Procurement Sourcing Definition

Procurement sourcing is the process of identifying and selecting suppliers that can provide goods or services to an organization at the best possible price. The goal of procurement sourcing is to obtain the highest quality goods or services at the lowest possible cost.

There are a number of different ways to source goods and services, including using a purchasing agent, going through a bidding process, or negotiating directly with suppliers. The most effective procurement sourcing strategy will vary depending on the specific good or service being procured.

Some common factors that should be considered when sourcing include price, quality, delivery time, and terms of payment. It is also important to consider the supplier’s reputation and track record. A reputable supplier is more likely to provide high-quality goods or services and meet deadlines.

The procurement sourcing process can be complex, but it is an important part of ensuring that an organization obtains the best possible value for its money.