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Procurement vs. Purchasing: What’s the Difference?

Logistics Bureau

The best way to understand the difference between procurement and purchasing in a business is to consider the process involved in buying a car, says Logistics Bureau’s procurement specialist, Trent Morris. Procurement First, Purchasing Follows. It could be the after-purchase service or the warranties that you are after.

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MTS Logistics: An Example of Great Customer Service in Shipping

MTS Logistics

The capacity to influence the purchasing experience, engage customers throughout the entire delivery lifecycle, and offer valuable real-time delivery information sets market leaders apart from their competitors. By offering delivery choices and value-added services during the purchase, companies can boost revenue and lower delivery expenses.

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Supplier Onboarding is Core to a Digital Supply Chain Transformation

Logistics Viewpoints

The most common form of trading partner collaboration is purchase order collaboration. With PO collaboration, buyers send digital purchase orders over the network to suppliers or other trading partners. Where and how often, for example, did a buyer deviate from the happy path?

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Boston University’s Sourcing Transformation

Logistics Viewpoints

Once that requisition is approved, it becomes a purchase order. If the invoice matches the purchase order, it is posted in SAP, and the payment is made automatically without any paper or human touch. For example, he wanted a better way to manage tail spend. This is not a purchase made very often. “I

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The Blurred Lines Between Retail and DTC with Guy Courtin

The Logistics of Logistics

Costco example: they sell different brands and market their brand Kirkland, which now accounts for approximately 25% of their revenue. Over 30% of ecommerce purchases are returned, which is an enormous cost and logistics problem. In the past, there were clear lines between traditional retailers and manufacturers. So, what is Costco?

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Know Your Supply Chain KPIs – Procurement

Logistics Bureau

For example, you might use simple observation to identify visible defects at goods-in, or you could make your analysis a bit deeper by testing a percentage of items received from the supplier. Emergency Purchase Rate. For that reason, the emergency purchase rate KPI is one you should certainly be keeping an eye on.

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The Power of the Network: ERP vs. Spend Management

Logistics Viewpoints

For example, one of the key decisions that a manufacturer needs to make is should they continue to buy goods from one of their suppliers. For example, are you still a minority owned company? Procurement solutions are often updated with purchased information. That supplier can be put on “hold.”