Logistic Cost - Basic Factor for Creating and Managing Procurement Politics

Procurement policy is vital to the success of many companies from different economic sectors. The policy of purchasing companies is set of individual policies relating to suppliers, the amount of orders and stock, the purchase price, quality, product type and delivery methods. Well-established procurement policy provides a major opportunity to reduce costs and increase contribution margins. To prove the hypothesis about the logistics cost as a factor governing the creation and management of effective procurement policies are applied scientific methods of analysis and synthesis, induction and deduction, mathematical methods and method of information modeling. The obtained findings are based on an analysis of practical business examples, and represent the basic principles for creating and maintaining an effective procurement policy.