Essential Skills for Procurement Management

Introduction:

This course is designed to enhance the qualifications of Procurement Professionals and Senior Buyers. It covers advanced negotiation skills, business continuity management, and contingency planning, supported by practical simulations.

The course emphasizes the strategic role of procurement departments and provides strategies for improving efficiency and reducing costs throughout the supply chain. The goal is to enhance procurement activities and ensure participants are well-prepared for industry practice.

Objectives:

At the end of this Essential Skills for Procurement Management course, participants will be able to:

• Critically assess supply strategies.
• Define concepts of activity-based costing.
• Identify current forces of change.
• Develop skills for creating rapport, building trust, and establishing credibility.
• Understand the impact of communication on workgroup dynamics and productivity.
• Learn principles of effective supplier interaction.
• Understand business continuity and contingency measures in procurement.
• Comprehend category segmentation processes.
• Plan, strategize, and conduct effective negotiations.
• Explore different negotiation approaches.
• Understand ethical standards and codes of conduct.
• Evaluate and persuade the right suppliers.

Training Methodology:

• Case Studies
• Workshops
• Role-Playing
• Group Discussions
• Simulations

Course Outline:

Unit 1: Performance Purchasing

• Buying as a precursor to organizational purchasing.
• The Supply Chain and its Effects.
• Impact of External Environment.
• Purchasing Departments and Processes.
• Strategies for Critical Supply.
• Category Segmentation Process.

Unit 2: The Supplier Relationship

• Understanding Supplier Relationship Management.
• Specifications and End Users.
• Supplier Criteria Assessment and Selection Methods.
• Total Cost Approach.
• Responsibilities in Building Supplier Relationships.
• Effective Customer Practices.
• Importance of Communication, Trust, and Credibility.
• Managing Fewer, Better Suppliers.

Unit 3: Advanced Negotiation Skills

• Avoiding Confrontational Negotiation Approaches.
• Importance of Active Listening.
• Handling Angry Negotiators.
• Techniques for Back Door Selling.
• Power Closes from Buyer’s Perspective.
• Understanding Negotiator Power and Pressure Points.
• Strategies and Counter Strategies for Negotiation.

Unit 4: Leadership Skills for Procurement Personnel

• Verbal, Nonverbal, and Written Communication.
• Efficient Work through Technology.
• Building Trust and Openness in Communication.
• Understanding Behavioral and Emotional Responses to Change.
• Analyzing Reactions to Change.

Unit 5: Advancing Procurement Contribution

• Attracting and Retaining Supply Management Talent.
• Supplier Evaluation and Scorecards.
• Developing and Implementing Performance-Based Contracts.
• Creating Action Plans.
• Continuity of Business Operations and Contingency Planning.
• Understanding Activity-Based Management.
• Managing Price, Cost, and Value.
• Enhancing Financial Management through Advanced Procurement.