Procure vs. Procurement

Attribute	Procure	Procurement
Definition	Obtain or acquire something	The process of acquiring goods or services
Scope	Can refer to any type of acquisition	Specifically refers to the acquisition of goods or services
Complexity	Can be simple or complex depending on the context	Usually involves a structured process with multiple steps
Legal implications	May involve legal considerations depending on the context	Often involves legal contracts and agreements
Strategic importance	May or may not be strategically important	Often a strategic function within an organization

When it comes to the world of business and supply chain management, the terms "procure" and "procurement" are often used interchangeably. However, there are subtle differences between the two that are important to understand in order to effectively manage the sourcing and acquisition of goods and services. In this article, we will explore the attributes of both "procure" and "procurement" to shed light on their unique roles and functions.

Definition of Procure

Procure, as a verb, refers to the act of obtaining or acquiring goods or services. It involves the process of sourcing, purchasing, and acquiring the necessary items to meet the needs of a business or organization. Procurement, on the other hand, is a broader term that encompasses the entire process of acquiring goods and services, including sourcing, purchasing, contracting, and managing suppliers.

When a company procures goods or services, it is essentially engaging in the act of acquiring those items through various means such as purchasing, leasing, or contracting. Procurement, on the other hand, involves a more strategic and systematic approach to acquiring goods and services, often involving multiple stakeholders and departments within an organization.

Attributes of Procure

Procure is often associated with the tactical aspect of acquiring goods and services. It involves the day-to-day activities of sourcing, purchasing, and acquiring the necessary items to meet the operational needs of a business. Procure is focused on the transactional aspect of procurement, such as negotiating prices, issuing purchase orders, and managing supplier relationships.

One of the key attributes of procure is its focus on efficiency and cost-effectiveness. Companies that excel in procurement are able to streamline their sourcing and purchasing processes to minimize costs and maximize value. Procure is also about ensuring that the right goods and services are acquired at the right time and in the right quantity to meet the needs of the business.

Attributes of Procurement

Procurement, on the other hand, is a more strategic and holistic approach to acquiring goods and services. It involves the entire process of identifying needs, sourcing suppliers, negotiating contracts, and managing supplier relationships. Procurement is about aligning the sourcing and acquisition of goods and services with the overall goals and objectives of the organization.

One of the key attributes of procurement is its focus on collaboration and stakeholder engagement. Procurement involves working closely with various departments and stakeholders within an organization to ensure that the sourcing and acquisition of goods and services are aligned with the needs of the business. Procurement also involves managing supplier relationships to ensure that goods and services are delivered on time and meet quality standards.

Key Differences

While procure and procurement are closely related terms, there are key differences between the two. Procure is more focused on the tactical aspect of acquiring goods and services, while procurement takes a more strategic and holistic approach. Procure is about the day-to-day activities of sourcing and purchasing, while procurement involves the entire process of acquiring goods and services.

• Procure is transactional, while procurement is strategic.
• Procure focuses on efficiency and cost-effectiveness, while procurement focuses on collaboration and stakeholder engagement.
• Procure is about acquiring goods and services, while procurement is about aligning sourcing and acquisition with organizational goals.

Understanding the differences between procure and procurement is essential for businesses looking to optimize their sourcing and acquisition processes. By recognizing the unique attributes of each term, organizations can develop more effective strategies for acquiring goods and services that meet their operational and strategic needs.