3.2 The Role Of Procurement Flashcards
1
Q
Just-in-case production
A
Holds stock just in case there is a delay from suppliers or a sudden unexpected increase in demand
2
Q
Purchasing economies of scale
A
Occur when the cost per unit falls if large orders are placed with suppliers due to a bulk discount
3
Q
Procurement
A
Involves selecting suppliers, establishing the terms of payment and negotiating the contract
4
Q
Supply chain
A
All the businesses, people and activities that take part in production processes from the start untill the customer recieves the product
5
Q
Logistics
A
The movement lf goods, services, information and money throughout the production process
