oboloo Glossary

What Is Indirect Purchasing

oboloo Glossary

What Is Indirect Purchasing

Purchasing Indirectly, in the context of procurement, means procuring goods or services from outside vendors that are not typically part of an organization’s direct supply chain. Common examples include office supplies, IT services, travel and entertainment expenses, professional services, construction contracts and other related services. Indirect purchasing is essential for organizations to ensure a streamlined procurement process that allows them to efficiently source and purchase the goods and services they need. It can provide cost savings and efficiencies when done strategically and in accordance with organizational guidelines.