Procurement or Purchasing - What's the difference?
Posted on 24th September 2018 at 11:11
What is the difference between Procurement and Purchasing? Surely they are just synonyms - words that have the same meaning. Well, they are similar yes but are they really the same?
Purchasing is seen to be the day to day tactical, short term aspect of the job. It is all about acquiring the inputs to a process, buying the physical product and reacting to the immediate needs of whichever business you are working for.
Procurement on the other side is a wider term, including hiring, leasing or borrowing. It's a more proactive, strategic activity that includes the whole life cycle - from cradle to resurrection/grave and touches the complete Procurement Cycle.
These terms allow for a distinction between the day-to-day purchasing role and the broader procurement aspects of a business.
Pro Outsourcing can provide support in both of these areas. Working with businesses to help develop their Procurement Strategies as well as managing the day to day order placing for raw materials means that we can help you with all aspects of this area of your business.
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