Introduction
The development and implementation of strategies for acquiring materials, goods, equipment, and services are critical for reducing costs and improving quality and productivity. This program explores procurement and supply chain management concepts, covering current challenges and best practices. Participants will learn how to develop high-performance purchasing and supply chain organizations through practical skills, strategic decision-making, and effective management of cost, time, and material movement.
Objectives
By the end of this program, participants will:
- Understand strategic procurement principles.
- Learn best practices in procurement and supply chain management.
- Apply techniques for cost control, time management, and effective material movement.
- Develop a functional and cross-functional view of the supply chain.
- Consider and implement Key Performance Indicators (KPIs) for success.
Target Audience
This program is designed for:
- Procurement Managers and Professionals
- Supply Chain Managers
- Logistics Managers
- Operations Managers
- Business Analysts focused on supply chain optimization
- Executives and Senior Managers involved in strategic decision-making for supply chain and procurement functions
- Purchasing Specialists looking to improve procurement processes and supplier management
- Anyone interested in enhancing their skills in procurement, logistics, and supply chain management
Ideal for professionals looking to optimize their organization’s supply chain and improve procurement performance through practical, strategic approaches
Course Outline
MODULE I - Procurement Best Practices
Day 1: Seeing Procurement as a Dynamic, Interactive System
- System Approach vs. Traditional Functional Approach
- Goal of Procurement
- Developing the Strategic Procurement Plan
- Overview of the Procurement Process
- Procurement’s Role in the Supply Chain
Day 2: Developing Strategic Procurement Decisions
- Make/Buy Decision
- Vertical Integration
- Alliances and Partnerships
- Supplier Strategy and Coordination
- The Purchasing Organization
Day 3: Implementing Tactical Procurement Decisions
- Supplier Involvement and Value Analysis
- Quality Assurance and Supplier Selection
- Supplier Rating and Ranking
- Contract Management
- IT Systems and e-Procurement
- Procurement Policies and Staffing
Day 4: Dealing with Operational Procurement Decisions
- Ordering Process Selection
- Addressing Quality Issues
- Expediting Orders
- The Payment Process
- Reducing Costs with Small Value Purchase Orders
Day 5: Contingency Procurement Decisions
- Contingency Situations and Management
- Procurement Performance Measurement
- Spend Analysis
- Total Cost of Ownership
- Supplier Performance Measurement
MODULE II - Logistics & Supply Chain Management
Day 6: Understanding Logistics and Supply Chain
- Definitions of Logistics and Supply Chain Management
- Interrelations of Buying, Making, Moving, and Selling
- History and Development of Supply Chain
- Supply Chain Dynamics and SCOR Models
- The Theory of Constraints (TOC)
Day 7: Key Aspects and Rules of Supply Chain Management
- Cost/Service Balance
- Customer Service Principles
- Inventory Management and Lead Times
- Adding Value and Production Options
- Understanding Trade-off Opportunities
Day 8: Adopting a Supply Chain Approach
- Sub-functional Conflicts
- Benefits of Supply Chain Integration
- Competitive Advantage from the Supply Chain
- Demand Amplification (Forrester Effect)
- Managing Uncertainty and Unresponsiveness
- Changing the Way We Manage Supply Chains
Day 9: Strategic Approaches to Supplier/Customer Relationships
- Effects on Lot Sizes and Order Quantities
- Reducing Costs and Sharing Developments
- Collaboration and Integration Strategies
- Business Strategies and Supply Chain Planning
- Approaches: Quick Response (QR), Vendor Managed Inventory (VMI), and CPFR
- The Lean Supply Chain
Day 10: Making Supply Chain Improvements
- Case Studies (Manufacturing and Retail)
- Lessons from the Oil and Gas Sector
- Changes Needed with Suppliers, Customers, and Internal Practices
- Addressing Higher Stock Levels and Competition Gains
- A 5-Step Approach to Logistics and Supplier Development
- The Supply Chain Rules for Gaining Competitive Advantage
