ARIANE MAE MAGBANUA BSHM II RESTAURATEUR

REACTION PAPER
Purchasing departments are at the center of successful supply chain management. Typically, they help other
departments identify their needs, manage the requisition process and source competitive prices, and generally
act as controllers to ensure adherence to budgets.
Purchasing and supply chain management is a complex process that involves the coordination of purchasing,
procurement, production, and logistics. In order to maximize the efficiency of these processes, it is crucial that
all parties involved have access to accurate information on the status of their activities. This in turn allows for
proactive actions to be taken before any delays or issues arise. Purchasing and supply chain management
involves an exchange of information between the various participants in a supply chain.
The purchasing group performs many activities to ensure it delivers maximum value to the organization.
Examples include supplier identification and selection, buying, negotiation and contracting, supply market
research, supplier measurement and improvement, and purchasing systems development.
For example a buyer negotiate a product to its supplier. It will gives a discount into a low percent assuring a
good business or partnership to them. But buyers have its choices where products cost cheaper but in a far and
delivery high cost type. It will go for a discounted products even products are just in a good item.
Purchasing aspect of supply chain management affect in purchasing product that can cause low or high business
inventory and incomes. The result of a product depends on the process and decisions of a salesperson where in
to take in a high or low actions.