Course Overview
Organizations and procurement personnel in the purchasing and searching modes must carefully weigh up what is available and what benefits the organization can gain. The market place offers good prices for bulk purchases and discounts for regular orders depending on the quantity and quality required. The decisions involved take careful planning and research to find the most effective suppliers and maintain the relationship for mutual benefits. This course is designed to help the participants understand how effective use of a purchasing & supply management systems, can give their organizations the best services and regular supply of what they need and want. The course discusses business to business buying and the selection of preferred suppliers. It features discussion groups to investigate utilization of creative tools and methods to be more effective, efficient and positively reduce costs involved.
Course Outline
Organizational needs and the changing role and technology
Responsibilities in the role of purchasing and supply
Supplier expectations
Review of department functions, methods and systems
Department turnovers
Make or buy decisions
Cost considerations-analysis process
-Cost effective decisions
Quality & quantity decisions
Organization communications & liaison
Purchasing and supply planning – Techniques and systems
Blanket orders
Bulk buying
Lead time analysis – Advantages and disadvantages
Buying and supply agreements
Tenders – Procedures and bidding
Auctions
Transportation services
-Purchase
-Hiring
-Leasing
-Service Level Agreements (SLA’s)
FOB terms
C & F Terms
CIF Terms
Purchase and supply management
-Planning methods
-Coordination
-Forecasting
-Basic steps
Legal aspects of purchasing
Basics of contract law
International aspects
Internet purchase and supply
Agencies
Preferred vendor system
Problems associated with purchasing and supply and suggested remedies
TQM in purchasing and supply chains
Negotiations
-Art & science
-Negotiation distinct from bidding
-Negotiations strategy
-Win-Win situations