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Demand Management


Source: Procurement Glossary
Author: Paul Rogers
Institute: CIPS - UK

Courtesy of


 

Demand management refers to the analysis and influence of levels of consumption.  It involves understanding what is bought, by whom, when, how and why, and then seeking to change patterns of consumption so that total cost is minimised.  For example, procurement processes may negotiate the rate for electricity so that it is purchased at the best possible tariff, but if usage is cut this will result in the largest saving of all.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 




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