Comprehensive Analysis of Procurement Process

A comprehensive analysis of the Procurement Process at Dinesh Appavoo (200610111) 20 April 2006 1. Introduction Discovery wellness established itself as a successful and innovative party with currently the largest open medical scheme in South Africa with 1.8 million members (Discovery A, 2006: on-line). Discovery is a specialist insurance ships comp whatsoever with five strong and discrete businesses. The businesses are Discovery Health, Discovery Life, Discovery Vitality, Prudential Health (UK) and Destiny Health (USA). Discovery listed on the JSE in 1999. The companys strategy is to grow the business organically by building a strong foundation of innovation and gentle people in the focal point of their health in station to achieve better social and financial outcomes (Discovery A, 2006: on-line). While a medical aid would be an essential commodity which consumers would not normally aspire to buy, Discovery positioned itself as a value-adding company that provides products and swear outs that consumers want to buy. For an organisation that has approximately 4000 employees, the procurement subprogram plays an important role in ensuring that the organizations popular business in not hindered in anyway.

Being a service organization, Discovery believes in its people and thus ensures that they live all the tools to carry on its day-to day function without any hindrance Procurement is the process of buying. One way to hatful the supply chain for a company such as Discovery is to divide its logistics system into inbound logistics (materials management and procurement) and outgoing logistics (customer service and channels and distribution). Procurement is the department within materials management which is concerned with the process of ascertaining the organisations material and service needs, selecting suppliers, agreeing terms, placing orders and receiving goods and services. Discovery would like to obtain the indemnify material, in the right quantities,... If you want to get a full essay, order it on our website: Orderessay

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