| Purchasing demand management is an approach to | | | | Rather than buy a new desk and chair for a new |
| value for money that questions the need for a | | | | employee, does any department have a surplus that |
| purchase and makes sure that you only buy the | | | | they may have put into storage? |
| quantity and specification that you actually need. In | | | | The second way is to replace the purchase. For |
| other words, it eliminates the waste involved in many | | | | example, you can replace a lot of travel and |
| buying decisions. | | | | associated cost by using video conferencing where |
| There are three approaches that you can take to | | | | possible. |
| manage purchasing demand effectively. | | | | The third way is to reduce the quantity that you |
| The first is to eliminate the need for the purchase | | | | buy. If, for example, you are buying new IT |
| altogether. You might achieve this by seeing if | | | | hardware don't buy a printer for every PC - network |
| someone in your organisation already has the item | | | | them and look at multifunctional devices that can |
| and no longer needs it. An example is office furniture. | | | | print, copy and fax. |