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Elements and Performance Criteria

  1. Determine procurement system requirements.
  2. Organise support processes.
  3. Implement procurement system.
  4. Review procurement system.

Required Skills

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

Required skills

communication skills to discuss and confirm procurement arrangements obtain feedback and liaise with suppliers

computing skills to access the internet and web pages prepare and complete online forms lodge electronic documents and search online databases

evaluation skills to assess risk analyse supply market and review procurement system

interpersonal skills to relate to people from a range of social cultural and ethnic backgrounds and varying physical and mental abilities

literacy skills to interpret written and oral information

organisational skills to schedule activities and determine appropriate timeframes

research skills to source and identify market factors that may affect procurement and to source relevant documentation

technology skills to maintain a database of information about suppliers and prepare reports and recommendations

Required knowledge and understanding

benefits and risks of a range of procurement options such as lease purchase sale and leaseback and term contract

best practice procurement principles

implications of warranties guarantees and exclusions

key principles of procurement including value for money open and effective competition accountability and recording ethics and fair dealing planning and professionalism

limitations of work role responsibility and professional abilities

organisations policies and procedures for employment or tendering of services and procurement

relevant Australian standards

relevant federal and state or territory legislation and local government regulations related to

antidiscrimination

consumer protection

environmental issues

equal employment opportunity EEO

financial probity

franchise and business structures

industrial relations

OHS

privacy

property sales leasing and management

risk management strategies relating to managing suppliers

tendering and contracting processes including a range of contractual arrangements

user needs and requirements for facilities

whole of life costing and pricequality relationship issues

Evidence Required

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

Overview of assessment

This unit of competency could be assessed through practical demonstration of coordinating a purchasing system for goods and services Targeted written including alternative formats where necessary or verbal questioning to assess the candidates underpinning knowledge would provide additional supporting evidence of competence The demonstration and questioning would include collecting evidence of the candidates knowledge and application of ethical standards and relevant federal and state or territory legislation and regulations This assessment may be carried out in a simulated or workplace environment

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

A person who demonstrates competency in this unit must be able to provide evidence of

determining procurement system requirements and objectives by interpreting relevant documentation and analysing supply market factors and quality assurance goals and strategies

implementing procurement system within agreed timeframes and reviewing subplans to ensure implementation complies with procurement system objectives

knowledge of organisations practices ethical standards and legislative requirements associated with coordinating a purchasing system for goods and services

using appropriate communication channels to identify roles time lines and reporting arrangements to support implementation of procurement system

using established evaluation methods to review procurement system processes and outcomes and incorporating recommendations for improvement

Context of and specific resources for assessment

Resource implications for assessment include

a registered provider of assessment services

assessment materials and tools

candidate special requirements

competency standards

cost and time considerations

suitable assessment venue and equipment

workplace documentation

Where applicable physical resources should include equipment modified for people with disabilities

Access must be provided to appropriate learning andor assessment support when required

Assessment processes and techniques must be culturally appropriate and appropriate to the language and literacy capacity of the candidate and the work being performed

Validity and sufficiency of evidence require that

competency will need to be demonstrated over a period of time reflecting the scope of the role and the practical requirements of the workplace

where the assessment is part of a structured learning experience the evidence collected must relate to a number of performances assessed at different points in time and separated by further learning and practice with a decision of competence only taken at the point when the assessor has complete confidence in the persons competence

all assessment that is part of a structured learning experience must include a combination of direct indirect and supplementary evidence

where assessment is for the purpose of recognition RCCRPL the evidence provided will need to be current and show that it represents competency demonstrated over a period of time

assessment can be through simulated projectbased activity and must include evidence relating to each of the elements in this unit

In all cases activity and must include evidence relating to each of the where practical assessment is used it will be combined with targeted questioning to assess the underpinning knowledge Questioning will be undertaken in such a manner as is appropriate to the language and literacy levels of the candidate and any cultural issues that may affect responses to the questions and will reflect the requirements of the competency and the work being performed


Range Statement

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. Add any 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.

Procurement system may include:

buying

common use contracts

facilities management

franchising

gainsharing and open book

incentive contracting

leasing

maintenance and support arrangements

pre-qualification of suppliers

prime contractor and subcontractor

research and development

short-term or long-term arrangements

sole or multiple suppliers

standard form agreements

standing orders.

Relevant people may include:

agents

clients

government personnel

legal representatives

management and colleagues

members of industry associations

property or facility owners and managers

technical experts

tenants.

Organisational requirements may be outlined and reflected in:

access and equity principles and practice guidelines

business and performance plans

complaint and dispute resolution procedures

goals, objectives, plans, systems and processes

legal and ethical requirements and codes of practice

mission statements and strategic plans

OHS policies, procedures and programs

policies and procedures in relation to client service

quality and continuous improvement processes and standards

quality assurance and procedure manuals.

Legislative requirements may be outlined and reflected in:

Australian standards

general duty of care to clients

home building requirements

privacy requirements

relevant federal, and state or territory legislation that affects organisational operation, including:

anti-discrimination and diversity

environmental issues

EEO

industrial relations

OHS

relevant industry codes of practice covering the market sector and industry, financial transactions, taxation, environment, construction, land use, native title, zoning, utilities use (water, gas and electricity), and contract or common law

strata, community and company titles

tenancy agreements

trade practices laws and guidelines.

Relevant documentation may relate to:

budgets and operating costs

contracts and tender documentation

facility and asset management plans

goods and services

legal documentation

maintenance plans and strategies

management policy and procedures

organisational and business strategic plans and sub-plans

procurement guidelines, practices and policies

property drawings

quotations and invoices

register of suppliers

tenancy and other contracts.

Quality assurance goals and strategies may include:

a formal structure against which progress can be evaluated

budgets and timetables that enable the commitment of resources at appropriate stages

compliance with Australian standards

contingency plans to cater for a change of corporate focus or significant resource difficulties

continuous improvement strategies

mechanisms for involving a wide variety of interested parties or stakeholders

procedures for monitoring and evaluating procurement requirements and client satisfaction

reducing risk by anticipating, evaluating and developing strategies for the management of possible problems

reporting procedures and protocols.

Performance measures:

may include:

quantitative and qualitative assessments

may be:

financial and non-financial

statistical and non-statistical.

Analysis:

may be:

explorative, descriptive, causative or predictive

quantitative and qualitative

may include:

basic statistical analysis

critical analysis

mathematical calculations

problem solving.

Procurement processes may include:

advertisement

complying and non-complying tendering

direct appointments

open quotations

register of suppliers.

Factors that may affect procurement processes and decisions may relate to:

budgetary constraints

collaborative arrangements

environmental issues

factors and conditions affecting supply

industry involvement requirements

leasing instead of up-front capital investment

level of risk, complexity and sensitivity

political imperatives and strategies

potential impact of intended contracting activity

strategic and tactical issues

supply market capacity, structure, maturity and strength.

Risks may relate to:

changes to regulations and legislation

client and staff satisfaction

competition

contracts and tenders

emergencies and disasters

fire and security

health and safety

market influences

physical, financial or human resources

project control and cash flow

suppliers and contractors

time constraints.

Targets and milestones may include:

agreed reporting requirements

completion of key tasks and project phases

measurement and achievement of set outcomes

progress reports.

Communication channels may include:

direct line supervision paths

lateral supervision paths

organisational communication protocols and procedures

organisational networks.

Feedback may include:

formal and informal discussions, reviews and evaluations with:

existing and previous clients

peers, colleagues and managers

information provided by others involved in a professional capacity, both internal and external to the organisation.

Roles and responsibilities may be influenced by:

codes of conduct

job description and employment arrangements

organisational policy relevant to work role

skills, training and competencies

supervision and accountability requirements, including OHS

team structures.

Sub-plans may relate to:

bid evaluation

communication and public relations

contingency

contract negotiation

contract review

disposal

environment issues

human resource management

industry policy

market evaluation

risk management.

Business equipment and technology may include:

computers

data storage devices

email

facsimile machines

internet, extranet and intranet

printers and photocopiers

scanners

software applications, such as databases and word applications.

Specialist advice may be sought from:

agents

authorised delegations

clients

legal, functional and technical experts

managers.

Evaluation methods could be qualitative or quantitative and may include:

checklists

cost data analysis

expert and peer review

interviews

observation

questionnaires

review of quality assurance data.

Opportunities for improvement may be assessed for:

ability to add value

ability to improve customer satisfaction

cost-effectiveness

degree of management support

ease of implementation

practicality

viability.

Information may relate to:

budgets and operating costs

current and planned property or site developments

facility and asset management plans

legal documentation

maintenance plans and strategies

management policy and procedures

property drawings

relevant project contracts

services

sub-plans

tenancy and other contracts.