The document summarizes the key aspects of the purchasing process. It describes the functions of purchasing as handling routine work, supporting decision-making, and assisting with reporting. It outlines the internal perspective of the purchasing process flow. It discusses how purchasing fits within an organization's supply chain and the benefits of managing the supply chain. It also notes potential problems that can occur in supply chain management initiatives and ways to mitigate these issues.

1. Chapter 1 The Purchasing Process

5. Internal Perspective of Purchasing Process 1. Purchase requisition sent from inventory control department to purchasing department

6. Internal Perspective of Purchasing Process 2. Purchase requisitions from various other departments sent to purchasing department

7. Internal Perspective of Purchasing Process 3. Purchase order sent to vendor

8. Internal Perspective of Purchasing Process 4. Purchase order notification sent to various other departments or to inventory management process

9. Internal Perspective of Purchasing Process 5. Purchase order notification sent to receiving department

10. Internal Perspective of Purchasing Process 6. Purchase order notification sent to accounts payable process

11. Internal Perspective of Purchasing Process 7. Good and services received from vendor

12. Internal Perspective of Purchasing Process 8. Receiving notification sent to accounts payable and general ledger processes

13. Internal Perspective of Purchasing Process 9. Receiving notification sent to purchasing department

15. Organization’s Supply Chain

22. Purchasing Process—Context Diagram

24. Purchasing Process—Level 0 Diagram

29. ER diagram - Purchasing

30. Purchasing Process Systems Flow Chart

31. Purchasing Process Systems Flow Chart, Cont’d.

33. Purchasing Control Matrix

34. Control Matrix, Cont’d.