GlossaryEN1 min readUpdated: Jun 22, 2026
Procurement
Procurement is the structured process by which a company identifies, evaluates, and acquires the goods, raw materials, or services it needs to operate.
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Source: https://en.wikipedia.org/wiki/Procurement
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Logistics Concept
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Definition & Explanation
Procurement is the structured process by which a company identifies, evaluates, and acquires the goods, raw materials, or services it needs to operate. It spans needs assessment, supplier selection and evaluation, contract negotiation, and ongoing order management. In freight and logistics, procurement covers both the sourcing of transport services – sea freight, air freight, or contract logistics – and the acquisition of operational inputs such as packaging materials, handling equipment, or software platforms. Strategic procurement targets cost reduction, supply security, and risk management through measures such as supplier diversification or long-term framework agreements. It is distinct from purchasing, which refers narrowly to the transactional execution of orders already decided upon.
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