Procurement categories should be broad enough to take advantage of market competition. This approach can generate significant discounts and greater procurement efficiency.
You can then develop an agreement with one or a limited number of suppliers to meet your requirements.
get a better picture of procurement spend across your organisation.develop targeted strategies for the best way to procure similar goods/services.Procurement categories can improve procurement processes and increase productivity. Note: Procurement categories feature in all five of the VGPBs procurement policies as they underpin good procurement practice.
Categories will vary according to the size and type of organisation and the supply market. Procurement categories are groupings of similar goods or services with common supply and demand drivers and suppliers. Example: A pen is a good whereas stationery could be the procurement category.Ī procurement category can be defined at any level above a single procurement.
