What can be a result of effective procurement management?

Effective procurement management can lead to better supplier relationships, which is vital for achieving long-term success in supply chain management. Strong relationships with suppliers foster collaboration, trust, and mutual understanding, allowing organizations to negotiate better terms, improve communication, and enhance the quality of goods and services. When procurement practices prioritize relationship-building, suppliers are more likely to provide favorable pricing, consistent quality, and timely delivery, all of which contribute to the overall efficiency and effectiveness of the procurement process.

The other options do not encapsulate the core benefits of effective procurement management, as they tend to present outcomes that are generally viewed as negative in the context of procurement. Higher overall costs contrast with the objective of procurement to minimize expenditures. Increased paperwork detracts from efficiency, and less supplier competition can lead to a lack of innovation and higher prices. Therefore, the focus on better supplier relationships is the most favorable outcome associated with effective procurement management.