oboloo Glossary

7 Step Procurement Process

oboloo Glossary

7 Step Procurement Process

7 Step Procurement Process

The 7 Step Procurement Process is a widely used model within the business world. It is officially defined as a series of steps that an organization takes to acquire goods or services from outside suppliers.
The first step in the process is to define and document the requirements for the goods or services that are to be acquired. This step often involves creating a request for proposal (RFP) that helps to identify the specific needs of the organization.
The second step is to identify potential suppliers. During this step, the organization will research potential vendors and consider their capabilities, price points, and other factors.
The third step is to negotiate and select the supplier. This involves working out the details of the acquisition, such as price, delivery, and payment terms.
The fourth step is the development of a contract. During this step, the organization will develop a contract that outlines the terms and conditions of the purchase.
The fifth step is to monitor and inspect the supplier