Which term describes the purchasing of all materials, componentsand services that are used to support the company’s infrastructureand back-office activities?
a.
Components acquisition
b.
Raw materials acquisition
c.
Direct purchasing
d.
Indirect purchasing
Which of the following better explains ‘Procurement’?
a.
A focus on price versus functionality.
b.
Its orientation is commercial.
c.
its scope is the purchasing process.
d.
A focus on the total cost of ownership (TCO).
Expert Answer
d. Indirect purchasing is theterm which describes the purchasing of all materials, components,and services that are used to support the company’s infrastructureand back-office activities.
d. A focus on the total cost ofownership (TCO) better explains ‘Procurement’.