Assessor Resource

SIRXINV006A
Develop purchasing strategies

Assessment tool

Version 1.0
Issue Date: March 2024


This unit focuses on working with businesses in the supply chain that provide products and services required by a business to meet operational and customer requirements.

This unit describes the performance outcomes, skills and knowledge required to develop and evaluate the systems, policy and procedures necessary to manage purchasing and procurement activities.

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

Prerequisites

Nil


Employability Skills

The required outcomes described in this unit contain applicable facets of employability skills. The Employability Skills Summary of the qualification in which this unit is packaged will assist in identifying employability skills requirements.




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, the range statement and the Assessment Guidelines for this Training Package.

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

Evidence of the following is essential:

development of purchasing strategies to deliver business outcomes in consultation with suppliers

effective evaluation and ongoing development of a purchasing strategy

development and implementation of formal policy and procedures to apply and support legally compliant purchasing strategies within a business.

Context of and specific resources for assessment

Assessment must ensure access to:

a wholesale or retail work environment

relevant information and documentation, including:

formal policy and procedures

relevant legislation and statutory requirements

industry codes of practice

merchandise and supplier data.

Methods of assessment

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

observation of performance in the workplace

third-party reports from a supervisor

a case study

written or verbal questioning to assess knowledge and understanding

review of portfolios of evidence and third-party workplace reports of on-the-job performance.

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

Assessing employability skills

Employability skills are integral to effective performance in the workplace and are broadly consistent across industry sectors. How these skills are applied varies between occupations and qualifications due to the different work functions and contexts.

Employability skills embedded in this unit should be assessed holistically in the context of the job role and with other relevant units that make up the skill set or qualification.


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.

This section describes the essential skills and knowledge and their level, required for this unit.

The following skills must be assessed as part of this unit:

develop strategies to maximise efficiency of input

use written forms of communication effectively

complete consultation to generate effective purchasing strategies

plan workload with a strong focus on attainment of planned outcomes.

The following knowledge must be assessed as part of this unit:

relationships with stakeholders and market

formal policy and procedures in regard to:

purchase and supply relationships

processing purchases

interaction with customers and suppliers

resource management

quality control

OHS

benchmarks for efficiency of supplier relationships

communication and data exchange interfaces with suppliers

legal relationship arrangements with suppliers to facilitate identification and resolution of problems and enquiries

relevant legal, administrative and business supply requirements.

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 in the performance criteria is detailed below.

Policy and procedures may relate to:

purchase and supply relationships

processing purchases

interaction with customers and suppliers

resource management

quality control.

Procurement or purchasing activities may include:

requisitions

tenders

competitive bids

production schedules

electronic data interchange (EDI)

just in time

ordering

bills of materials

stock and supply agreements.

Methods for requesting and receiving supply may include:

quotations

public offers

contracts

expressions of interest

requested proposals

open or restricted tendering and contracting

request for proposal

request for quotation

request for tender

request for offer

direct purchases using existing supply agreements such as standing offers

common-use arrangements

direct purchase from retail or wholesale outlets

e-commerce.

Purchase systems may be:

manual

electronic

automated.

Communication and data exchange systems may include:

electronic data exchange

telephone

fax

email

letter

face-to-face.

Input processes may include:

checking and receiving incoming stock

processes to report problems with deliveries

recording incoming inventory

pricing, labelling and storage of inventory

quality control policy and procedures.

Resource management may relate to:

people

materials

equipment and technology

budget

time.

Value adding determinants may include:

appropriateness

warranties and post-purchase support

price

timeliness of supply

variation from supply specification

supplier relationships.

Legal agreements may relate to:

licence, patent or copyright arrangements

pricing agreements.

Purchasing and supply arrangements may include:

price

quality

supply reliability

merchandise.

Relevant legislation may include:

industry codes of practice

transport, storage and handling of goods

sale of second-hand goods

Trade Practices and Fair Trading Acts

pricing procedures, including GST requirements.

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
Develop policy and procedures for management of purchasing and procurement activities. 
Develop formal policy and procedures for processing purchases, including methods for requesting and receiving supply. 
Establish benchmarks for measuring efficiency of purchase systems and suppliers of purchased products and services. 
Develop communication and data exchange systems with product and service suppliers. 
Devise strategies to maximise efficiency and effectiveness of input processes to the business. 
Analyse effectiveness of assets and resource management within the purchasing system. 
Set value adding determinants for each purchase. 
Investigate inconsistencies or non-conformance of purchasing with legal agreements. 
Investigate and resolve inconsistencies or non-conformance of purchasing and supply arrangements with formal policy and procedures and relevant legislation. 

Forms

Assessment Cover Sheet

SIRXINV006A - Develop purchasing strategies
Assessment task 1: [title]

Student name:

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

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Result: Competent Not yet competent

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Assessment Record Sheet

SIRXINV006A - Develop purchasing strategies

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

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Signature:

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Student signature:

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