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Query on Procurement?

Former Member
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Hi friends

What is the diff bet Direct Procurement, Indirect Procurement and Manual driven procurement

Regards

Abirath

Accepted Solutions (0)

Answers (1)

Answers (1)

Former Member
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Hi,

Direct Procurement,

Material required for regular production material say for an automobile all the castings, gears and bought out components.

It is held on STOCK. It is a stock item.

In SRM you have to adopt Extended classic scenario for the direct procurement

Indirect Procurement

Material procured for consumption for the plant say all the maintenance items required for machinery. It is not held on STOCK.

It is NON STOCK items. It is consumed directly.

Self service procurement in SRM is an example of Indirect procurement. Normally 65% of the company uses SRM for the Indirect procurement only because time is wasted for repeated purchases. No value addition is there.

You have to adopt the CLASSIC SCENARIO

You have to maintain all the master in Catalog content Management (CCM) up to version SRM 5.0 . If you are implementing the SRM 7.0 then you have to use Master Data Management.

Manual driven procurement

It is called Plan Driven procurement .It is a Direct Material procurement . discussed already

Regards

G.Ganesh Kumar