The purchase of indirect materials on an as-needed basis is referred to as __________ sourcing.
A)horizontal
B)vertical
C)spot
D)systematic

Question

Quizplus · Accepted Answer

Spot sourcing is the purchase of goods or services on an as-needed basis from a supplier without any long-term contract or agreement. It is ideal for the purchase of indirect materials where demand may be irregular and uncertain. Horizontal sourcing refers to the purchase of similar goods or services from multiple suppliers, while vertical sourcing involves obtaining goods or services directly from the manufacturer or supplier. Systematic sourcing involves a structured approach to supplier selection and evaluation.

The Purchase of Indirect Materials on an As-Needed Basis Is