Dictionary of Procurement Terms

An insurance policy that covers a changing, dynamic liability, such as the inventory of a store or warehouse, movable property, or goods in transit.

To review the status of a transaction, in connection with purchasing transactions.

1. Unexpected or uncontrollable events, including those caused by nature that can impact a contract’s price, terms, and conditions. These events are not the result of contractor negligence and may excuse contractor performance during the events and under certain conditions caused by them. 2. Acts of God or disruptive conditions for which a contractor or carrier will not be held responsible.

1. A method used to determine future needs. 2. An ongoing assessment to examine opportunities and essential elements of strategic planning; examples include demand forecasting of an entity's internal needs and production/market forecasting.

A corporation doing business in any state in which it is not incorporated. See also: Domestic Corporation.

Secured physical area within the U.S., but treated as it were outside of U.S. borders, under control of U.S. Customs and Border Protection, used by businesses for storage and distribution and, in some cases, production of goods.

A global marketplace that facilitates the conversion of one county's currency into the currency of another country's by determining the exchange rate for currencies worldwide.

A loss of bid bond, bid deposit, or performance bond resulting from non-performance of the obligation the bond was to insure by one’s own act, negligence, or fault.

A bid that must be submitted in a sealed envelope and in conformance with a prescribed format to be opened in public at a specified date and time. See also: Invitation for Bids.