Quality Dynamics Consultancy Sdn Bhd presents

Purchasing & Negotiating Effectiveness and Competencies in Supply Chains

(by Mr. Stephen Kum )

objectives

At the end of the program, participants are able to:

•    Clarifying the efficiency of the purchasing cycle and efficacy of
      the purchasing process combined.
•    Explaining the objectives and principles of a firm’s purchasing functionality
      and the impact to various departments.
•    Explaining the value engineering and value analysis principle empowering
      the purchasing cycle.
•    Familiarising the levels of negotiation planning and stages leading to the
      tactics to be deployed in purchasing.

program content

1.  Value Engineering (VE) and Value Analysis (VA) are approaches in
      improving products and processes.  Applications range from the design
      of operating systems, to the development of corporate re-engineering
      projects, to the procurement of goods and services.
      (a)  VE takes place in the design process before a products is
            in production.  VA takes place after a product has been produced.
      (b) The VE/VA techniques in demonstrating the functional relationships
            probing into the products and services costs and performances levels.
      (c)  Organising the VE/VA Process in the 3 organisational approaches
             of specialized staff, cross functional and staff training.
      (d)  The 5 generalised Procedural Model of VE/VA study road map covering
             information phase, speculation phase, analysis phase, design
             phase and evaluation phase.
 
2.  The Buyer-Seller relational factors in the Supply Chain.  The 3 different
     types of buyer-seller relationships of Transactional, Collaborative and
      Alliance.
      (a)  Advantages and Limitations of various types of Buyer-Seller relations
            and the choice of type of relations suiting best under different
            situations.
      (b)  The best practices and barriers in Supplier Development which is
            one of the most powerful approaches to World Class Supply Management,
            defined as the values and actions responsible for continuous
            improvement of the design, develop and management of a firm’s
            supply system in the global environment.

3.   The Purchasing Cycle and Process of a firm.  To procure quality material
      at a reasonable price in order to sustain the production activities. 
      A flawless design of various documents and free flow of information are
      essential for a successful purchase.
      (a)  The starting point in recognition of the need (Purchase Requisition or
            Purchase Indent) to Quotation request (Enquiry for Quotation). 
            The stage of Evaluation of Quotation and Selection of Supplier leading
            to Placement of Purchase (Purchase Order).  Ending with Receiving the
            Goods (Goods Inward Note) and Payment for Goods to the Supplier.

4.   The Purchasing Terms and Conditions pertaining to the materials
      and information flow in the purchasing process. The types of
      Tender in purchasing from Open tender, Limited tender and
      Single Tender.
      (a)  The various ways of payment terms on the provisions of twenty percent,
            eighty percent and one hundred percent allowed.
 
5.  The Definition and Objectives of Purchasing, which is a vital function of
      materials management.  Purchasing is not an end in itself.  Materials and
      supplies are purchased for use in other departments meeting their needs.
      Purchasing is deeply involved in the management of material flow
      from the outside sources down to production through the inventory
      pipeline. Right quantity and quality purchasing will not only lead to
      reduction in the production costs but the quality of production will
      also improve.
      (a)  The objectives or purchasing are to buy materials and services of
            the right quality, in the right quantity, at the right place, from
            the right source and at the right time.  The 8 basic objectives in
            general management terms from ensuring smooth operations to developing
            policies and procedures at the lowest operating cost.

6.  Principles and Methods of Purchasing pertaining to a buyer is generally
     keen in obtaining the best price consistent with quality and delivery
     requirements.  When the market conditions are stable, this does not pose
     any problems, but when is unstable, it becomes critical to decide when 
      purchases are to be made.
      (a)  The duties and responsibilities of purchase department from receiving
            purchase requisitions to purchase budgeting.
      (b)  The purchase parameters of purchase department from SWOT analysis
            probing into the 10R’s or purchasing aims.
      (c)  The phases in the purchasing decision process commencing with
            anticipation of a problem to performance feedback and evaluation.

7.  Purchasing Negotiation for Consumer and Industrial
     Products. Negotiation is a process of planning, viewing,
     analyzing and interacting between the buyers and sellers to
     arrive at a mutually acceptable agreement. True negotiation
     is not adversarial in nature.  It is resolving points of
     difference and finding an amicable solution to buyer-seller problems.
      (a)  The 3 features of negotiating principles captured in the Price of
            Industrial products, Autonomy of buyer and Relationship with
            the supplier.
      (b)  The 13 factors weakening the buyer’s negotiating position such
            as lack of time preparation and insufficient authority to close
            and agreement.
      (c)  The 10 steps in the negotiation planning of objective
            accomplishment, gather important facts, power position assessment,
            identify common interest, design systematic questionnaire, task
            definition, develop team, pre-plan concession, plan tactics and mode
            of conclusion.
      (d)  The 4 tactics in purchasing negotiations of ‘Take it or Leave it’,
            ‘Bogey impersonating’ , ‘Fuzzy regarding price’ and ‘Good guy
            bad guy image’.
      (e)  The 4 stages of purchasing negotiation from Exploration, Reflection,
            Actual negotiating and Closing.
      (f)  The Ethical Code from the IFPMM code of conduct comprising Precepts
            and Guidance guidelines.

methodology

Usage of lectures, case study, role play and group assignment in
reinforcing the course learning points.

who must attend

For all personnel in Procurement, Purchasing, Finance, Supply Chain,
Materials Planning and Requisition.

investment fee / early bird by 16/05/2012

Standard: RM 1,180.00 / RM 1,065.00 per participant

Group discount: RM 1,130.00 / RM 995.00 per participant for a minimum of 2 participants from the same company

(Fee inclusive of Refreshment, Buffet Lunch, Training Bag, Handouts,  & Certificate of Completion)

registration & payment

PROGRAMS ARE CLAIMABLE UNDER SBL SCHEME

Please register online through www.qdc.com.my or call 03-78054587 / 03-78044196. Our phone line operation hours are from 8:30am to 6:00pm from Monday to Friday.

All registration MUST be accompanied with PAYMENT.

Completed registration form with CHEQUES should be made in favor of "Quality Dynamics Consultancy Sdn Bhd" and sent to:

QUALITY DYNAMICS CONSULTANCY SDN BHD
No. 343, Block A, Kelana Centre Point, No.3 Jalan SS7/19,
Kelana Jaya, 47301 Petaling Jaya,
Selangor, Malaysia.

Tel : 03-78054587 / 03-78044196
Fax: 03-78054514
E-mail: training@qdc.com.my
( Wani/ Thang )

PSMB Reg: 0938

(FEE PAID IS NOT REFUNDABLE but replacement may be made at no additional cost. Quality Dynamics Consultancy Sdn Bhd reserves the right to cancel or reschedule the above course and shall inform participants of the changes)

COURSE FACILITATOR - MR. STEPHEN KUM