Central Purchasing System

A Central Purchasing System is a coordinated approach where an organization or multiple organizations buy goods and services through a single, centralized unit. This central entity handles procurement processes, negotiates contracts, and manages purchasing activities, which helps ensure consistency, cost savings, and efficiency. Instead of each department or location buying separately, they rely on the central system to secure better prices and standardize quality. This setup is often used by government agencies, large companies, or institutions to streamline procurement and leverage collective buying power.