Home / Glossary / Direct Procurement - Meaning and Importance

insights-espresso-icon glossary

Direct Procurement - Meaning and Importance

Espresso-live Speakers
by Beroe Inc,
12 October 2022

What Is Direct Procurement?

The best way to define procuring is the process undertaken to source goods and services as required from shortlisted vendors. Direct procurement or direct bidding is the process of procuring raw materials, goods, services, and other inputs needed for the primary functions of the business. 

Another way to look at procuring meaning in direct procurement is the expenses incurred for goods and services meant to be delivered ultimately to customers. These inputs are not meant for internal consumption or administrative purposes at all. A mobile phone manufacturer would need plastic, glass, and other electronic components to make a mobile phone. Expenses are undertaken to source all such inputs.

Linkedin Twitter Facebook
Leave a comment

Please enter a valid name

Post your comment

Please select captcha


Get more stories like this

Subscirbe for more news,updates and insights from Beroe