What is one main purpose of maintenance costs in procurement?

Study for the CIPS Introducing Procurement and Supply (L2M1) Test. Engage with flashcards and multiple choice questions, each question includes hints and explanations. Ace your exam with confidence!

One main purpose of maintenance costs in procurement is to ensure the longevity and functionality of purchased goods. This is crucial because regular maintenance helps preserve the functionality and efficiency of assets, reducing the likelihood of breakdowns and extending their useful life. When organizations invest in maintenance, they aim to maximize the return on their investment by maintaining operational performance, preventing unnecessary downtime, and avoiding costly repairs that might occur due to neglect. By keeping equipment and other goods in proper working condition, companies can sustain productivity levels and enhance overall operational efficiency, thereby justifying the ongoing costs associated with maintenance activities.

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