Impact of Smart Procurement Techniques on Cost Minimization among Manufacturing Firms in Liaoning, China

Abstract

Procurement plays a vital role in developing and achieving an organization’s savings and profitability goals. Cost minimization requires the organization to capitalize on available saving opportunities and make appropriate decisions during the procurement process. Smart procurement systems can minimize procurement costs through reduced costs of actualization of the process and efficient selection of suppliers. The use of intelligent systems enhances traditional processes by better gathering and utilizing information, enhancing communication and relationships between organizations and suppliers.