FUNCTION/ROLE OF A PURCHASING DEPARTMENT

• To buy at the right time, right price and right terms

• Ensuring the continuity  of supply

• Selection and evaluation of suppliers/vendors

• Aware of long-term and short term effects

• Preserving and enhancing reputation of company

• Aware of all supply options

• Maintain stock level

MAJOR PURCHASING ACTIVITIES

• Obtaining and analyzing quotations of vendors/suppliers

• Interview representatives and correspondence

• Deciding best buying terms and conditions

• Negotiating and checking contracts

• Scheduling orders and following up

• Work with finance department to obtain discount, matching invoices, verify receipt, purchase journal entry,passing of invoices for payment and settlement of accounts

• Disposing of surpluses

• Other activities like assisting with preparation of material expenditure/purchasing budget.