Centralized Procurement - Are there any Benefits?

What is Centralized Procurement?

Centralized procurement is a procurement model in which an organization manages all of its procurement activities through a single central purchasing department or team. In this model, all purchasing decisions, from selecting suppliers to negotiating contracts and placing orders, are centralized in one location or team.

Centralized procurement has numerous benefits like improved supplier relationship, cost saving, better control and visibility, risk mitigation and better compliance. A central procurement platform is integrated with the existing tech stack to ensure seamless procurements quickly with no duplication of efforts.