Purchasing Officer

  Home  Business and Economy  Purchasing Officer

“Purchasing Officer Frequently Asked Questions in various Purchasing Officer job Interviews by interviewer. The set of questions here ensures that you offer a perfect answer posed to you. So get preparation for your new job hunting”

31 Purchasing Officer Questions And Answers

1⟩ Described sealed bid?

The procurement process by which a bid is submitted in a sealed envelope to prevent disclosure of its contents before the deadline for the submission of all bids.


7⟩ What are the disadvantages of business?

A small business which is owned or controlled by a majority of persons, not limited to members of minority groups, who have been deprived of the opportunity to develop and maintain a competitive position in the economy because of social disadvantages.


13⟩ Is a contract that does not state any particular quantity valid?

The Uniform Commercial Code (UCC) allows for the award of requirements contracts, which do not state any particular quantity. However, a requirements contract is only valid if the contract is awarded in "good faith." Sellers will normally ask for the contract to have an estimated quantity or a quantity range.


16⟩ Can you please explain the difference between counter trade & reciprocal trading?

Cash poor countries and organizations engage in counter trading by exchanging commodities of equal value. Counter trading offers cash poor countries and organizations greater access to the world markets by offering them an alternate method of acquiring goods. Reciprocal trading provides participating nations with equivalent competitive trading opportunities based on mutual agreements negotiated to adjust tariffs, duties, and customs restrictions in order to increase foreign trade and improve border-to-border relationships among participating countries.


17⟩ Described layman's interpretation of what is a CPM is in internet online advertising?

CPM (Cost Per Impressions) is the cost per thousand a web site charges for an advertisement on a web site page. Internet advertising is typically sold on a CPM basis. An impression occurs when a visitor to a web site views a page where an ad is displayed. A $25 cpm rate represents $25 per 1,000 displays of a web site page where an ad is displayed.


18⟩ When contacting to supplier references, which are the questions should I ask that will elicit worthy information about the vendor?

When checking supplier references, you need to collect as much information as possible to help you make a wise decision. You should interview at least three references and engage them in conversation. Verify all the information you already have about the supplier. Find out the scope of the project and how long the contract was for.


19⟩ How purchasers can find their suppliers. Are there favorite places they look?

A prime source for finding new suppliers is the XYZ Register. The XYZ Register lists manufacturers by product categories and geographic location. XYZ Register supplier information can be obtained online from their website (its free), a set of their cds which can be networked within a company, and their set of catalogs. Another good source for finding suppliers is through Trade Associations, most can be accessed online. Internet search engines such as google.com which can be used to search for specific products, commodities or companies.


20⟩ How you can calculate inventory turns?

Inventory turns is the annual cost of the inventory issued divided by the average monthly inventory value.

The average monthly inventory value is calculated by adding the past 12 monthly inventory values and dividing the total by 12. At the end of each subsequent month, add the latest month's inventory value and delete the 12th most distant monthly inventory value.

The annual cost of issues is calculated by adding the past 12 monthly cost of inventory issues. At the end of each subsequent month, add the latest month's cost of inventory issues and delete the 12th most distant month.

Example: Annual Cost of Issues/ Average Monthly Inventory Value = Inventory Turns $400,000/$100,000 = 4.0 Turns.