Procurement is a boundary spanning function within organisations. Explain four operational roles of procurement in organisation?

1. Strategic sourcing: Procurement plays a key role in identifying and selecting suppliers that can provide the best value for the organisation. This involves conducting market research, negotiating contracts, and managing supplier relationships to ensure that the organisation receives high-quality goods and services at competitive prices.

2. Supplier management: Procurement is responsible for managing relationships with suppliers to ensure that they meet the organisation's quality, cost, and delivery requirements. This includes monitoring supplier performance, resolving any issues that arise, and working with suppliers to continuously improve their products and services.

3. Contract management: Procurement is responsible for drafting, negotiating, and managing contracts with suppliers to ensure that both parties understand their rights and obligations. This includes ensuring that contracts are compliant with legal and regulatory requirements, monitoring contract performance, and resolving any disputes that may arise.

4. Cost management: Procurement plays a key role in controlling costs within the organisation by identifying opportunities to reduce expenses, improve efficiency, and streamline processes. This includes conducting cost analyses, identifying cost-saving opportunities, and implementing cost reduction initiatives to help the organisation achieve its financial goals.

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