Dictionary of Procurement Terms

An organizational structure in which the rights, powers, duties, and authority relating to procurement are vested in the chief procurement officer (CPO). While the CPO may delegate some of these powers to others, the final authority resides with them. See also: Decentralized Purchasing.

An organizational structure in which designated personnel/operating departments from within the organization have the delegated authority to select the sources of supply and contract directly with suppliers without consulting or receiving approval from the chief procurement officer (CPO). It should be noted that the scope and degree, if any, of decentralized procurement varies from agency to agency. See also: Centralized Purchasing.