• Syed Abdul Rehman Khan
  • Zhang Yu
Part of the EAI/Springer Innovations in Communication and Computing book series (EAISICC)


In this chapter, the role of procurement has been defined, and the importance of procurement in the perspective of supply chain management, how firms can choose a suitable supplier, and what the procedure for supplier selection is also have been described. Usually supplier selection or choosing supplier procedure varies from company to company, industry to industry and in fact from product to product—for example, if a company wants to buy some strategic or critical products, some procedures can be more detailed and time-consuming. On the other hand, if a company wants to buy some ordinary products or inexpensive products, such as stationary and paper, some procedures will be less complicated and less time-consuming. In addition, we have discussed the steps involved in a procurement cycle, advantages of e-procurement and covered different arrangements for purchasing.


Procurement Supplier Ex-works Transport Monitoring supplier performance Supplier rating Limited tender Purchase request Price lists Purchasing Vendor Free on board Qualified supplier Forward buying Open tender Procurement cycle Purchase Order Cost and freight 


  1. Croom, S. R. (2000). The impact of web-based procurement on the management of operating resources supply. The Journal of Supply Chain Management, 36(1), 4–13.CrossRefGoogle Scholar
  2. Glas, A. H., & Kleemann, F. C. (2017). Performance-based contracting: contextual factors and the degree of buyer supplier integration. Journal of Business & Industrial Marketing, 32, 677–692.CrossRefGoogle Scholar
  3. Grant, S., Kline, J. J., & Quiggin, J. (2014). A matter of interpretation: ambiguous contracts and liquidated damages. Games and Economic Behavior, 85, 180–187.MathSciNetCrossRefGoogle Scholar
  4. Greenemeier, L. (2000). Buying power. Information Week, 780(3), 67–68.Google Scholar
  5. Heywood, J. B. (2002). E-procurement: Managing successful e-procurement implementation. London: Financial Times/Prentice Hall.Google Scholar
  6. Hungerford, N. J., & Blom, M. C. (2014). Collective bargaining and the negotiation process: A primer for school board negotiators. Alexandria, VA: National School Boards Association.Google Scholar
  7. Khan, S. A. R., Dong, Q., & Zhang, Y. (2017). Role of ABC Analysis in the process of efficient order fulfillment: Case study. Advanced Engineering Forum, 23(7), 114–121.CrossRefGoogle Scholar
  8. Khan, S.A.R., Dong, Q., Zhang, Y., Khan, S.S. (2017). Research on decision-making of green reverse logistics in enterprises: A case study on electronic products manufacturers from the perspective of South Africa. 2nd International Conference on Advances in Management Engineering and Information Technology in Shanghai, (AMEIT 2017). ISBN: 978-1-60595-457-8, pp. 11–18.Google Scholar
  9. Khan, S.A.R., Golpîra, H., and Zhang, Y. (2018). The importance of advanced information technology and green vehicles in supply chain management. International Conference on Computer, Communications, and Mechatronics Engineering (CCME-2018), July. doi:
  10. Khan, S.A.R., and Zhang, Y. (2017). The environmental supply chain management and the companies’ sustainable development. 3rd International Conference on Social Science and Higher Education, Sanya, September 2017 (ICSSHE-17). doi:
  11. Kollie, E. (2015). Today’s purchasing practice. School Planning and Management, 54(7), 19–22.Google Scholar
  12. Petersen, B., & Østergaard, K. (2018). Reconciling contracts and relational governance through strategic contracting. Journal of Business & Industrial Marketing, 33, 265–276.Google Scholar
  13. Ramayah, T., Zbib, I., Jantan, M., & Koh, B. L. (2007). Type of procurement and operational performances: comparison of e-procurement and offline purchasing towards operational efficiency. Advances in Global Business Research, 3(1), 279–296.Google Scholar
  14. Yeo, K. T., & Ning, J. (2006). Managing uncertainty in major equipment procurement in engineering projects. European Journal of Operational Research, 171(1), 123–134.MathSciNetCrossRefGoogle Scholar
  15. Zhang, Y., Ma, T., Khan, S.A.R., Arshian, S. (2018). The study on efficient cold chain logistics. 2nd International Conference on Economic Development and Education Management (ICEDEM-2018). Atlantis Press. doi:

Copyright information

© Springer Nature Switzerland AG 2019

Authors and Affiliations

  • Syed Abdul Rehman Khan
    • 1
  • Zhang Yu
    • 2
  1. 1.School of Economics and ManagementTsinghua UniversityBeijingChina
  2. 2.School of Economics and ManagementChang’an UniversityXi’anChina

Personalised recommendations