Buying

Overview

Buying Module – Business Overview

Business Purpose and Scope

The Buying module in Dafater manages the entire supplier procurement cycle, from identifying purchasing needs to evaluating supplier performance. Its purpose is to ensure the business sources goods and services at the right quality, price, and time, while maintaining strong and accountable supplier relationships.
This module supports structured, transparent, and controlled purchasing aligned with company policies and budgets.

Business Functions Covered

The Buying module supports the following core business functions:

Supplier management and qualification
Requesting and comparing supplier quotations
Purchase order creation and tracking
Supplier performance evaluation and scoring
Procurement governance and compliance

It acts as the central system for all supplier-facing purchasing activities.

How It Supports Business Operations

The Buying module enables organizations to:

Control procurement costs through competitive supplier quotations
Ensure timely availability of materials and services
Improve supplier reliability and quality through performance monitoring
Reduce procurement risks with standardized purchasing processes
Maintain transparency and auditability in buying decisions

By standardizing procurement workflows, the business can scale purchasing activities without losing control or visibility.

Key Features and Capabilities (Business Perspective)

1. Supplier Management

Maintain a centralized database of suppliers with commercial and operational details
Classify suppliers based on categories, reliability, and strategic importance
Track supplier history and engagement over time

Business value: Better supplier selection and stronger long-term partnerships.

2. Request for Quotation (RFQ)

Invite multiple suppliers to quote for required goods or services
Ensure fair comparison through standardized RFQ processes
Improve negotiation leverage and cost transparency

Business value: Competitive pricing and informed purchasing decisions.

3. Supplier Quotations

Capture and compare price, delivery terms, and conditions from suppliers
Support data-driven evaluation before committing to a purchase
Maintain quotation history for future reference

Business value: Reduced procurement costs and better contract terms.

4. Purchase Orders

Convert approved quotations into formal purchase commitments
Clearly define quantities, prices, delivery schedules, and terms
Track order status to ensure timely fulfillment

Business value: Accurate ordering, fewer disputes, and improved supplier accountability.

5. Supplier Scorecards and Performance Evaluation

The module includes structured tools to measure supplier performance:

Supplier Scorecard: Overall performance assessment
Scorecard Criteria: Quality, delivery, cost, responsiveness, and compliance
Scorecard Periods: Time-based evaluations (monthly, quarterly, annually)
Scorecard Variables & Standing: Quantitative and qualitative scoring

Business value:
- Identify high-performing and underperforming suppliers
- Support strategic sourcing decisions
- Drive continuous improvement through measurable KPIs

Reports and Business Insights

The Buying module includes multiple reports that provide insights such as:

Supplier performance trends
Purchase order analysis
Quotation comparison summaries
Supplier reliability and cost effectiveness

Business value: Management gains clear visibility into procurement efficiency and supplier risks.

Integration with Other Business Processes

The Buying module works closely with other Dafater business areas:

Inventory & Operations: Ensures materials are procured to meet operational demand
Finance & Accounting: Aligns purchase commitments with budgets, payments, and cost control
Planning & Demand Management: Supports proactive purchasing based on forecasted needs
Compliance & Governance: Enforces approval workflows and procurement policies

This integration ensures procurement decisions are aligned with financial planning, operational requirements, and strategic goals.

Summary

The Buying module in Dafater is a strategic procurement management tool that helps businesses control costs, strengthen supplier relationships, and ensure reliable supply. By combining structured purchasing workflows with supplier performance evaluation, it transforms buying from a transactional function into a value-driven business process.

Module Name: Buying

Total DocTypes: 10 Total Reports: 10 Total Pages: 0