Refine competitive tendering, risk management and supplier selection procedures to get 'best value'
Accredited by: LONDON INSTITUTE OF SKILLS DEVELOPMENT SIGNATURE PROGRAMME
Who should attend?
- Purchasing executives, senior managers, and professional staff from supply chain management, logistics and inventory planning and control
- General managers wanting to understand the procurement function
- Those engaged in the management or operation of projects
- Those responsible for developing, managing or working with budget/cost constraints
- Those with an interest in strategic planning and costs management
- Those who are involved in the planning, evaluation, preparation and management of purchasing, tenders, contracts that cover the acquisition of materials, equipment, and services
Learning Objectives
By the end of the course delegates will be able to:
- Set up and manage procurement activity
- Select suppliers using appropriate evaluation methods and criteria
- Measure supplier performance
- Identify ways to increase procurement effectiveness and efficiency
- Develop a strategy for sourcing that achieves tangible benefits
- Review critical supply strategies
- Implement the strategic sourcing strategy to maximise total cost savings
- Assess and prioritise opportunities for savings
Course Content
Overview of the Procurement Cycle
- The principles of procurement
- The procurement process
- Compiling the Approved Supplier List
- Supplier Relationship Management (SRM)
- Monitoring and Managing Supplier Contracts
Definition and Development of a Sourcing Strategy
- Understanding the concept of strategic sourcing
- Differences between sourcing and strategic sourcing
- The seven stages of a competitive sourcing strategy
- The value and benefits of strategic sourcing
- Performing a strategic sourcing gap analysis
Measuring Schedule, Costs and Earned Value Management
- Scheduling tools and techniques
- Validating the schedule
- Managing change within the project
- The importance of a good cost/schedule baseline to measure performance against
- The tools and techniques for using Earned Value Management
The Strategic Sourcing Process
- Working to the seven phases
- Generate the supplier portfolio
- Determine the implementation path
- Selection of strategic suppliers
- Integration of the strategic suppliers
Strategic Cost Management
- Principle of cost management in procurement
- Whole life costing
- Total cost of ownership
- Target costing and analysing prices
- Should cost analysis
Identifying and Managing Risks
- Determination of the risk involved in the global supply chain
- Practical risk identification and assessment
- Proactive risk management
- Effective risk migration strategies
- Dealing with challenging situations in the supply chain