Future Trends in Purchasing

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Future Trends in Purchasing
Purchasing has become an important function of the organization. The purchasing team must understand the goals and business strategy of the organization. Purchasing and inventory management will have a huge impact on the company’s bottom line. Part of the purchasing process is dealing with foreign suppliers and e-procurement. The purchasing personal are required to fulfill many functions within the organization. The purchasing personal is responsible for some level of approving the acquisition of goods and services used by the organization. The business environment has seen rapid growth because of e-business, outsourcing, and globalization. This paper considers the future of e-business and trends in purchasing. E-business

E-business has many advantages and disadvantages. The main advantage of e-business is the global marketplace that operates 24 hours a day, seven days a week. The Internet spans the global markets keeping business transactions open all day. E-business can reach customers around the world at anytime of the day. Electronic communications allow almost instantaneous communication between the buyer and seller. Buyers do not have to wait for information regarding the product or availability. The advancement in technology has opened many windows for suppliers. E-business has reduced the operating cost and provided better services. Suppliers can store vast amounts of information and can provide this information on demand. Customers can use the Internet to search globally for better pricing and possibly locating the original manufacture, bypassing wholesalers. People can interact with businesses at any hour of the day that it is convenient to them, and because these interactions are initiated by customers, the customers also provide large amounts of the data for the transaction that may otherwise need to be entered by business staff (Marcbowles.com, 2008). Technology has also opened a new world of sourcing the products and...
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