Dictionary of Procurement Terms

Money paid to an employee by an employer in exchange for work.

The intentional or voluntary relinquishment of a known right that warrants an inference that the right has been relinquished. Examples of waivers in supply management may include a waiver of certain contract requirements such as delivery dates, testing requirements, and performance standards.

A process, usually statutory, whereby a procurement department may source items without formal bidding procedures.

The act of disregarding minor errors or technical nonconformance in the offer that will not adversely affect the competition or prejudice one offeror in favor of another.

A structure used for the storage of material that provides protection against theft, damage, or deterioration.

Credit used for requisitioned supply or supplies found to be in excess of requirements and that must be returned to a warehouse.

An instrument showing that the signer has possession of certain described goods for storage, obligating the signer to deliver the goods to a specified person, or to that person’s order, or bearer, upon return of the instrument.

A document prepared by a department or entity to remove items stocked in inventory from a warehouse.

The performance of the administrative and physical distribution functions incidental to and required in the conduct of the storage activity.

A promise made by a seller to a buyer that is legally enforceable. The promise may be expressed or implied and is legally binding.