Sourcing and Procurement
Glossary
Your trusted guide to exploring sourcing and procurement terms & definitions,
from the world’s leading procurement experts and companies
Focus Area
Describes the scope of an automation project and can be limited to process, or extended to operational or customer service.
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Forecasting
The process of using existing data to predict future demand for products or services
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Free Trade
International trade free from government interference, especially trade free from tariffs or duties on imports.
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Force Majeure
Force Majeure (French for "superior force") is a common clause in contracts which essentially frees both parties from liability or obligation when an extraordinary event or circumstance beyond the control of the parties, such as a war, strike, riot, crime, or act of God (e.g., flooding, earthquake, volcano), prevents one or both parties from fulfilling their obligations under the contract.
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Franchise
A joint venture between a person who wants to start a business and a person who already had a business idea registered. The franchisee buys the right to use the business idea from the franchisor. McDonald’s is a well-known franchise
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Free Rider Problem
Based on an article written on the effects of unregulated grazing on common land, a free rider problem occurs when those who benefit from resources, goods, or services do not pay for them, which then results in either an under-provision of those goods or services, or an overuse or degradation of the service.
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Free-trade area
A group of countries who have abolished tariffs, quotas and other barriers to trade within the group
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Fugitive dust
Visible emissions released from sources other than stacks, e.g., dust blown from storage piles, road dust, emissions leaking from the sides of buildings or open areas in buildings
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Full truckload (FTL)
The amount of freight required to fill a truck by cubic metres / feet or mass
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