- Purchase of satisfactory material:
The main objective of purchasing is to arrange materials which are most appropriate to the product & are supplied in right quantity & quantity, at right time & right price.
2. To control the quantity of material:
To control the quantity of material should be adequate. It should not be too much quantity may unnecessary block the capital whereas too little quantity may affect may the regular supply of production.
3. Proper Negotiation with Suppliers
Purchasing includes search foe potential supplier. This ensures timely supply of the material in the most economic manner. Purchase dept. creates goodwill & enhances the reputation of the enterprise.
4. Control proper use of materials
The purchase dept. avoids duplication, waste and obsolescence of material and equipments thus it enhances proper use of the material.
5. Co-ordination of different depts.
The purchase dept. should develop full co-ordination & maintain close relationship b\w various dept. of organization.
6. Maintenance of organization goodwill:
The purchase dept. maintains the quality STDs of the material. Thus, purchasing activity generates the confidence of consumer in the product of the company.
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