What is the difference between Procurement vs Purchasing?

Career: Procurement

AspectProcurementPurchasing
FocusStrategic sourcing, supplier relationships, contract managementOrder processing, price negotiation, transaction execution
ScopeEnd-to-end process including planning and supplier selectionExecuting purchase orders and transactional activities
Skills & CertificationsSupply chain knowledge, negotiation, certifications like CPSMNegotiation, basic procurement training, purchasing certifications
Work EnvironmentStrategic departments, cross-functional teamsOperational departments, procurement or warehouse teams

Procurement involves strategic activities like sourcing and supplier management, while purchasing focuses on the transactional aspect of buying goods and services. Both roles are essential in supply chain management but differ in scope and responsibilities.