ABSTRACT
A well-structured Purchasing Process is an important contribution towards this. The Michigan State University purchasing model, with eight strategic processes and six supporting processes, produces a model with which the Purchasing Process can be assessed and structured. The model is actually a benchmark of the Purchasing Processes and can thus be used in enterprises to compare the different purchasing departments or the different divisions with each other. From the business strategy, there should be a policy present with regard to the total Purchasing Process. Subsequently, choices are made with regard to, among other things, the internal purchasing department(s), single sourcing or multi sourcing, supplier management and contract management. On the basis of the purchasing policy, the enterprise can establish the priorities of the processes in the model. The result that use of the model produces is the structuring and professionalisation of the purchasing organisation.
