What is the public procurement department?

Public procurement department is responsible for the management of purchasing activities for the organization. There are two types of departments of purchase or public procurement: centralized and decentralized. In the centralized model, all applications for materials or goods are the center of this department. In a decentralized model, individual departments can process their own purchases.

Regardless of the organizational model used, the activities of public procurement are subject to more control and review than any other process. The use of corporate resources to purchase goods and services must be based on compliance with specific principles and procedures to reduce the chances of fraud or theft. The activity type is usually monitored by an accounting department and an internal audit.

In the Public Procurement Department, the director is responsible for strategic planning, development of policy and providing advice on public procurement to top management. Most organizations have officers for awarding public procurementFor management of the design process, offer offers and other related processes. Most junior positions in the public procurement department are the buyer. The buyer is usually responsible for a particular commodity or product type. He or she issues the purchase of requirements and orders approved to suppliers based on internal needs.

The main purpose of the Public Procurement Department is to manage the process used for the purchase of goods and services of organizations. Advanced planning, group purchase and price negotiations are all strategies used to reduce costs and increase profitability. In most organizations, the implementation of public procurement strategies is used to reduce overhead and operating costs without compromising customer service.

To qualify for a position in the Public Procurement Department, most organizations require a minimum university diploma in belowNo one, awarding public procurement, business administration -related fields. To become a shopping officer, manager or director, a college title or professional certification is often required. These positions have a greater degree of responsibility and so many companies require more education.

Increased use of business technology has led to the development and acceptance of electronic public procurement or e -production. Using the Internet, companies can buy products from the website of suppliers, send the order electronically and receive invoices electronically. This process reduces inefficiency, reduces both supplier and customer costs and is becoming increasingly popular. In many companies, switching to electronic orders is slow due to the complexity of technology and complete change in business processes. However, this area of ​​ordering of orders is expected to increase due to potential cost savings and increased efficiency.