Wikipedia – the popular online encyclopedia – defines the Procurement as “the acquisition of goods or services to the total cost of the best real estate in sufficient quality and quantity at the right time, right place at the right hand for the direct benefit or use of company could, individuals or governments, usually by a contract, or it can just as human resource selection. simple procurement can no more than the purchase involve repeat. Complex procurement involve finding long term partners – or “co-destiny”, the could in principle suppliers to commit an organization to another. Procurement can provide for the acquisition, subcontracting, etc. all related resources.
What can not find this definition, is the importance of procurement in the bottom of an organization. All too often the procurement for the various departments of an organization is made. Any person purchasing authority within a department is authorized up to a certain amount. While large projects usually require licensing position through various channels, such as pressure-going purchases are approved at the departmental level. For a large organization, there may be dozens of departments.
Printing costs and other are added, are shown but not listed as an expenditure in the annual report at the end of the year. Consequently, most organizations have not the slightest idea of how much you save on printing and related products and services to defined specifications and not reported by the numbers, except for a lump sum or as “other costs”.
To convert the procurement function in an efficient financial management, it needs a paradigm shift – one that demands accountability by centralizing and detailed reporting. Gone are the days when departments may move freely within a certain budget, provided that this amount is not exceeded. In fact, in some organizations, was the common practice to spend the allocated amount, if it is necessary or not just for that amount or more will be allocated the following fiscal year should be.
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