The act of choosing a supplier to fill a particular need. May be centralized in the customer's purchasing organization or may be decentralized in areas of usage or a combination of the two.
The process of managing external suppliers in order to commercialize, produce and deliver final products to our customers.
The management on purpose of the various origins of products or materials on behalf of the recipient of these products or materials. In some industries sourcing is seen as the change from push to pull delivery for a number of fast moving items. Within P&O Nedlloyd sourcing is specially dedicated to the retail industry acting as an intermediary between suppliers and the market with an integrated service for e.g. supermarkets or large department stores.