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Elements and Performance Criteria

  1. Establish procurement system context.
  2. Define strategic procurement directions.
  3. Evaluate and improve procurement performance.

Required Skills

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

Required skills

communication skills to negotiate procurement arrangements obtain feedback and consult with clients

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

evaluation skills to analyse risk market trends and factors and to 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

management skills to plan strategic procurement directions achieve an improved procurement system and make decisions about procurement processes

organisational skills to manage procurement system development and determine appropriate timeframes

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 and planning and professionalism

limitations of work role responsibility and professional abilities

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

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

strategic management principles and practices

strategic planning

tendering and contracting processes including a range of contractual arrangements

user needs and requirements for facilities

wholeoflife 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 managing the development of a procurement system 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

interpreting and applying applicable legal ethical and organisational requirements

developing strategic procurement plan and defining the strategic procurement direction ensuring opportunities and current or emerging trends are reflected

establishing strategic procurement context by analysing supply markets and organisational environment and capability and recommending improvements to structures and systems

knowledge of organisations practices ethical standards and legislative requirements associated with managing the development of a facilities procurement system

reviewing facilities procurement system against set criteria and implementing improvements to procurement processes as required

Context of and specific resources for assessment

Resource implications for assessment include

a registered provider of assessment services

competency standards

assessment materials and tools

suitable assessment venue and equipment

workplace documentation

candidate special requirements

cost and time considerations

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 may include:

common use contracts

facilities management

franchising

gainsharing and open book

incentive contracting

leasing and buying

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.

Context may include:

competitive

cultural

financial

legal aspects of organisational functions

operational

political

social.

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.

Environment may relate to:

competitors

contract and tender arrangements

environmental issues, such as water, noise and air

financial and supply markets

leasing and tenanting arrangements or prospects

market share

neighbours

property and facilities stakeholders

situational issues

size, location and nature of facilities

stability of property or facilities, industry and market

suppliers.

Analysis:

may be:

explorative, descriptive, causative or predictive

quantitative and qualitative

may include:

basic statistical analysis

critical analysis

mathematical calculations

problem solving.

Relevant people may include:

agents

clients and stakeholders

company directors

governing body

government personnel

legal representatives

management and colleagues

members of industry associations

property or facilities owners and managers

technical experts.

Procurement direction may be influenced by:

Australian industry involvement requirements

client and stakeholder needs and intentions

disposal of assets

end user requirements

government policies

industry development requirements

potential provider and supplier base.

Consultative processes may include:

face-to-face meetings

telephone, facsimile and written communication.

Procurement processes may include:

advertisement

complying and non-complying tendering

direct appointments

open quotations

register of suppliers.

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.

Specialist advice may be sought from:

clients and stakeholders

company directors

governing body

legal, functional and technical experts

management and colleagues.

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.

Strategies to improve may be assessed for:

ability to add value

ability to improve client satisfaction

cost-effectiveness

degree of client or management support

ease of implementation

practicality

viability.