Procurement

Procurement

Supply Chain & Logistics Glossary — South Africa

Definition

The end-to-end process of sourcing and buying the goods and services a business needs — finding and vetting suppliers, negotiating prices and terms, issuing purchase orders and managing supplier performance. It is broader than purchasing (the transactional ordering step) because it includes strategy: deciding whether to import or buy locally, managing currency risk on foreign orders, and meeting B-BBEE and preferential-procurement requirements in the South African context.

Frequently asked questions

What is Procurement?

The end-to-end process of sourcing and buying the goods and services a business needs — finding and vetting suppliers, negotiating prices and terms, issuing purchase orders and managing supplier performance. It is broader than purchasing (the transactional ordering step) because it includes strategy: deciding whether to import or buy locally, managing currency risk on foreign orders, and meeting B-BBEE and preferential-procurement requirements in the South African context.

Which glossary terms are related to Procurement?

Procurement is a procurement term in the South African import/export industry. Related terms in the same area include Advance Payment, Bank Guarantee, CSD (Central Supplier Database), Designated Sectors, Documentary Collection — each has its own plain-English definition in the TradeCaravan glossary.

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