Podcast
Questions and Answers
What does the term 'contracting' refer to in the context of purchasing?
What does the term 'contracting' refer to in the context of purchasing?
- Obtaining merchandise
- Obtaining raw materials
- Obtaining services (correct)
- Obtaining capital equipment
Which category of buyers includes wholesalers and retailers who primarily purchase for resale purposes?
Which category of buyers includes wholesalers and retailers who primarily purchase for resale purposes?
- Service buyers
- Capital equipment buyers
- Merchant buyers (correct)
- Industrial buyers
What is the primary task of industrial buyers?
What is the primary task of industrial buyers?
- Purchase capital equipment for conversion
- Purchase raw materials for conversion purposes (correct)
- Purchase merchandise in volume
- Purchase raw materials for resale
What does the term 'Supply Management' refer to?
What does the term 'Supply Management' refer to?
Why do merchants purchase merchandise in volume?
Why do merchants purchase merchandise in volume?
What distinguishes industrial buyers from merchant buyers?
What distinguishes industrial buyers from merchant buyers?
What document is issued by the buyer to the selected supplier, becoming a legally binding contract when accepted?
What document is issued by the buyer to the selected supplier, becoming a legally binding contract when accepted?
In the purchasing process, what is issued by the buyer to identify suppliers and request pricing for routine items?
In the purchasing process, what is issued by the buyer to identify suppliers and request pricing for routine items?
What is retained by the issuer when a material requisition is issued in the purchasing process?
What is retained by the issuer when a material requisition is issued in the purchasing process?
Which document provides essential information for the accounting department in the purchasing process?
Which document provides essential information for the accounting department in the purchasing process?
What becomes a legally binding contract when accepted by the supplier in the purchasing process?
What becomes a legally binding contract when accepted by the supplier in the purchasing process?
What action needs to be taken by purchasing personnel once an order is accepted to ensure on-time delivery of purchased material?
What action needs to be taken by purchasing personnel once an order is accepted to ensure on-time delivery of purchased material?
What are the primary goals of purchasing according to the text?
What are the primary goals of purchasing according to the text?
Which purchasing process is described as a manual, paper-based system?
Which purchasing process is described as a manual, paper-based system?
What is the main aim of an effective purchasing system as mentioned in the text?
What is the main aim of an effective purchasing system as mentioned in the text?
How can purchasing contribute to improving product quality?
How can purchasing contribute to improving product quality?
What is one of the key roles of a proper purchasing system related to supplier interactions?
What is one of the key roles of a proper purchasing system related to supplier interactions?
Why do many companies prefer automated, electronic-based purchasing systems?
Why do many companies prefer automated, electronic-based purchasing systems?
What is one of the cost savings benefits mentioned in the text for buyers using a preferred supplier list?
What is one of the cost savings benefits mentioned in the text for buyers using a preferred supplier list?
How does the system enhance accuracy in communication between buyers and suppliers?
How does the system enhance accuracy in communication between buyers and suppliers?
What benefit do buyers gain in terms of real-time access when using the system described?
What benefit do buyers gain in terms of real-time access when using the system described?
How does the system's mobility feature impact buyer-supplier interaction?
How does the system's mobility feature impact buyer-supplier interaction?
Why is it mentioned that the system allows users to assess options before preparing a purchase requisition?
Why is it mentioned that the system allows users to assess options before preparing a purchase requisition?
What is another cost-saving advantage mentioned in the text for buyers utilizing preferred supplier lists?
What is another cost-saving advantage mentioned in the text for buyers utilizing preferred supplier lists?
What is a common reason for organizations to outsource materials or services?
What is a common reason for organizations to outsource materials or services?
When might an organization choose to make its own materials instead of outsourcing?
When might an organization choose to make its own materials instead of outsourcing?
Why could a firm be unable to produce components in-house, leading to the need for outsourcing?
Why could a firm be unable to produce components in-house, leading to the need for outsourcing?
What is a primary reason firms might outsource components according to the text?
What is a primary reason firms might outsource components according to the text?
Which factor could lead an organization to outsource services or components?
Which factor could lead an organization to outsource services or components?
What is a key factor that might drive an organization to make its own components?
What is a key factor that might drive an organization to make its own components?
