Procurement Terms Definition
When it comes to procurement, there are a lot of terms that get thrown around. To help you keep up with the conversation, we’ve put together a list of definitions for some of the most common procurement terms.
Assignment: The transfer of all or part of the rights and obligations under a contract from one party to another.
Bid: An offer made by a potential supplier in response to an invitation to tender (ITT) or request for proposal (RFP).
Bidder: A company or individual who submits a bid in response to an ITT or RFP.
Contract: An agreement between two or more parties that creates obligations that are enforceable or otherwise recognisable at law.
Invitation to tender (ITT): A formal document issued by a buyer inviting potential suppliers to submit bids for the supply of goods or services.
Request for proposal (RFP): A formal document issued by a buyer inviting potential suppliers to submit proposals for the provision of goods or services.
