Procurement
Procurement is the process by which federal agencies acquire goods and services from private companies using contracts, governed by the Federal Acquisition Regulation (FAR) and related statutes. It covers the full acquisition cycle, from planning a purchase and issuing a solicitation to awarding a contract and paying the contractor. Contracting officers follow FAR rules on competition, pricing, and contract terms, and much of federal procurement is now conducted through centralized systems such as SAM.gov.
Procurement is the process by which federal agencies acquire goods and services from private companies using contracts, governed by the Federal Acquisition Regulation (FAR) and related statutes. It covers the full acquisition cycle, from planning a purchase and issuing a solicitation to awarding a contract and paying the contractor. Contracting officers follow FAR rules on competition, pricing, and contract terms, and much of federal procurement is now conducted through centralized systems such as SAM.gov.
Example: When an agency needs new laptops or information technology services, its contracting officers issue a solicitation under the FAR, evaluate competing offers, and award a contract to the responsible offeror, with the award recorded in federal contract data systems.
Common misconception: Procurement is not simply buying whatever an agency wants at any price; competition requirements, set-asides for small businesses, and appropriations limits all constrain how the money can be spent, and no contract can be paid without appropriated funds.
Sources: https://www.acquisition.gov/far/2.101; https://www.acquisition.gov/far/part-1