Procurement Or Logistics? What’s The Difference? And really should There Certainly be a Difference?

When they talk to executives within the space, the conversation generally starts with definitional matters: shall we be held talking logistics here? Or contracts? Which hat can i wear?


But how different are these roles? And the way different when they are?

I was speaking recently which has a salesman from your technology supplier who shared with me his difficulty in working with large organizations. He sells services of curiosity to both logistics teams and Buy Procurement Books. However, he only sells to one department. Then when the merchandise is installed, the information is not shared with the opposite.

Rarely does he sell to both simultaneously. Actually, it requires some time because of these walls into the future down. After the divisions are erased, he believes his technology can start to incorporate real value to his client.

It’s a unique side-effect which a technology, sold to a single department can actually help bring the business together and challenge the silos this agreement it labors. My colleague believes that it’s his tools that allows the business to perceive the similarities in roles and initiate a wholly new way of working together. Initially they perceived their overlapping interests. Probably the contrast between ‘procurement’ and ‘supply chain’ will not be so relevant in reality.

What can these terms mean?

Generally speaking, logistics refers back to the post-contractual phase, that covers logistical issues and matters concerning suppliers inside the lower tiers (the suppliers from the suppliers). Procurement is often considered pre-contractual, regarding sourcing and negotiation.
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