A Procurement Plan is a document that sets out the intended strategy for how procurement will be carried out before any significant procurement actions are performed. A Procurement Plan defines the products, services and works that you will obtain from external suppliers. A good Procurement Plan will go one step further by describing the process you will go through to appoint those suppliers contractually. Whether you are embarking on a project procurement or organizational procurement planning exercise, the steps will be the same. First, define the items you need to procure. Next, define the process for acquiring those items. And finally, schedule
the timeframes for delivery.
An effective plan provides a framework to guide procurement officers in the achievement of their tasks and duties. Practitioners, who do not plan, have already planned to fail. When individuals use effective procurement plans in the execution of their functions, they are more organized, effective and efficient in effecting positive changes and growth in their organizations. This growth and change exposes the procurement officers relevance and reliability in the achievement of duties and responsibilities assigned to his office, thus, producing the necessary measures which would provide the basis for achieving the spirit and intent of the procurement law of 2005.
When to use a Procurement Plan
It is advisable to create a Procurement Plan whenever you want to purchase items from suppliers. Using the Procurement Plan template, you can define the procurement requirements, identify potential suppliers, contract those suppliers and manage them to ensure delivery. Project Procurement Planning is critical to the success of any project. This Procurement Plan template helps you to perform these steps quickly and easily.