Procurement Management: ADCO Constructions

Running head: PROCUREMENT MANAGEMENT
Procurement Management: ADCO Constructions
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PROCUREMENT MANAGEMENT
Abstract
The main aim of this report is to understand the procurement management of the leading
organization of Australia, namely, ADCO Constructions. Procurement management mainly
deals with the transfer or procurement of various materials or equipments from one place to
other for the successful execution of the project. The entire process of procurement includes
every activity that is needed like quality control, incoming inspection, purchasing function or
transportation for getting the products from suppliers to the finalized destination. The
strategic sourcing could be employed in the process of procurement for coordinating the
various functions with the purpose of managing them effectively. This report has outlined the
contributions that ADCO Constructions has got after opting strategic sourcing functions and
thus getting competitive advantages. Moreover, the significant application of procurement
cycle principles for this particular organization is also given here.

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PROCUREMENT MANAGEMENT
Table of Contents
Introduction................................................................................................................................3
Scope..........................................................................................................................................3
Understanding Procurement Management in ADCO Constructions.........................................4
Strategic Sourcing Function for Competitive Advantages.........................................................5
Application of Procurement Cycle Principles in ADCO Constructions....................................9
Conclusion................................................................................................................................13
References................................................................................................................................15

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PROCUREMENT MANAGEMENT
Introduction
ADCO Constructions is the leading construction organization, which is responsible
for delivering several projects in Australia (Adcoconstruct.com.au. 2018). It was established
in the year 1972 and has completed more than 3500 projects. The values of all these projects
were over 10 billion dollars. Procurement management is the specific form of management
where all types of goods or services could be acquired from various firms or organizations.
The organization of ADCO Constructions majorly deals with this procurement management
within their business (Adcoconstruct.com.au. 2018). It is one of the systematic approaches
that are utilized to buy each and every good and service that is required for this organization
and it helps in keeping the company sustainable enough. The procurement is well managed
by this type of management and thus both money and time are saved eventually.
The following report outlines a brief discussion about procurement management in
ADCO Constructions. The proper scope, literature review of this report will be eventually
described here. Moreover, the importance of procurement management within the
organization is provided here. The critical examination of the contribution, which strategic
sourcing function has provided for increasing the competitive advantages of this organization
will also be described here. The final part of the report will be discussing on the application
of procurement management principles within this organization.
Scope
The scope of this report is to understand the current position of the organization of
ADCO Constructions in respect to procurement management. The details regarding this type
of management like managing the risks and controlling costs or expenses are properly