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Procurement for Public Companies

Courtesy-thomasnet

Since the government is responsible of running a public company, their work is quite different when compared to public company. Even the process such as procurement is quite different to the work carried out by private company. Additionally, depending on the region too makes the work different compared between the private and public company. Here’s how a public company works differently when compared to a private company for procurement process.

  • Transparency –Public can easily see the figures that are involved with the procurement process. At the end of the day, public companies represent the public that gives right to the public to see what is happening.
  • Bidding and Tender – The selection of contractors and vendors goes through a series of tender or bidding process. This type of method makes sure that the company is transparent and no corruption is involved within the company. There are different criteria’s involved for the price, delivery dates, quality etc.
  • Background Checks – As mentioned above about the selection process of vendors and contractors, they need to undergo background checks before they are officially announced. This step is important to the public to make sure that the contract is offered to the right people ensuring the safety of the public’s money.
  • Red Tape –Since public companies are run by the government, it leads to a lot of delays related to work such as permissions, procedures, process, etc., leading to the form of red tape. However, this is considered to be a good thing sometimes.

Depending on whatever you do, you can always do procurement education online to get a certificate in procurement.