Our newly formed division centralizes procurement of non-trade products and services for the company. Examples of these are equipments used in the store, office supplies, janitorial supplies, maintenance and repair services, pest control services, security services, etc. We are still in the process of transition, though. We are slowly inheriting other divisions’ procurement processes and integrating them into a centralized one. We are still low in manpower, though, so we need to make a justification why we need to add more people.
Hopefully we get to divide these into more appropriate categories. We can assign certain people to act as category buyers. One can handle the equipments; the other can handle the store supplies, the other can handle the office supplies which include the restroom supplies, etc. Yes, we do the procurement even for bathroom supplies as well.
Anyway, we are just a starting division and lots of work needs to be done. But we are optimistic that once everything stabilizes, our division would have a great impact to the company. We are in the position to impact the bottom line directly through savings that we would be able to instigate. Hopefully, we would be able to tame down costs through strategic sourcing.