Podcast
Questions and Answers
Which of the following is the primary responsibility of procurement?
Which of the following is the primary responsibility of procurement?
- Performing maintenance functions
- Controlling inventory levels
- Managing production scheduling
- Obtaining equipment and supplies (correct)
What is the main purpose of procurement?
What is the main purpose of procurement?
- To increase inventory levels
- To reduce production costs
- To acquire materials at the right time and place (correct)
- To manage engineering functions
Why is procurement considered one of the basic functions common to all types of business enterprise?
Why is procurement considered one of the basic functions common to all types of business enterprise?
- Because it is responsible for managing inventory levels
- Because no business can operate without it (correct)
- Because it is responsible for scheduling production
- Because it is responsible for performing maintenance functions
What is procurement?
What is procurement?
What percentage of a typical manufacturing firm's total product cost is represented by the cost of materials?
What percentage of a typical manufacturing firm's total product cost is represented by the cost of materials?
What are the four criteria that procurement is concerned with when acquiring materials?
What are the four criteria that procurement is concerned with when acquiring materials?
Flashcards
Procurement's primary responsibility
Procurement's primary responsibility
Obtaining equipment and supplies for a company.
Procurement's main goal
Procurement's main goal
Acquiring materials at the right time, place, and cost.
Procurement's role in business
Procurement's role in business
A fundamental function crucial for any company to operate.
Procurement's definition
Procurement's definition
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Materials' cost in manufacturing
Materials' cost in manufacturing
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Procurement's material criteria
Procurement's material criteria
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Study Notes
Procurement Overview
- Procurement is primarily responsible for acquiring goods, services, or works from an external source.
- The main purpose of procurement is to obtain goods, services, or works from an external source, often via a tendering or competitive bidding process.
Importance of Procurement
- Procurement is considered one of the basic functions common to all types of business enterprise because it is essential for the operation of the business.
Definition of Procurement
- Procurement refers to the process of obtaining or acquiring goods, services, or works from an external source.
Cost of Materials in Manufacturing
- The cost of materials typically represents 50-70% of a typical manufacturing firm's total product cost.
Criteria for Material Acquisition
- Procurement is concerned with four key criteria when acquiring materials: quality, cost, delivery, and service.
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Description
Test your knowledge on procurement with this quiz! Learn about the different aspects of procurement, including acquisition, pricing, timing, and location. This quiz will cover the basic functions and responsibilities of procurement, as well as legal considerations and best practices.
