Purchasing & Supply Management

Course Contents:

• An intermediate course designed to provide a solid level of education and training to professional buyers and materials managers. This thorough diploma will provide in-depth knowledge of the complete purchasing and supply functions at an intermediate and advanced level.

• Instruction is highly participative, with the emphasis on case studies and group work.

• Our Training Facilitators are experienced senior managers within the purchasing profession.

Duration

• 5 days full-time (weekdays) or 12 weeks part-time (Saturday mornings) or 2-12 months by correspondence. The average learner will need approximately 145 hours consisting of 48 hours of tuition and 97 hours for readings and assignments, to successfully complete the diploma.

Assessment

• 12 written assignments (one following the completion of each learning module) and 1 final written examination or job-related report.

Accreditation

• This programme is a short course aligned with the  latest  industry standards and protocols. Successful learners will be issued a PSM College Certificate.

Course Objectives

• Provide students with modern theory and practice of the purchasing and supply function.

• Develop an awareness of the policies and procedures involved in purchasing and supply management.

• Stress the importance of professional purchasing and the magnitude of savings that can be realized.

Course Content

• Introduction To Purchasing: The importance of the purchasing function; profit making potential of purchasing; the scope & role of purchasing; the components of total cost & improvement decision; the materials management concept.

• Organization Of Purchasing: Responsibilities & objectives of the purchasing function; department organization; purchasing & inter-departmental relationships, typical purchasing job description; centralization & decentralization.

• Purchasing Principles: Concept of ethics; standards and considerations; purchasing obligations; buyer-seller relationships, gifts gratuities and entertainment; reciprocal trading.

• Purchasing Policies & Procedures: Establishing basic purchasing policies; definition and use of purchasing procedures; purchasing policies and procedure manuals.

• Supplier Evaluation Techniques: Objectives; supplier selection; supplier visits; evaluating suppliers; rating systems; single versus multiple sourcing.

• Supplier Quality Assurances: Definition of quality; quality specifications; departmental responsibilities for quality control; ISO 9000 quality assurance programmes.

• Legal Aspects Of Purchasing: General principles of the law of contract; legal aspects of a contract of sale; purchase order and contracts; purchase terms and conditions; purchasing; the company and the law.

• Negotiation: Definition of negotiation: communication; negotiation objectives, when to negotiate; buyer’s role in negotiation; techniques of negotiation; the marketing side of negotiation.

• Price Determination: Economic consideration, price setting methods; price related to cost; analyzing manufacturing costs, the learning curve; discounts, tender and tender analysis, contract price adjustment.

• Inventory Management: Introduction to stock control; introduction to inventory management; safety stock; re-order & service levels; how the EQ equation works; classification of stock; the choice of stock management systems.

• Purchasing Operations: Planning and budgeting of purchasing; make or buy analysis; capital equipment and leasing; value analysis/value engineering.

• Management of Purchasing: Purchasing & management interface; purchasing department records; assessing purchasing department records; assessing purchasing performance; shortages; obsolescence & inflation; purchasing & the computer; training & staff development.