Abstract
In order to improve processes, it is important to define clearly the ‘As Is’ processes and how to move towards the ‘To Be’ processes. In the case of procurement, one of the best ways to describe current processes is to distinguish between the components of procurement processes. These can be described as sourcing, supply, logistics, transportation, storing, movements, and distribution. This chapter aims to present a precise definition of these terms and how they inter-relate. It also analyzes each of these processes and describes them in detail.
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Notes
- 1.
This book uses the word “organization” to refer to a company or an institution, either private or a public body.
- 2.
This book generally does not use the term supply chain, but rather value network, because the sequence increasingly is not along a chain or assembly line but works as a network. The main objective of the so-called supply chain is not to “supply” but to bring “value” to customers and the organization.
- 3.
Mentzer, J.T. et al. (2001). Defining Supply Chain Management, Journal of Business Logistics, 22 (2), pp. 1–25, Autumn.
- 4.
See endnote 3.
Bibliography
Hines, P., Holweg, M., & Rich, N. (2004). Learning to Evolve: A Review of Contemporary Lean Thinking. International Journal of Operations and Production Management, 24(10), 994–1011.
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Nicoletti, B. (2018). Procurement Processes. In: Agile Procurement. Palgrave Macmillan, Cham. https://doi.org/10.1007/978-3-319-61082-5_2
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DOI: https://doi.org/10.1007/978-3-319-61082-5_2
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