The Top 6 Industry-Specific Procurement Regulations

Procurement professionals play a crucial role in ensuring industry regulations compliance. They must source and purchase goods and services while ensuring they meet specific regulations for their industry. The goal is to protect public health and safety.

Procurement plays a critical role in ensuring compliance with industry-specific regulations. These regulations can vary depending on the industry, but they are designed to protect the health, safety, and well-being of employees, customers, and the general public. Procurement professionals are responsible for identifying, sourcing, and purchasing the goods and services that an organization needs to operate, and they must ensure that these goods and services comply with all relevant industry-specific regulations.

Food and beverage industry: In the food and beverage industry, procurement professionals must ensure compliance with regulations such as the Food Safety Modernization Act (FSMA) and the Hazard Analysis and Critical Control Points (HACCP) program. These regulations are designed to protect the health and safety of consumers by ensuring that food products are safe to eat and free from contaminants.
Pharmaceutical industry: In the pharmaceutical industry, procurement professionals must ensure compliance with regulations such as the Food, Drug, and Cosmetic Act (FD&C Act) and the Drug Supply Chain Security Act (DSCSA). These regulations are designed to protect the health and safety of consumers by ensuring that pharmaceutical products are safe and effective, and that they are free from contaminants.
Medical device industry: In the medical device industry, procurement professionals must ensure compliance with regulations such as the Medical Device Directive (MDD) and the Medical Device Regulation (MDR). These regulations are designed to protect the health and safety of patients by ensuring that medical devices are safe and effective.
Automotive industry: In the automotive industry, procurement professionals must ensure compliance with regulations such as the Federal Motor Vehicle Safety Standards (FMVSS) and the Corporate Average Fuel Economy (CAFE) standards. These regulations are designed to protect the health and safety of vehicle occupants by ensuring that vehicles meet safety standards and are fuel-efficient.
Energy and utilities industry: In the energy and utilities industry, procurement professionals must ensure compliance with regulations such as the Federal Energy Regulatory Commission (FERC) and the North American Electric Reliability Corporation (NERC). These regulations are designed to protect the health and safety of the general public by ensuring that energy and utility companies are operating in a safe and reliable manner.
Construction industry: In the construction industry, procurement professionals must ensure compliance with regulations such as the Occupational Safety and Health Administration (OSHA) and the Americans with Disabilities Act (ADA). These regulations are designed to protect the health and safety of construction workers and members of the public by ensuring that construction sites and buildings are safe and accessible.

In summary, procurement plays a critical role in ensuring compliance with industry-specific regulations. These regulations vary depending on the industry, but they are designed to protect the health, safety, and well-being of employees, customers, and the general public. Procurement professionals are responsible for identifying, sourcing, and purchasing the goods and services that an organization needs to operate, and they must ensure that these goods and services comply with all relevant industry-specific regulations. Examples of industry-specific regulations include FSMA and HACCP in food and beverage industry, FD&C Act and DSCSA in pharmaceutical industry, MDD and MDR in medical device industry, FMVSS and CAFE in automotive industry, FERC and NERC in energy and utilities industry, OSHA and ADA in construction industry.

At FactWise, our flagship product is a SaaS procurement solution for global product manufacturing Small and Mid-Sized Enterprises (SMEs), an overlooked customer segment. We are on a mission to disrupt the procurement industry with our comprehensive, end-to-end SaaS solution that streamlines our clients' complex, specialized procurement procedures, giving them sustainable, positive business impact.  

Stawan is the founder and CEO of FactWise. Before founding FactWise, Stawan was the NA TMT-Procurement Leader at McKinsey. Passionate about procurement, Stawan has 15 years’ experience in enabling clients of all sizes to achieve business impact via procurement.