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Ethics and Social Responsibility in Procurement

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Submitted By pmg2003
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A strategic problem that is faced throughout all sectors of business management is without a doubt ethics and social responsibility. Just like other core sectors of a business the purchasing sector faces certain challenges in regards to implementing the ethics of socially responsible procurement. Purchasing can play a huge role in issues relating to ethics and social responsibility when it comes to core key areas such as customers, labor, the environment and suppliers. These particular areas are those that implement challenges for procurement to be ethically and socially responsible. Today businesses are obliged not just to sell their product but moreover sell themselves to endeavor an adequate image in the eyes of the public. (1. Zenz 1987). Customers constantly demand value for money which is why procurement personnel must make sure that this obligation is targeted in order to be socially responsible towards consumers. Value for money can be many things but most importantly delivering what is promised to customers without ripping them off. If a consumer can find the same product that you are marketing (company A) elsewhere by a different company(company B) at a significantly lower cost and of a higher quality then procurement officers at company A clearly is not providing value for money hence social responsibility. Alongside this better value for money in procurement can be attained by collaborating with other sectors to acquire the best prices and secure better discounts from bulk buying. Weele (2005) Goods and services have a working life of countless years therefore implementing a call for insuring that they are cost effective throughout their working lifecycle is a necessity, (2. Weele 2005 pg 294). In order to employ this there needs to be a reflection on adapting a long term view rather than focusing on the lowest purchase price. To this day purchasing goods

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