Which term encompasses the processes of acquiring goods and services, including payment of invoices?

The term that encompasses the processes of acquiring goods and services, including the payment of invoices, is procurement. Procurement is a broader term that refers to the entire process of acquiring goods and services, which starts from identifying needs, selecting suppliers, negotiating contracts, ordering, and ultimately managing the payment for those goods and services received. This process includes strategic sourcing and managing supplier relationships, all essential components of procurement.

While the word "purchasing" may seem synonymous with buying and involves the actual transaction or act of acquiring goods, it does not encompass the full range of activities involved in the procurement process. Unlike "sales," which pertains to the selling aspect from a supplier's perspective, procurement includes the planning, supplier management, and contractual obligations following the purchase. Thus, "procurement" is the most comprehensive term that appropriately describes the full sequence of activities from need identification to payment settlement.