Question

Discuss the strategic, tactical and operational roles of the procurement.

Answer 1

Ans- Strategic, Tatctical and Operational Roles of the Procurement-

• Strategic Procurement- It is a long-term, systematic and the holistic approach to fulfil the present and future needs of the organization. It focuses on making the value for the long time. It comprises of the framework agreement, category strategies development and the checking of the performance of suppliers. It is mostly done by the large enterprises or the Govt. Organizations. It looks beyond the cost saving measures. It is done for the period more than 5 years.
• Tactical Procurement- It is a short term activity that are commonly used in small to medum size organizations. It deals with the one-off goods and services procurement or the short-term needs. In this, the organization firstly identify the goods and services to be procured and determine the manufacturers, suppliers with an acceptable forecast to deliver the goods and services in terms of price, quality and timeliness. It is done for the period of between 1 to 5 years. It refers to take the strategy plan and categorize into various specific activities, actions and plans to achieve the expected objectives.
• Operational Procurement- It refers to deal with fulfilling the daily purchasing needs of the organization. It is done to carry on the daily business activities for the period of between 6 months to 1 year. It comprises of the buying the goods and services of the organization, complaint deals and managing contracts. It refers to the action plan of the day to day work of an organization. It defines the short term methods to attain the strategic objectives.

So, this was about the Strategic, Tactical and Operational roles of the procurement.

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