recent times procurement terminolgy been used for the simple reason that few more activities are been included into procurement such as sourcing, rating etc of the supplier or the vendor, in purchase starting from enquiry to arrangment of payment is been done, here more of chasing activities are done to get the required materials.In procurement apart from chasing certain planning activity is also been done.-

Utilisateur supprimé
par Utilisateur supprimé

both are very closely related words and can be best defined as follows:

the term ’Procurement’ is to cover all activities that involve buying, contracting, purchasing, sourcing or tendering.

the term '\\purchasing' is to process the entire acquisition from requisition, to purchase order, to product receipt, to payment.

Alexander Kurunthottical
par Alexander Kurunthottical , 22+ Years of Procurement & Contracts Management , N A

Functionally, there is no difference. The principles & processes are the same. 

The term 'purchasing' is used in a 'manufacturing / private sector' set-up.

Whereas, the term 'Procurement' is used by government agencies  

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