Course content

1. Purchasing definitions and scope of purchasing
2. Role of Purchasing in the value chain
3. Purchasing processes
4. Purchasing strategy and strategic purchasing
5. Category management
6. Types of purchasing and supply organizations and structures
7. Contract strategy and contracts management
8. Negotiation strategy and tactics
9. Different types of sourcing types and their application.
10. Public procurement & Competitive bidding processes
11. Supplier positioning tools and supplier preferencing models
12. Buyer-supplier interface management
13. Green/ sustainable purchasing

Learning outcome

In this course the students shall learn about the basic theory, tools and techniques of finding the right suppliers of goods and services which organizations need for their business operations and how best to maintain the right relationships with suppliers.

To do the above they will have knowledge :
• To understand the role of purchasing in value creation process of the organization
• To understand the importance of effective supplier management in the competitive advantage of an organization
• To understand the sourcing tactics used in organizations to get the price and quality from suppliers.

Skills:
• To apply different tools and techniques in the purchasing process to arrive at an optimal purchasing decision.
• To be able develop supplier evaluation criteria for use in competitive tendering for public contracts.
• To be able to develop negotiation strategies and applies one or more negotiation tools like BATNA, ZOPA, MDO, LAA etc into a negotiation. process.

Competences
• Have a basic understanding of the impact of purchasing decisions in business operations
• Have a good understanding of why maintaining good supplier relationships is good for an organization
• Reflect on the importance of good contract design and management in the purchasing process

Learning methods and activities

Lectures, group assignments, practical exercises & assignments

Further on evaluation

A mandantory Assignment(40%) and Written Exam (60%)

Specific conditions

Recommended previous knowledge

SMF1200 logistics management

Course materials

Main coursebook title: Purchasing and supply chain management: Analysis, strategy, planning and practice. Cengage Learning EMEA
Author: Van Weele, Arjan J.

Credit reductions