Level 2 Manufacturing Production and Operations - Introduction to Purchasing - Institute of Supply Chain Management
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Level 2 Manufacturing Production and Operations – Introduction to Purchasing

10 Unit Credit Values

  • Functions of a purchasing system: Life Cycle Costing, Total Acquisition Cost Model
  • Stages of the life cycle: Planning and design, Acquisition, Storage, Use, Disposal
  • Stages of the purchasing process: Goods or service needs are identified, The goods or services are requested, The goods or services are authorised, A Purchase Order is placed with an appropriate provider, Supplier delivers goods or services, Goods or services are received, Payment is made, Order processing cycle
  • Methods used to gain information: Word of mouth, Advertising and Marketing, Company information, Sampling, SWOT analysis
  • Supplier development: Potential for partnership, Scope for development, Quantifiable outcomes
  • Selection of suppliers: Identify Needs, Investigate the Supply Market, Collect Relevant Information, Assess Options, Make Decision
  • Methods of Communication: Oral Communication, Written Communication, Nonverbal Communication (Body Language), Formal Communication, Informal Communication

The above is the unit content for the Introduction to Purchasing unit found in the Level 2 qualification. To view more units, click here and select the “Units” tab.

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