Best Practice

The term “procurement” covers a wide range of activities, from the purchase of raw materials to the engagement of services. Best practice in procurement involves developing and implementing processes and procedures that are designed to ensure that the organization obtains value for money when acquiring goods and services.

There are a number of different approaches that can be taken to procurement, and the most appropriate approach will vary depending on the organization’s specific needs. However, all successful procurement processes share some common features.

In order to achieve best practice in procurement, organizations should:

1. Define their requirements

2. Conduct a market analysis

3. Develop specifications for the goods or services required

4. Invite suppliers to bid for the contract

5. Evaluate bids and select a supplier

6. Negotiate contracts with suppliers7 Manage contracts effectively8 Review performance and learn from mistakes.