Despite its importance, the purchasing function faces several challenges:
Supplier Reliability: Ensuring that suppliers consistently deliver quality goods on time can be challenging. Cost Management: Balancing cost savings with quality and reliability is a critical concern. Compliance: Adhering to regulatory requirements and ethical standards in purchasing practices. Demand Forecasting: Accurately predicting future needs to avoid overstocking or stockouts. Technology Integration: Implementing and integrating new technologies with existing systems can be complex and costly.