Abstract:
Purpose — The major purpose of this journal is to identifying the key determinants of vendor
selection and their Impact on Procurement in Pharmaceutical Companies in Karachi.
Furthermore, to get an idea that which factors of vendor selection are more important for the
Pharmaceutical companies these days for the smooth process procurement.
Design/methodology/approach - There are different determinants of vendor selection defined
in the literature. Moreover, the importance of each determinant is also defined. The collection
and gathering of data has been done with the help of a questionnaire. The questionnaire has been
divided into two sections. Section A relates with the general demographic section and section B
relates with the key determinants of vendor selection. 8 different Pharma companies were
selected and all the respondents were from the Supply chain, Logistics and Procurement
Departments which have direct relation with the vendor selection. Total 100 respondents were
received. Analyzing has been done with the statistical methods though SPSS software. Graphs
and tables were used in descriptive analysis and correlation method has been used in inferential
analysis so that hypothesis can be tested easily.
Findings — The general finding from this research is to identify the different factors of vendor
selection having an impact on procurement. It has been concluded that price, quality, technical
capability, service level, past performance, financial stability has more impact on procurement
apart from the other important factors.
Practical Implications- The outcome of this journal can be helpful for the Pharma companies
for vendor selection. It elaborates which determinants should be focused more when company
goes for vendor selection and which factors have more impact on procurement.
