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procurement

proh-KYOOR-ment /prəˈkjʊə.mənt/

nounC1GMATUPSC

FormalBusinessGovernment

The action of obtaining or procuring something, especially for business or government purposes.

Procurement is more than just 'buying'; it involves sourcing, negotiating, and strategic selection of suppliers.

The story behind the word. From the Latin 'procurare,' meaning 'to take care of' or 'manage on behalf of another.' In the Middle Ages, a 'procurator' was someone who managed another person's affairs.

Word relationships

acquisition: Acquisition is the act of getting; procurement is the entire professional process of sourcing and getting.
sourcing: Sourcing is finding the supplier; procurement includes sourcing plus the actual purchase.

divestment: Divestment is the process of selling off assets, the opposite of procuring them.

Commonly confused with

purchasing: Purchasing is the transactional act of paying; procurement is the strategic process surrounding it.

Word family

procure (verb): To obtain something with care or effort.
procurable (adjective): Able to be obtained.

Collocations

public procurement
procurement officer
strategic procurement
procurement cycle

Example sentences

"Procurement must become supply management." A strategic shift in business thinking. (Peter Kraljic, Harvard Business Review)
"The procurement process for the new highway project was delayed by legal challenges from losing bidders." Government spending on infrastructure.

Memory hook

You 'care' (cure) 'for' (pro) the company by getting what it needs—Procurement. Professional getting.

When not to use

Don't use it for casual personal shopping; you don't 'procure' a loaf of bread at the corner store.

Fun facts

In some legal contexts, 'procurement' can refer to the act of persuading someone to perform an illegal act, though this is rare in business.