Simple Procurement Process:

Simple procurement process is process through in which we can provide goods and services to organisation and fulfill the organisation needs and accomplish the organization's task. In simple Procurement Process includes following steps which are as under.

1. Request for Quotation (RFQ). Request for quotation is Process in which Procurement department float the inquiry to concern supplier and obtain quotation. In floating enquiries include complete specifications of the item, quantity , unit of measure , brand of the item and material code of the item all these information's mentioned in the Purchase Requisition (PR). PR is the main document of the purchase process.

2. Comparative Statement (CS). The another important step in the process of purchase is Comparative Statement. When quotation received from the supplier then prepare Comparative statement. In Comparative Statement include Material Description, Rate, validity of the offer , delivery time, tax information and remarks column for offered and additional specifications.

3. Purchase Order (PO). After Comparative Statement the another step is Purchase Order. When supplier selected on CS for specific item then place order to supplier for the acquiring of goods the same which offered In quotation.

4. Material Receiving; The fourth step of the Procurement process is material Receiving. When supply delivered the material store department prepare gate pass for the material and forward to concern department for material inspection and when department clear the inspection then prepare GRN for Goods.

5. Payment: The last step of simple Procurement Process is payment. When store created GRN then Accounts department proceed the invoices for payment.

Jamal Akhtar

Articles by Jamal

2022

Simple Procurement Process