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The diploma thesis decsribes the company purchasing processes. The thesis is focusing on the company purchasing functions. It defines the working methods and the processes through which the purchasing processes are coordinated. The target is to describe the complexity of the system and its complete structure. The theoretical part presents theoretical solutions to the problems related to absence of the strategic purchasing in the company. It describes the missing processes and suggests how to implement the strategic sourcing department. The practical part is focusing on presenting the solution to problems related to material procuring based on the company financial analysis. The goal is to implement missing processes in the company organization a to focus on the supplier selection and the supplier development as the key purchasing problem. The diploma thesis describes the purchasing system in its complexity. The thesis is structurized to describe every single function and process ensuring that the material procurement works effectively and efficiently.