Classification of business established by type of activity for the purpose of facilitating the collection, tabulation, presentation, and analysis of data collected by various agencies of the United States government, state agencies, trade associations, and private research organizations for promoting uniformity and comparability in the presentation of statistical data relating to those establishments and their fields of endeavor.
National Association of Purchasing Management. A nonprofit educational and technical organization of purchasing and materials management personnel and buying agencies from the public and private sectors.
National Association of State Purchasing Officials. An organization of state procurement representatives for the purpose of promoting efficient and effective public purchasing policies and procedures at the state level. NASPO is an affiliate of the Control of State Governments (CSG).
Requests for proposals are sometimes used as a starting point for negotiations to establish a contract. RFPs generally include more than just price considerations. This method is especially applicable when dealing with a single source manufacturer.
Total amount payable excluding taxes.
Price after all discounts, rebates, etc., have been allowed.
A family of standard contracts used in construction in the UK.
National Institute of Governmental Purchasing. A nonprofit, educational and technical assistance corporation of public purchasing agencies and activities at the federal, state and local levels of government.
A response to a solicitation for bids stating that the respondent does not wish to submit an offer. It usually operates as a procedure consideration to prevent suspension from the vendors list for failure to submit a response.
One-time savings that do not reduce the ongoing future budget.
A nonprofit organization that operates independently of any government.
The unit price does change as the quantity ordered changes.
In the context of data, something is objective if it is pure fact, with no opinion or interpretation attached to it.
In terms of a contract, the actions that each party must carry out.
The state of becoming discontinued, outdated or no longer useful.
Stock that is outdated and no longer useful.
A USA governmental regulatory agency.
Goods or services that are readily available and not made to order.
An invitation communicated by one party to another to enter into a legal contract.
Positions appointed by the Board of Directors. Examples of officers are CEO (chief operating officer) and FO (financial officer).
Official Journal of the European Union.
A market structure where a small number of competitors dominate the market.
This is an arrangement where the items are delivered before payment is due, for example, on credit terms such as 30 days.
The requisition document type used in MAPS Procurement to request the purchase of a non-contract item when the requested item’s estimated cost exceeds the authority for purchase level of the buyer. An OMR conveys the request for purchase to the person with the authority to purchase. The resulting order type is most often the Purchase Order Requisition (POR).
A contract in which both the purchaser and supplier share all financial information relating to the contract, including figures that would normally be considered commercially confidential.
The amount, type and value of goods available for sale at the beginning of a set period.
Day-to-day expenses of running an organization, e.g., rent, salaries, transport costs, power and insurance.
Everything external to the business that has an impact on how it operates. This will include regulations, social expectations, the economy, its relative position in the market, the competitiveness of the market, etc.
A benefit that could have accrued if a person had taken a different action.
A provision (or exercise of a provision) which allows a continuance of the contract for an additional time according to permissible contractual conditions.
A method used to determine the size and timing of an organization’s orders.
A body that buys goods or services from a supplier.
The shared values and beliefs that influence how people in an organization behave.
A manufacturer that produces goods for another company to sell under their own branding, particularly computer and IT equipment.
An object that oscillates moves repeatedly from one position to another.
The Occupational Safety and Health Administration. Created by the OSHA Act.
Type of performance specification that describes the functions or performance that a product must fulfil.
The amount of goods or services an organization is producing or supplying.
Contract another company to undertake a task or job.
Having a specification that is better than is required to be fit for purpose.
Where more goods or services are available than there are buyers for them. This most often occurs in agriculture where the harvest may vary from year to year, depending on the weather, and the produce cannot be kept for a long time.
A short-term agreement with a bank to lend money.
The process of covering an item in a specified material to protect the item and in some cases make it more appealing to the customer.
The process of preparing goods for storage or distribution by protecting the contents from outside elements.
An itemized list of a package’s contents which is prepared by the shipper.
A document which itemizes in detail the contents of a particular package or shipment.
A platform used for storing and moving stock.
Performing material handling tasks, such as storing and shipping products, using pallets.
The payment authorized in a contract upon delivery of one or more units called for under the contract or upon completion of one or more distinct items of service called for thereunder.
To be involved and contribute to the task or project.
A legal form of a business that is owned by two or more individuals.
Legally grants the inventor sole rights to make or sell their idea or invention.
The inventor has been legally granted exclusive rights to make or sell their idea or invention.
The time in which a buyer has to pay the supplier for goods or services received.
By the day.
A market structure where many companies are competing, each selling the same product.
A term used in contract law to describe what should be done.
A contract of guarantee executed subsequent to award by a successful vendor to protect the buyer from loss due to the vendor’s inability to complete the contract as agreed.
Any activity that is carried out to make sure goals are achieved.
A series of standards and targets that are to be achieved by the supplier, definitions of how performance against those standards will be measured and actions expected to be taken on the basis of the measurement results.
A specification setting forth performance requirements determined necessary for the item involved to perform and last as required.
Outlines what the product or service is to do or achieve – this covers its output requirements, tolerances and functions it may have to perform.
An area that surrounds a metropolitan area or city.
A type of action plan geared towards personal improvement.
Equipment such as a hard hat, work boots or a high-visibility jacket.
Money readily available for use by employees on small items.
Energy generated using solar cells.
The process of selecting items from stock or assembling the items required to fill an order.
Price per individual item.
A business case delivered to an organization to try to sell a product or service.
Passing off another person’s work as your own.
A product derived from renewable resources, including fiber crops, such as kenaf; chemical extracts from oilseeds, nuts, fruits and vegetables (such as corn and soybeans); agricultural residues, such as wheat straw and corn stover; and wood wastes generated from processing and manufacturing operations. These products stand in contrast to those made from fossil fuels (such as petroleum) and other less renewable resources (such as virgin timber).
The location where a shipment is received by a transportation line from the shipper.
A subdivision of a state which has been delegated certain functions of local government. Can include counties, cities, towns, villages, hamlets, boroughs and parishes.
Gains by one person or party do not equal the loss to the other.
A finished material which would normally be disposed of as a solid waste after its life cycle as a consumer item is completed. Does not include manufacturing or converting wastes. This refers to material collected for recycling from office buildings, homes, retail stores, etc.
The minimum level of income required by a family to cover the basic needs of food, clothing and shelter.
Material or by-products generated after the manufacture of a product but before the product reaches the consumer, such as damaged or obsolete products. Pre-consumer material does not include mill and manufacturing trim, scrap, or broken material which is generated at a manufacturing site and commonly reused on-site in the same or another manufacturing process.
The screening of potential vendors in which such factors as financial capability, reputation and management are considered when developing a list of qualified vendors. See Vendors List, Qualified Vendor/Responsible Vendor.
A document sent to potential suppliers asking for information necessary to support their qualification as an approved supplier.
Match a certain set of criteria to qualify immediately for invitation to tender or request for information (RFQ).
An advantage in consideration for award for a contract granted to a vendor by reason of the vendor’s residence, business location, or business classifications (e.g., minority, small business).
A pre-approved list of suppliers whose financial stability and technical capability have already been checked.
A term denoting that transportation charges have been or are to be paid at the point of shipment.
The amount of money that will purchase a definite weight or other measure of a commodity.
A contractual agreement in which a purchaser contracts with a vendor to provide the purchaser’s requirements at a predetermined price. Usually involves a minimum number of units, orders placed directly with the vendor by the purchase, and limited duration of the contract. See Blanket Order and Requirements Contract.
A measure of the change in demand for a product or service in relation to changes in its price.
Agreement among competing vendors to sell at the same price.
Meaning you can find out the price when you contact the organization.
Prices that rise and fall repeatedly and unpredictably over short periods of time.
A pricing strategy that aims to attract customers away from competitors by offering a lower price.
A pricing strategy that markets products in the early stages of their life cycle at a higher price than at a later stage.
How the price for goods or services will be presented in a request for information (RFI).
Additional pages, containing more details about the pricing schedule, at the end of the contract.
The packaging that is in immediate contact with the product (e.g., small box, bottle, bag, etc.).
The first stage of the production and manufacturing process (e.g., farming and the extraction of raw materials).
A legal form of company in which ownership is apportioned through the number of shares held. Liability of the holders of these shares is limited to the share value and the shares cannot be traded.
Organizations run with the aim of making a profit.
Anticipating needs and acting accordingly.
Honesty or integrity.
A way to provide a visual representation of a process.
The process of requisitioning, purchasing, receiving, paying for, and accounting for goods and services.
The act of obtaining something, whether tangible or intangible, such as a product or service.
The combined functions of purchasing, inventory control, traffic and transportation, receiving, inspection, store keeping, and salvage and disposal operations.
The activities that determine the specification and quantities of a product or service prior to contracting for its supply. It is based on a balance of financial and non-financial requirements.
A document that presents prospective suppliers with a clear, accurate and full description of the organization’s needs and enables them to propose a solution to meet those needs.
Part of the packaging of a product. The product label is the written information on the outer packaging that gives important information that needs to be communicated to the customer.
The stages a product goes through, from initial concept through to decline and removal from the market.
The amount by which the revenues of a company exceed its costs.
The ability of the organization to make a profit.
A document which confirms the sale which is sent to the buyer in advance of items being shipped and provides details such as description of items, shipment weight, transport charges, etc.
The aspects of product, place, price and promotion that are used in the marketing of a product or service.
The only items that can perform a function and satisfy a need. This should not be confused with “single source.” An item can be proprietary and yet available from more than one source. For example, if you need a camera lens for a Nikon camera, the only lens that will fit is a Nikon lens, thus, this lens is “proprietary.” However, the Nikon lens is available from more than one source, thus, it is not a single source.
A machine that produces thrust to push an object forward.
Suppliers that may wish to work with a buyer or who a buyer may wish to work with.
A sample or model of an idea or concept.
A legal form of company in which ownership is apportioned through the number of shares held. Liability of the holders of these shares is limited to the share value and the shares can be traded through an exchange.
Purchasing carried out by government departments, local authorities and some other designated types of organization, particularly those funded or supported through taxation.
The process of obtaining goods and services for public purpose following procedures implemented to protect public funds from being expended extravagantly or capriciously.
Service organizations run by the government and usually funded by taxes.
A document that stipulates rules and prescribes procedures for purchasing with suppliers and other departments.
The signed written acceptance of the offer from the vendor. A purchase order serves as the legal and binding contract between both parties.
Legally binding documents that set out the details of the transaction that the supplier and buyer have agreed.
The processes concerned with acquiring goods and services, including payment of invoices – it is part of the wider procurement process.
A ‘zero-sum game’ is an interaction where every gain by one person is an equal loss to the other, so the net gain (the total of the benefits to both parties) is zero.
Whether you’re looking to maximize diversity spend, optimize supplier diversification, or identify emergency sourcing options, the best available supplier data makes all the difference.Learn More