Which statement is true about internet use in upstream procurement?

• A. The internet can be used to check suppliers
• B. EDI replaces internet use entirely
• C. The internet is not used in upstream procurement
• D. EDI and internet usage are mutually exclusive

Answer: (A)

In upstream procurement, checking suppliers is a crucial step in risk assessment and decision-making. The internet is a key tool for this because it gives access to supplier websites, industry reports, certifications, financial information, news, and reviews, helping you verify capabilities, reputation, and compliance before engaging a supplier. Electronic Data Interchange (EDI) is another tool used to exchange standardized business documents, but it doesn’t replace the internet; it often runs alongside it and can even use the internet as a transport. Because of that, the idea that the internet isn’t used in upstream procurement or that EDI and internet usage are mutually exclusive isn’t accurate. Therefore, the statement that the internet can be used to check suppliers is the true one.