Supply chain procurement, also known as supply chain management, is the planning, monitoring, and controlling of the flow of the supply chain. The supply chain is a system of organizations and resources flowing from supplier to customer.
Each link in the chain procures goods, services, or work such as raw materials or work-in-progress inventories. Essentially, the management of the supply chain is concerned with finished goods from point of origin to point of consumption by an end user.
Breaking it down.
The objective of supply chain procurement is to create net value and synchronise supply and demand. Management of the supply chain can:
- Build competitive cultures and infrastructure in the supply chain
- Efficiently and the equitably secure monetary reward distribution
- Improve and measure the performance of companies within the supply chain
Connecting resources, people, technology and information by leveraging worldwide market logistics, such as online procurement software, builds dynamic supply chain relationships.
Think big. Keep it simple.
Thinking globally across a supply chain and sourcing does not have to be unnecessarily complex for your supply chain procurement departments. Streamlining the functions of purchasing and accounting departments with the help of a procurement specialist or robust supply chain management software like Purchase Control can simplify the process of changing business needs and practices for better responsiveness to customer requirements.
Supply chain management practices grow and change with the ever growing and changing global market. Enterprise resource planning (ERP), developments in international trade relations for global sourcing, the Internet and the shift of supply chain management to service-based have coalesced into Internet based collaborative systems for supply chain management today.
Web based supply chain procurement.
Resource planning, supply sourcing, negotiation, order placement, inbound transportation, storage, handling, quality assurance and all the other elements of the procurement process can now be done collaboratively and instantly between governments, firms, businesses, and individuals online.
A result of these developments and research into dynamic supply chain management, Purchase Control is a Cloud based procurement software that can help to keep your company’s procurement strategy evolving with procurement technology.