Strategic Sourcing and Procurement Course: Processes and Skills

Management. Lift your career and your organisation.

COVID-19 update: arrangement of our courses

We are now delivering courses online and in-person. Please check the delivery format of each class before enrolling.

Please note that course materials (excluding prescribed texts) are shared electronically within 48 hours of course commencement. Printing is not available.

Procurement is a strategic function and plays an important role in the cost structure and competitiveness of small and large businesses.

Strategic sourcing and procurement skills include the management of a broad range of processes that are associated with an organisation’s aim to acquire essential goods and services needed for delivering a service a product, assembling or manufacturing a product, and generally transforming inputs to outputs. These processes include activities such as product and service sourcing, supplier selection, pricing and terms negotiation, transaction and contract management, supplier performance management and supplier sustainability issues.

By reviewing the end-to-end procurement process, you will develop the capability to identify ways in which value can be added and conversely, depleted. Risk and ethical issues will also be discussed to ensure a high quality of strategic procurement.

Aims

This course aims to:

• develop your judgement in evaluating the merit of sourcing from suppliers at a strategic level
• examine the favourable impact that strategic sourcing and early supplier involvement can have on the supply chain
• demonstrate how cross-functional category teams can be used to develop sourcing/procurement specifications
• build your proficiency in writing Requests for Quote, Requests for Proposals and Requests for Quote
• improve your negotiation skills
• enable you to effectively manage a Statement of Work/contract
• evaluate the results of your strategic sourcing and procurement decisions.

Outcomes

By the end of this course, you should be able to:

• identify the benefits that strategic sourcing offers compared to procurement
• write briefs and procurement specifications
• prepare requests for proposals, quotations and tenders, including e-procurement
• utilise a wide variety of strategic sourcing and procurement tools and techniques
• develop your negotiation skills
• undertake risk analysis and evaluate submissions
• manage contracts
• determine the total cost of procuring products and services
• work within probity and corporate social responsibility requirements when sourcing goods and services.

Content

• The scope of strategic sourcing and procurement management
• Business analysis requirements for generating strategic sourcing and procurement requirements
• Developing sourcing strategies and supplier relationships
• Using cross-functional category teams for developing sourcing criteria
• Coordination of procurement processes and evaluation - the procurement contract: design, tender, evaluation & negotiation; decision criteria, eg price, service, quality of goods, running costs, technical merit, previous experience, delivery date, cost effectiveness, quality, relevant environmental considerations, aesthetic and functional characteristics, safety, after-sales services, technical assistance and any other relevant matters
• Cost is a major factor in contracts for goods and services but there are many others such as customer service and support, delivery, selection, environmental sustainability and corporate social responsibility
• Tools and techniques for conducting the procurement process, including request for quote/proposal/tender and e-procurement systems
• Assessing the results and value for the business from strategic sourcing and procurement decisions

Intended audience

Most managers are engaged either directly or indirectly in strategic procurement, especially those engaged in tendering, procurement and probity. This can include the following job areas:

• Logistics and supply chain managers, supervisors and leads
• Member of a procurement team
• Project Managers and team members
• Procurement support officers
• Engineers
• Government tendering staff
• Lawyers assisting organisations in the tender and purchasing processes
• Board directors needing to have an understanding of strategic procurement

Delivery modes

• Face-to-face, presenter-taught workshop
• Online workshop via the platform Zoom

Delivery style

This course is interactive in its delivery and includes lectures, group exercises and discussion. There will also be a role play for developing your negotiation skills.

Materials

You will be provided with a link to download and access course materials prior to class.