Refers to the total time it takes to complete the procurement process from identifying needs to the final delivery of goods or services.

What it Measures ?

How long it takes to complete a purchase from request to delivery.

Relevant StakeHolders 

Operations Teams, Procurement Owners

In-depth Use Case / Real-world Example

In a manufacturing company that builds compressors, procurement cycle time tracks how long it takes from the moment the production team requests a component to when it's delivered to the assembly line. A shorter cycle time can be achieved through efficient supplier selection, streamlined approval processes, and better forecasting. For example, if the cycle time for sourcing an air filter drops from 10 days to 6 days, the company can reduce production delays and improve inventory management.