🌐 Centralized vs. Decentralized Procurement: Why Cannabis Operators Need Both

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As cannabis companies scale across multiple locations, procurement gets complicated—fast.

Operators need access to local suppliers. Finance needs control.

So which is better?

Centralized or decentralized procurement?

The truth is: you need both. And you need them working in sync.

What Is Centralized Procurement?

• Centralized procurement means all purchasing decisions are made from HQ.

• Finance controls budgets, vendor selection, and policy enforcement.

Benefits:

✅ Consistency in pricing and contracts

✅ Easier financial reporting and COGS tracking

✅ Less risk and rogue spend

Downside:

🚫 Slower decision-making

🚫 Bottlenecks for locations that need agility

What Is Decentralized Procurement?

• In this model, individual locations or teams handle purchasing.

Benefits:

✅ Faster decisions

✅ Local vendor flexibility

✅ Better for time-sensitive or specialized needs

Downside:

🚫 Harder to track spend

🚫 Budget overruns

🚫 Messy data

Why Hybrid Procurement Is the Future

With MainStem, cannabis businesses don’t have to choose.

We give you a centralized procurement system that allows controlled decentralization.

• Set budgets + approvals from HQ ✅

• Let individual locations order with real-time guardrails ✅

• See all spend and PO activity in one place ✅

• Auto-match invoices + clean COGS ✅

You get the control Finance wants and the flexibility Operators need.

Final Thoughts

In a fragmented industry like cannabis, hybrid procurement isn’t a strategy—it’s survival.

📉 Avoid overspend.

📊 Improve visibility.

📦 Let your teams move fast, without breaking process.

🔗 See how MainStem makes hybrid procurement work → Book a Procurement Process Audit!

About Mainstem

The MainStem Supply Chain Ecosystem is the ONLY fully integrated B2B procurement solution built to solve complex issues for the cannabis industry. MainStem enables companies to easily source all their supplies while also simplifying the fragmented finance and operations technology ecosystem. With almost a decade of experience in the cannabis industry, MainStem is dedicated to helping cannabis companies grow with robust technology and by partnering closely with cannabis growers, manufacturers and dispensaries. To learn more about the technology solution we offer, click here.

MainStem Platform
The MainStem Supply Chain Ecosystem is the ONLY fully integrated B2B procurement software built to solve complex issues for the cannabis industry.We give cannabis operators and suppliers the tools and data to manage their business – all in one place.
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