Lapasar
Purchasing & Procure-to-Pay

Procurement Cycle Time

Also known as: Purchasing cycle time

Procurement cycle time is the total time taken from raising a requisition to receiving the goods or completing the purchase.

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Cycle time measures how quickly the buying process runs — spanning requisition, approval, sourcing, order placement, delivery and sometimes payment. Long cycle times frustrate internal users, delay operations and push people towards maverick spend to get what they need faster.

Shortening cycle time is a common procurement objective. Digital requisitioning, catalogue ordering, automated approval workflows and pre-agreed supplier terms all remove delay, so requests convert to deliveries faster without sacrificing control.

Key points

  • Spans requisition, approval, sourcing, ordering and delivery.
  • Long cycle times frustrate users and encourage maverick spend.
  • Catalogues, automation and pre-agreed terms shorten it.

Frequently asked questions

What is procurement cycle time?
Procurement cycle time is the total time from raising a requisition to receiving the goods or completing the purchase, measuring how quickly the buying process runs.
How can procurement cycle time be reduced?
Through digital requisitioning, catalogue ordering, automated approval workflows and pre-agreed supplier terms, which remove manual delays between each step.

Go deeper

Approval workflow cost calculator

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