BACHELOR OF BUSINESS ADMINISTRATION

Detailed explanation-1: -Purchasing departments are at the centre of successful supply chain management. Typically, they help other departments identify their needs, manage the requisition process and source competitive prices, and generally act as controllers to ensure adherence to budgets.

Detailed explanation-2: -Purchasing departments must continuously evaluate materials based on quality and, more importantly, on pricing! To maximize profitability, organizations need to procure goods efficiently. For example, buying small quantities from a large vendor is not economically practical.

Detailed explanation-3: -A purchasing department is the division of a company that’s responsible for acquiring the goods and services the business requires to operate. Some companies refer to purchasing departments as procurement departments or buying departments.

Detailed explanation-4: -During new product development (NPD), purchasing’s role includes cost control and assurance that purchased material and components meet specifications and availability requirements for manufacturing (Burt & Soukup, 1985; Hines, 1996; Luzzini, et al., 2015; Mikkelsen & Johnsen, 2019).