Procurement$-$ Sonya

Whenever the operations center needs to purchase $($procure$)$ material from a supplier, the procurement process begins in the operations center management office when the stock manager uses the material requirements planning $($MRP$)$ process to create a purchase request. The quantity of products requested is based on a combination of the sales manager's monthly sales forecast and the current inventory in stock. The stock manager runs MRP to automatically calculate the difference between the sales forecast and current inventory to determine the appropriate order quantity. $($For example, if the sales forecast is for $500$ units and you already have $100$ units in stock, you must purchase an additional $400$ units to meet the expected sales demand.$)$ This automated process results in a purchase requisition displaying the amount to order. The purchase requisitions are sent to the purchasing department. A purchasing team member checks the purchase requisitions for errors and creates a purchase order sent to the vendor$/$supplier$.$ A copy of the purchase order is sent to both the main warehouse and accounting departments.