ERP procurement Definitions

  • B

    bullwhip effect

    The bullwhip effect is the magnification of demand distortion as it moves upstream in the supply chain from customer through to the manufacturing process.

  • S

    strategic sourcing

    Strategic sourcing is an approach to supply chain management that formalizes the way information is gathered and used so that an organization can leverage its consolidated purchasing power to find the best possible values in the marketplace.

  • U

    upcharge

    An upcharge is an additional fee that is added to a bill after a contract has already been negotiated.

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