Procurement Essentials

Overview:

Introduction:

This training program delves into the intricacies of purchasing, from strategy development to supplier evaluation. It empowers them to elevate their roles and make impactful contributions to their organizations' success.

Program Objectives

At the end of this program, participants will be able to:

• Understand and fulfill the role of purchasing within their organization.

• Develop effective purchasing strategies and agreements.

• Select suppliers efficiently and evaluate bids objectively.

• Negotiate contracts adeptly and manage supplier performance.

• Apply cost analysis and value assessment techniques to purchasing decisions.

Targeted Audience

• Professionals involved in purchasing and procurement roles within companies.

• Managers and supervisors responsible for procurement strategies and supplier management.

• Individuals seeking to enhance their understanding of the purchasing function within organizations.

• Personnel involved in supply chain management or vendor relations.

• Procurement professionals interested in improving supplier selection processes and negotiation skills.

Program Outline:

Unit 1:

What Function Does Purchasing Serve in the Company?

• Overview of Purchasing and Its Role in the Organization.

• Cycle of Procurement and Purchasing Process.

• Putting Purchasing in Its Place in the Company.

• Vision, mission, and Purchasing Value.

• Where is Performance Improvement located?

Unit 2:

Developing the Purchasing Strategy:

• Developing Purchase Agreements.

• Importance of being involved in Creating the Specification.

• Supplier Selection Methodology.

• Criteria for Pre-qualifying Suppliers.

• Integrating the Supplier Selection Process.

Unit 3:

Tendering and Analysing The Bid:

• Process Needs.

• Types of Tender.

• Electronic Commerce / E Auctions.

• Evaluating a Bid Objectively.

• Methods of Payment.

Unit 4:

Negotiating the Contract and Preparing a Plan of Improvement Action for Purchasing:

• Defining Negotiation.

• The Tools of the Negotiation Process.

• Phases of a Negotiation.

• Obstacles to Effective Negotiation.

• Evaluating Performance Gaps.

Unit 5:

Selecting the Right Supplier & Evaluating Performance:

• Conditioning the Supplier to Meet Your Requirement.

• The Total Cost Approach to Purchasing.

• Analysing Cost.

• Analysing Value.

• Life Cycle Costing.