Procurement Basics

High cost bolts from a supplier who owns a patent would be classified as __________ using the procurement classification matrix.

Select the quadrant from the procurement classification matrix that describes the product example based on the criteria of value and risk.

Select the activity characteristic of  strategic purchasing:

The following are examples of objectives driving a decision towards purchasing  _______________.

An  ____ is normally used when the detail product or service specification or the statement of work (SOW) has been finalized.

The ____________ is an activity related to decisions as to whether a specific item is to be created in-house or outsourced to a supplier.

The objective of  __________ is to provide procurement management with a complete understanding of the total business environment and how procurement can contribute to the firm’s competitive strategy

Raw materials purchased in bulk to be used during the production process would be categorized as  ___________.

A purchase order that is created and sent to the supplier would be considered this step in the purchasing cycle.

Purchasing is included as part of procurement.

If an enterprise offers a wide range of products but strictly segregates them by geographical region, a decentralized approach to purchasing would be more effective.

Which of these functions would be an advantage of a centralized purchasing organizational structure?

When the supplier sends parts that do not meet quality requirements, procurement should acknowledge receipt, accept the material, and then conduct salvage operations.

The goal is to purchase items in the ___________ at lowest price and reduce the procurement effort since supply is plentiful.

Buyers are least productive when they are performing which function?

All of the following are functions or objective of purchasing EXCEPT?

Goods purchased in a raw or semi-finished state would belong to which of the following categories?

Which of the following is a synonym for supplier scheduler?

The purchase requisition is an external document?

According to the procurement classification matrix, which of the following categories should a buyer review first to maximize the potential to reduce price?

All of the following are procurement objectives EXCEPT?