PROCUREMENT: This is the act and process of sourcing and making purchases of goods externally from the manufacturers or wholesalers at the best possible price through tendering or bid process.
LOGISTICS: This could be referred to be part of a supply chain that handles the movement of goods from the point of purchase to the users or seller’s storage facility.
The purpose of this page is to provide every importer with the right knowledge as regards to procurement and logistics aspect of business which is highly essential to every business that involves buying and selling. And it will be explained further as you read through the page.
Brief Explanation Of Procurement And Logistics
In businesses that involve buying and selling, having an idea of products to trade on is quite different from sourcing and supply of the said product. Due to the fact that product sourcing and supply is an essential aspect of every trade business, it requires adequate knowledge of the product line. This enables an investor to know how to make purchase of goods at the best possible price from a reliable source and equally achieve supply through the safest means.
Products are of different quality standards. It is the choice of an investor to decide on the quality to trade on. In most cases, different qualities of the same products seem to look alike and that makes it difficult for a novice in such a line of trade in making the right choice. Any investor that wishes to be stable in business and make exceptional progress should always go for the best quality standard and this could be achieved through a critical feasibility study on the chosen product line.
Furthermore, safe transportation and handling of products to the point of sales is another aspect of trade. Customers tend to be more satisfied with products that are of good quality and on sound condition. For this reason, every investor is required to make the choice of best freight handlers that are reliable enough to deliver customer goods to the point of storage in the best possible condition.
Therefore, if an investor manages the aspect of procurement and logistics on the chosen business line effectively, the track record of the goods can easily be ascertained which makes the tracing of the said goods easier in any case of damage or loss on transit. And this will equally enable the seller to allocate the best attractive selling price on the goods in trade which will eventually lead to quick turnover.
In summary, with the aid of the above explanation as it relates to how procurement and logistics facilitate products suitable for sale, it is expected that every investor especially importers of foreign products to observe the detailed guild lines in order to maintain a sound business stand. And this will be achieved when customers are satisfied with the condition of goods and at the best price. It will equally enable the buyers to make good recommendations about an investor which attracts more customers and facilitates business growth.