The paper deals with the analysis of the procurement function on the example of the company Kraš d.d. In the theoretical part, the term management is defined, the basic managerial functions are briefly described and the basic business functions are presented. The business function of procurement can also be defined as the process of procuring goods and services that a company needs to meet its business objectives. An effective procurement strategy can save a company financial resources by negotiating favorable terms and prices with suppliers. The procurement function deals with procurement activities; by negotiating and strategically selecting the recipients of raw materials, materials and services that are important to the organization. Business function of procurement within Kraš d.d. it is organized as a service consisting of two departments. Raw materials and packaging are procured on the basis of needs that are defined within the business function of production, and the needs are expressed as annual and monthly. Based on the defined production needs, the purchasing department starts contacting the supplier, all with the aim of examining the offers and choosing the most favorable supplier. Suppliers are expected to be able to deliver raw materials and materials that meet the quality of Kraš's specification, and on time and in the required quantity to deliver the required raw materials and materials at the best price and with acceptable payment terms. The procurement department is also responsible for controlling delivery deadlines, as delays can interfere with the planned course of the production process. In the work of the procurement service, the application of modern information technologies and solutions is becoming increasingly important as a support for decision-making, their implementation and control.