Four-Eye Principle in Procurement: How Buyers Reduce Approval Risk

In this blog post, we will discuss how The Four-Eye principle enhance contract approval as well as the importance of signatories and power of attorney.

Innovation in Procurement: How Leaders Turn Supplier Ideas into Business Value

Innovation in Procurement: As a senior procurement director, I have seen firsthand the role that innovation can play in driving success in the organization.

Supplier Responsibility Transfer: How Operative Buyers Take Over a New Supplier Range Without Losing Control

Taking over a new commodity, supplier range, or group of purchase parts can look simple from the outside. The responsibility is moved from one buyer to another, contact names are updated in...

Professional supplier relationships are built on trust, not gifts

No Gifts Allowed in Procurement: How Buyers Avoid Supplier Influence and Conflicts of Interest

In the 1990s, I was a procurement executive. Back then, it was common for suppliers to provide gifts. now we shift towards ethical standards. No gifts allowed!

Supplier collaboration and forecasting process infographic

Sending Forecasts to Suppliers: How Operative Buyers Improve Delivery Reliability

In operative procurement, many delivery problems start before the purchase order is even sent. The supplier may not have enough material, production capacity, labor, or transport availability because the buyer has not...

Non-Conformity Report in Procurement: How Buyers Handle Supplier Quality Problems

In procurement, problems do not end when goods are delivered. Sometimes the supplier delivers the wrong item, the wrong quantity, damaged material, incomplete documentation, poor quality, or goods that do not meet...

a storage manager checking the Return Material Authorization

Return Material Authorization in Procurement: How Operative Buyers Manage Supplier Returns

When goods arrive with defects, wrong quantities, transport damage, expired shelf life, or the wrong specification, the operative buyer often becomes the person who must turn the problem into a controlled process....

Lead Time in Procurement: How Buyers Prevent Late Deliveries and Planning Problems

Lead time in procurement is more than the time between a purchase order and delivery. Learn how buyers use lead time to prevent late deliveries, control open POs, improve planning, and reduce...

Material Requirements Planning in Procurement: How Operative Buyers Use MRP Signals

A core component of ERP systems is Material Requirements Planning (MRP), which ensures that the right materials are available at the right time for production.

Where used function and Bill of material (BOM)

Where-Used Function in Procurement: How Buyers Use BOM Data to Understand Impact

One of the critical functions of ERP software is the Where Used function (collection BOM) for buyers, which helps buyers understand product data and inventory.

The Procurement Framework blog at LHTS

Tag: Basic level