Question: Question 1 Debates over centralised and decentralised procurement, and the linked issue of how much purchasing authority can and should be delegated to respective branch
Question 1 Debates over centralised and decentralised procurement, and the linked issue of how much purchasing authority can and should be delegated to respective branch offices/sites, have been going on for years. In fact, every organisation needs to look at its specific needs, and indeed the right approach may differ across different spend categories as well. Select a multinational or a local company in the manufacturing industry that you are familiar with to answer the following questions.
(a) Illustrate the factors influencing the organisation as to whether to adopt centralised or decentralised procurement with relevant examples.
(b) Propose an appropriate procurement organisational design (centralised or decentralised) for the selected company
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