Recovery refers to what capability in procurement?

Recovery refers to what capability in procurement?

• A. The ability of the procurement department to obtain urgently required materials and services from a supplier at premium cost
• B. The return of defective goods
• C. The ability to forecast demand accurately
• D. The ability to renegotiate contracts

Answer: (A)

Recovery in procurement means the ability to quickly secure urgently needed materials and services from a supplier, even at a premium, in order to restore operations after a disruption. This emphasizes speed and continuity over cost, helping the organization resume production or service delivery when normal supply chains are interrupted. The other options relate to different functions: returning defective goods is about reverse logistics and quality issues; forecasting demand is planning for future needs; renegotiating contracts is about adjusting terms with suppliers. Recovery focuses on rapid, often premium, procurement to recover from disruption.

Recovery in procurement means the ability to quickly secure urgently needed materials and services from a supplier, even at a premium, in order to restore operations after a disruption. This emphasizes speed and continuity over cost, helping the organization resume production or service delivery when normal supply chains are interrupted. The other options relate to different functions: returning defective goods is about reverse logistics and quality issues; forecasting demand is planning for future needs; renegotiating contracts is about adjusting terms with suppliers. Recovery focuses on rapid, often premium, procurement to recover from disruption.