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Collapse3  Acquisition Planning
Collapse3.1 Requirement Definition
3.1.1 Necessity of Purchase
3.1.2 Alternatives
3.2 Procurement Strategy
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About "3.1.1 Necessity of Purchase"

Before committing to a procurement, the very first step of the process is to analyse whether it is actually necessary to make the purchase. If the requirement is valid, then alternatives can be weighted. Because of their product and industry knowledge, it is wise and more and more common for purchasers to be involved in the beginning phases of the procurement, and to work with the client to define the need. Ultimately, avoiding a purchase all together would be the most environmentally responsible action. While that is not always possible, evaluating and reducing the need, utilisation and scale of the purchase is a step in the right direction. The quantity requested must be appropriate and sure to be used. Discussions with the client regarding the necessity of the purchase and the possible alternatives are the roots for the entire procurement strategy.


Questions (3): 

47.  Does the procurement process begin with a formal evaluation to determine whether a purchase is necessary?
 


48.  Do your purchasers routinely discuss with their client the necessity of the purchase and the possible alternatives?
 


49.  Do you usually reduce the need, utilisation and scale of the purchase?
 

 
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