Procurement

Any entity, business company or an organization requires good management system which relies mainly on a strong procurement department. The company which has a good procurement system can easily reach its competitive advantage and be well ranked among other business entities in the market. Procurement means buying or purchasing all the needs of the company, these needs could be goods, parts of goods, raw materials or any other needed materials in the business. For example, If a company such as KDD for food products has a good procurement system, all the needed materials can be available and in a good case. In KDD, the fruits, packages and milk are delivered to the factories in time, the procurement CEO is responsible for checking the status of the purchased materials, it is him who can say that the materials are ready to be accepted or not. The CEO has to be certain that all the listed needed materials are available on time or not. There must be confidence and trust between the company and the supplier as a good supplier purchaser relationship is very important in supporting and enhancing the business. The suppliers who are trustworthy are needed for building future trust chains which are helpful in achieving all the goals of the business entity and in return, this returns back t the company as benefits and profits as well as good reputation which ranks the company in a high rank among all business entities in the market. Procurement needs many factors so as to be a factor for making a company succeed.