Which of the following are not advantages related to decentralized purchasing?
A) Dispersed purchasing power.
B) Direct responsibility for profit centres.
C) Less bureaucratic purchasing procedures.
D) Direct communication with suppliers.

Question

Which of the following are not advantages related to decentralized purchasing? 
A) Dispersed purchasing power. 
B) Direct responsibility for profit centres. 
C) Less bureaucratic purchasing procedures. 
D) Direct communication with suppliers.

Quizplus · Accepted Answer

Decentralized purchasing refers to the distribution of purchasing authority among various departments or locations within an organization. While direct responsibility for profit centers (B), less bureaucratic purchasing procedures (C), and direct communication with suppliers (D) are considered advantages of decentralized purchasing, dispersed purchasing power (A) is not typically seen as an advantage. This is because it can lead to inconsistencies in purchasing practices, reduced purchasing power due to smaller volume orders, and potential difficulties in maintaining standardized quality across the organization.

Which of the Following Are Not Advantages Related to Decentralized