Bridging the Gap between Procurement and Purchasing

The IIAR Webinar with NelsonHall’s CEO, John Willmott (@John_NH, LinkedIn), on the 6th February 2014, provided an overview of NelsonHall’s new vendor evaluation tool “NEAT” (NelsonHall Vendor Evaluation and Assessment Tool.

According to Purchasing Insight the terms “Purchasing” and “Procurement” are often used, incorrectly and as alternatives. So what is the difference between purchasing and procurement? Procurement is the overall function that describes the activities and processes to acquire goods and services. Importantly, and distinct from “purchasing”, procurement involves the activities involved in establishing fundamental requirements, sourcing activities such as market research and vendor evaluation and negotiation of contracts. Where as Purchasing refers to the process of ordering and receiving goods and services.

Calculations suggest the NelsonHall their vendor and assessment tool, NEAT, can take 50% out of the research side of the procurement process. Want to know how? How NEAT could save you time and cost through improving your procurement process and help “bridging the gap between procurement and purchasing”? John Willmott’s presentation and a recording of the IIAR Webinar is available here, for IIAR Members. (Another good reason for joining the IIAR)