Procurement gets involved in negotiating purchase requisitions only when there is a value analysis to ensure that only value-adding aspects are included. Is this statement true?

Procurement gets involved in negotiating purchase requisitions only when there is a value analysis to ensure that only value-adding aspects are included. Is this statement true?
A . No, purchasing can negotiate other details of the purchase requisition even where value analysis is absent
B . No, value analysis is a very technical process that requires the expertise of engineering and financial analysts
C . Yes, the role of purchasing is to add value to the purchase, and therefore every purchase requisition must go through a team value analysis
D . Yes, value analysis is the single most important responsibility of procurement in the processing of repeat requisitions

View Answer

Answer: A

Explanation:

Procurement can negotiate various aspects of a purchase requisition even without a formal value analysis. While value analysis can enhance cost-effectiveness, procurement professionals often negotiate on pricing, terms, and conditions to add value independently of value analysis, as per CIPS’s guidelines on procurement flexibility in negotiations.