Browse Definitions :
Definition

procurement card

Contributor(s): Matthew Haughn

A procurement card is a type of company charge card used for smaller purchases to achieve greater cost efficiency, control and convenience. Procurement cards are also known as purchasing cards, P-Cards or PCards.

Procurement cards can be tied to either a credit card or a bank account. The bank that manages a procurement card will issue payments to payees within days, while providing monthly invoicing to the client company. Procurement cards offer greater cost efficiency over traditionally paid purchase orders because they avoid the more time- and resource-intensive purchase order process, which involves more employees creating and reviewing documentation and invoices and issuing checks.

Security measures for procurement cards include setting per-purchase and per-month dollar limits. P-Cards may also feature spending restrictions for the types of purchases allowed and merchant category codes that define where purchases can and cannot be made. The card issuer usually sends the client organization an single invoice for all transactions at regular intervals; employee purchases are typically reviewed on a monthly basis.

This was last updated in May 2016

Continue Reading About procurement card

Start the conversation

Send me notifications when other members comment.

Please create a username to comment.

-ADS BY GOOGLE

File Extensions and File Formats

Powered by:

SearchCompliance

  • risk management

    Risk management is the process of identifying, assessing and controlling threats to an organization's capital and earnings.

  • compliance as a service (CaaS)

    Compliance as a Service (CaaS) is a cloud service service level agreement (SLA) that specified how a managed service provider (...

  • data protection impact assessment (DPIA)

    A data protection impact assessment (DPIA) is a process designed to help organizations determine how data processing systems, ...

SearchSecurity

  • DMZ (networking)

    In computer networks, a DMZ (demilitarized zone), also sometimes known as a perimeter network or a screened subnetwork, is a ...

  • quantum supremacy

    Quantum supremacy is the experimental demonstration of a quantum computer's dominance and advantage over classic computers by ...

  • Australian Assistance and Access Bill

    The Australian Assistance and Access Bill is legislation introduced and passed in 2018 by the Parliament of Australia to support ...

SearchHealthIT

SearchDisasterRecovery

  • business continuity plan (BCP)

    A business continuity plan (BCP) is a document that consists of the critical information an organization needs to continue ...

  • disaster recovery team

    A disaster recovery team is a group of individuals focused on planning, implementing, maintaining, auditing and testing an ...

  • cloud insurance

    Cloud insurance is any type of financial or data protection obtained by a cloud service provider. 

SearchStorage

Close