Assessor Resource

BSBPUR502B
Manage supplier relationships

Assessment tool

Version 1.0
Issue Date: April 2024


This unit applies to individuals who mange the relationships with the suppliers to an organisation.

The unit is typically undertaken by a senior purchasing officer or purchasing manager. While they may work closely with other staff members in the organisation, they have individual responsibility and autonomy to establish, maintain and develop supplier relationships and resolve any disputes arising with suppliers.

Individuals undertaking this unit support the work of other employees in maintaining supplier relationships.

This unit specifies the outcomes required to manage relationships with suppliers of larger purchases or multiple smaller purchases, where the relationship is of some significance to the organisation. It covers managing purchasing agreements, resolving disagreements with suppliers, finalising agreements, and reviewing the performance of suppliers.

No licensing, legislative, regulatory or certification requirements apply to this unit at the time of endorsement.

You may want to include more information here about the target group and the purpose of the assessments (eg formative, summative, recognition)

Employability Skills

This unit contains employability skills.



Evidence Required

List the assessment methods to be used and the context and resources required for assessment. Copy and paste the relevant sections from the evidence guide below and then re-write these in plain English.

The Evidence Guide provides advice on assessment and must be read in conjunction with the performance criteria, required skills and knowledge, range statement and the Assessment Guidelines for the Training Package.

Overview of assessment

Critical aspects for assessment and evidence required to demonstrate competency in this unit

Evidence of the following is essential:

successfully managed relationships with suppliers over the life of specific purchasing agreements

resolution of a dispute with a supplier

finalisation of an agreement with a supplier

evaluation of supplier performance and formulation of recommendations about future use of supplier.

Context of and specific resources for assessment

Assessment must ensure:

access to an actual workplace or simulated environment

access to office equipment and resources

organisation's purchasing strategies and relevant purchasing records

access to organisation's policy and procedures for purchasing.

Method of assessment

A range of assessment methods should be used to assess practical skills and knowledge. The following examples are appropriate for this unit:

analysis of responses to case studies and scenarios

direct questioning combined with review of portfolios of evidence and third party workplace reports of on-the-job performance by the candidate

observation of actions taken to resolve disagreements with suppliers

oral or written questioning to assess knowledge

review of testimony from team members, colleagues, supervisors or managers

review of authenticated documents from the workplace or training environment.

Guidance information for assessment

Holistic assessment with other units relevant to the industry sector, workplace and job role is recommended, for example:

other purchasing units.

Submission Requirements

List each assessment task's title, type (eg project, observation/demonstration, essay, assingnment, checklist) and due date here

Assessment task 1: [title]      Due date:

(add new lines for each of the assessment tasks)

Assessment Tasks

Copy and paste from the following data to produce each assessment task. Write these in plain English and spell out how, when and where the task is to be carried out, under what conditions, and what resources are needed. Include guidelines about how well the candidate has to perform a task for it to be judged satisfactory.

Required skills

communication and negotiation skills to liaise with suppliers and relevant personnel and gain agreement on required performance levels

culturally appropriate communication skills to relate to people from diverse backgrounds and people with diverse abilities

literacy skills to write reports containing complex concepts.

Required knowledge

identification and overview knowledge of key provisions of relevant legislation from all levels of government that affects business operations, codes of practice and national standards, such as:

consumer protection legislation

contract law

import of goods and services, where relevant

sale of goods legislation

Trade Practices Act

methodologies to monitor, review and evaluate supplier performance

organisation's policies and procedures related to:

conduct and ethics

OHS

purchasing

tendering and contracting

product knowledge related to goods and services required by the organisation.

The range statement relates to the unit of competency as a whole. It allows for different work environments and situations that may affect performance. Bold italicised wording, if used in the performance criteria, is detailed below. Essential operating conditions that may be present with training and assessment (depending on the work situation, needs of the candidate, accessibility of the item, and local industry and regional contexts) may also be included.

Agreements may include:

all conditions applying from commencement to completion and closure of agreement

conditions set out in a contract, memorandum of understanding or other documented agreement

Risk management plans may include:

documentation of outcomes of risk analysis including occupational health and safety, and how risks are to be addressed

Relevant personnel may include:

CEOs

managers

leaders

coordinators

OHS specialists and supervisors

internal users of supplied goods and services

personnel involved in purchasing

Disagreements may include:

costs, fees and prices

delivery schedules

interpretations of specifications detailed in documents on which agreements are based

interpretations of terms and conditions detailed in agreement

quality of goods or services, including OHS performance standards

Completion of purchasing agreement may include:

after agreed number or volume of items have been supplied

at end of fixed time period

mutually-agreed time, including prior to that specified in agreement

Recommendations may include:

to file relevant supplier details for future reference

to renew agreement for further purchasing

to seek new sources of supply

Copy and paste from the following performance criteria to create an observation checklist for each task. When you have finished writing your assessment tool every one of these must have been addressed, preferably several times in a variety of contexts. To ensure this occurs download the assessment matrix for the unit; enter each assessment task as a column header and place check marks against each performance criteria that task addresses.

Observation Checklist

Tasks to be observed according to workplace/college/TAFE policy and procedures, relevant legislation and Codes of Practice Yes No Comments/feedback
Monitor supplier performance throughout the duration of agreements 
Identify, monitor and manage risks in risk management plans throughout the duration of agreements 
Identify and address potential and actual performance issues 
Negotiate and resolve amendments to agreements as a consequence of addressing performance issues 
Seek and obtain approval for amendments 
Communicate approved amendments to suppliers and relevant personnel 
Identify and investigate causes of disagreements with suppliers and assess heir validity 
Negotiate and resolve disagreements 
Document amendments to agreements as a consequence of the resolution of disagreements 
Seek and obtain approval for amendments 
Communicate approved amendments to suppliers and relevant personnel 
Confirm all supplier obligations as having been met prior to agreements being finalised 
Finalise purchasing agreements on completion of contract 
Document arrangements to finalise agreements 
Evaluate supplier performance against the requirements of purchasing agreements 
Inform suppliers of evaluation outcomes as required 
Make recommendations about future use of suppliers to relevant personnel 

Forms

Assessment Cover Sheet

BSBPUR502B - Manage supplier relationships
Assessment task 1: [title]

Student name:

Student ID:

I declare that the assessment tasks submitted for this unit are my own work.

Student signature:

Result: Competent Not yet competent

Feedback to student

 

 

 

 

 

 

 

 

Assessor name:

Signature:

Date:

Assessment Record Sheet

BSBPUR502B - Manage supplier relationships

Student name:

Student ID:

Assessment task 1: [title] Result: Competent Not yet competent

(add lines for each task)

Feedback to student:

 

 

 

 

 

 

 

 

Overall assessment result: Competent Not yet competent

Assessor name:

Signature:

Date:

Student signature:

Date: