Procurement risks are any potential threats or exposures that an organization may face when sourcing and procuring goods or services. Examples of procurement risk include financial instability of suppliers, shortage of resources, lack of quality assurance, and delayed delivery. These risks can have a significant impact on business operations if not managed properly, so it’s important for organizations to engage in proactive planning and risk management practices. By proactively identifying and mitigating potential risks, organizations can ensure their purchases are successful and cost effective.