When is the best time in procurement process in which procurement should get involved so that the cost-saving opportunities are the greatest?

When is the best time in procurement process in which procurement should get involved so that the cost-saving opportunities are the greatest?
A . Market consult stage
B . Post-contract stage
C . Specification stage
D . Post-tender stage

View Answer

Answer: C

Explanation:

The earlier procurement get involved in the procurement processes, the better. If procurement are involved in design at the specification stage they can feed in prices and costs to designer so they know the likely budget implication of choices made. Sending in a procurement team to negotiate at or close to the end ofthe procurement process effectively ties their hands and limits their negotiation leverage.

This is illustrated in the graph below:

Chart

Description automatically generated

LO 2, AC 2.1