Description
Planning forms an integral part of the successful implementation of the sourcing strategy. It starts with the development of annual plans, budgets, and time schedules to execute an operational or capital activity. These plans are required to address, in detail, all required resources including those to be affected by procurement or asset disposal.
Procurement planning is a crucial task for any public entity’s annual planning requirements as it is necessary to calculate the procurement costs likely to be incurred.
The plan will include both recurring and non-recurring costs.
To avoid delivery delays, the planning of procurement activities should be carried out in advance of budget approvals.
It is during this stage that the government's social values must be discussed and prioritised.
