Procurement Processes
Procurement the process of obtaining goods and services from another for
some consideration
Framework of Construction Procurement Process
Pre-construction stage (pre-contract)
Construction stage (post constract)
In project construction, the importance of the procurement liability for getting
the right materials delivered from the suppliers to the site on time, cannot be
taken for granted.
Quality of the materials
Quantity of the materials
Time of delivery
Price of the materials
The procurement department and his agent are expected to:
Know and maintain records showing the materials and their
possible substitute, sources of supply, prices and quantities
available
Review specifications for possible simplifications and
standardization of materials as for unreasonable requirements
Negotiate with suppliers for possible extension of credit.
Gather and analyze price quotations and fluctuations
Place orders with suppliers
Follow up purchase orders for delivery as specified
Audit invoices to check compliance with agreed terms and
conditions
Maintain records of all purchases
Coordinated with other departments on all matters pertaining to
procurement
Materials standard which defines the major requirements such as: size, colors,
forms, composition, performance of the materials, and also the state
acceptance terms and shipping condition requires purchase specification.
There are material which are purchased by catalogue numbers, description or by
its names.
Purchase Order usually starts from a purchase requisition. It specifies the kind,
quantity and when is to be delivered
INVENTORY CONTROL
also known as stock control, involves regulating and maximizing your
companys inventory. The goal of inventory control is to maximize profits
with minimum inventory investment, without impacting customer
satisfaction levels.
Effective inventory control is aimed at providing an adequate but not excessive
supply of materials at hand at all times to meet operation requirements.
Inventories function
They act as safety stock of materials or in effect, short term
insurance against fluctuations in supply.
Inventory processes in the construction and disbursement cycle.
Procurement Processes
Procurement the process of obtaining goods and services from another for
some consideration
Framework of Construction Procurement Process
Pre-construction stage (pre-contract)
Construction stage (post constract)
In project construction, the importance of the procurement liability for getting
the right materials delivered from the suppliers to the site on time, cannot be
taken for granted.
Quality of the materials
Quantity of the materials
Time of delivery
Price of the materials
The procurement department and his agent are expected to:
Know and maintain records showing the materials and their
possible substitute, sources of supply, prices and quantities
available
Review specifications for possible simplifications and
standardization of materials as for unreasonable requirements
Negotiate with suppliers for possible extension of credit.
Gather and analyze price quotations and fluctuations
Place orders with suppliers
Follow up purchase orders for delivery as specified
Audit invoices to check compliance with agreed terms and
conditions
Maintain records of all purchases
Coordinated with other departments on all matters pertaining to
procurement
Materials standard which defines the major requirements such as: size, colors,
forms, composition, performance of the materials, and also the state
acceptance terms and shipping condition requires purchase specification.
There are material which are purchased by catalogue numbers, description or by
its names.
Purchase Order usually starts from a purchase requisition. It specifies the kind,
quantity and when is to be delivered
INVENTORY CONTROL
also known as stock control, involves regulating and maximizing your
companys inventory. The goal of inventory control is to maximize profits
with minimum inventory investment, without impacting customer
satisfaction levels.
Effective inventory control is aimed at providing an adequate but not excessive
supply of materials at hand at all times to meet operation requirements.
Inventories function
They act as safety stock of materials or in effect, short term
insurance against fluctuations in supply.
Inventory processes in the construction and disbursement cycle.