Decentralized procurement is a procurement approach in which the authority and responsibility for purchasing decisions and transactions are distributed across various departments or business units within an organization. In this approach, each department or unit is responsible for its own procurement decisions and transactions, including identifying suppliers, negotiating prices, and finalizing contracts.

The goal of decentralized procurement is to provide departments or units with greater autonomy and flexibility in their procurement activities, enabling them to respond more quickly to their specific needs and requirements. However, this approach can also lead to inefficiencies, duplication of efforts, and reduced purchasing power due to the organization's lack of coordination and standardization.