Supplier Payment• Relationship Management: Includes monitoring and improving performance. Principles of purchasing management. Right priceThe price of an item is the primary concern of any manufacturing organization. Generally, it is determined by production cost, quality, delivery time, supply and demand. The right price is determined through value analysis. Negotiation between suppliers and purchasing departments is necessary to establish the right price ii. Right quantityExcess purchases should be avoided as it will result in overstocking. To determine the right quantity to purchase, the manufacturing organization should consider changes in market tastes and preferences, the purchasing organization's storage capacity, and the materials to purchase. iii. Right timeFor regularly used items, right time refers to the time when inventory reaches its minimum level. To determine the right time, the purchasing manager should have information on the delivery times for all products. Lead time is the duration between recognition of the need until the item is delivered and supplied for use. This covers the entire time span of the materials cycle. iv. Right