Procurement - Process
DD
(Due diligence)
A structured investigation of facts and risks before committing to a deal, investment or supplier
What's it for?
Checks important facts and risks before an organisation commits to a deal, supplier or investment.
For example…
The team checks a payroll supplier's security, finances and customer references.
Before signing a five-year software contract, procurement carries out DD on the supplier's finances, security controls, references and data-handling arrangements
Think of it like…
Survey before buying a house: you look under the floorboards before exchanging contracts