procurement

pro-KYOOR-ment /prəˈkjʊə.mənt/
nounC1GMATUPSC
formalbusinessgovernment

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

It is more formal than 'buying' and involves a process of selecting vendors, negotiating terms, and strategic sourcing.

The story behind the word. From the Latin 'procurare', meaning 'to take care of on behalf of another'. It originally referred to the work of a 'procurator' or manager in the Roman Empire.

Word relationships

  • acquisition: Acquisition is the act of getting; procurement is the professional process of getting.
  • divestment: The act of selling off or getting rid of assets.

Commonly confused with

  • purchasing: Purchasing is the simple act of buying; procurement is the strategic process behind it.

Word family

  • procure (verb): To obtain something with care or effort.

Collocations

  • procurement process
  • strategic procurement
  • procurement officer

Example sentences

  • "The company's procurement department is responsible for finding the most cost-effective suppliers of raw sugar." Corporate policy.
  • "Public procurement rules ensure that government contracts are awarded fairly." Governmental transparency.

Memory hook

You 'PRO' (professionally) 'CURE' (care for) the needs of the company. Procurement is 'buying with a plan'.

When not to use

Don't use it for personal shopping; you don't 'procure' a loaf of bread for your lunch.

Fun facts

  • In large corporations, procurement officers can save millions of dollars just by renegotiating the price of cardboard boxes.

Related words

commodity, logistics

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