Google Links

Follow the links below to find material targeted to the unit's elements, performance criteria, required skills and knowledge

Elements and Performance Criteria

1. Establish contractual arrangements
   • Specifications for the delivery of goods and/or services are documented and agreed
   • Criteria for selection of suppliers are developed and documented
   • Potential suppliers are identified and assessed against selection criteria
   • Supply contracts are documented and agreed by the parties
   • Contingency plans are developed in the event of supplier failure to deliver
2. Administer and evaluate delivery of goods and/or services against agreements
   • The quality of goods and services supplied is assessed against specifications
   • Non-compliance is identified, documented and corrective action is implemented within the terms of contractual arrangements
   • Relationships with suppliers are managed to support effective delivery
   • Vendor agreements are reviewed and renegotiated as required to ensure timely delivery and cost-effective supply of quality goods and services

Required Skills

Required skills

Ability to identify the system in place to support management of supplier relationships agreements and contracts including goods and services specifications existing vendor agreements and contracts traceability systems and procedures receivals procedures invoicing system and related documentation and where required identify existing system features andor identifysystem requirements and develop appropriate system components identify andor develop criteria for selection of suppliers the criteria should reflect the companys approach to supply chain management and take account of existing procurement policies including any preferred supplier arrangements as well as historical experience with suppliers identify current and potential suppliers with the capacity to meet supplier criteria establish a contingency supply plan in the event of failure to deliver within the terms of the agreement identify andor develop a goodsservice agreement to address company requirements identify andor establish procedures to negotiate the terms of the agreement with the supplier within level of responsibility identify andor establish procedures to receive and evaluate goodsservices against agreed criteria including procedures for responding where goodsservices are not within specification within level of authority identify andor establish recording and communication systems to document contract compliance issues monitor that contractors working onsite are inducted and aware of their roles and responsibilities according to enterprise procedures use communication skills to interpret and complete work information to support operations of work team or area demonstrate and support cooperative work practices within a culturally diverse workforce

Required knowledge

Knowledge of approaches to supply chain management including customerled models such as efficient consumer response ECR the contrast between independent company operations versus chain partnership arrangements and the implications of a supply chain approach for the nature of the relationships between the company and its suppliers including level of information sharing and cooperation the companys approach to supply chain management and related systems and documentation in place to support internal management and supplier relationship management including levels of authority appropriate technical knowledge to determine capacity of a supplier to deliver and to assess quality of goodsservice supplied this may be addressed by identifying relevant technical expertise such as a qualitylaboratory function legal rights and responsibilities of both the company and the supplier the role of benchmarking in determining appropriate criteria for supplier selection and contract management appropriate measures of contract delivery and relative importanceweighting given by the company induction and duty of care responsibilities for contractors working onsite where relevant

Evidence Required

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	Assessment must be carried out in a manner that recognises the cultural and literacy requirements of the assessee and is appropriate to the work performed Competence in this unit must be achieved in accordance with food safety standards and regulations
Critical aspects for assessment and evidence required to demonstrate competency in this unit	Evidence of ability to determine resource requirements for work area establish contractual conditions and determine most suitable supplier monitor supply against agreements and contracts and promptly identify and act on variances establish supply contingencies maintain relationships with suppliers to support service
Context of and specific resources for assessment	Assessment must occur in a real or simulated workplace where the assessee has access to workplace procurement policies and related documentation and systems relevant legislation codes of practice and agreements access to suppliers of goods and services information management systems including planning recording and reporting systems technical support and advice as appropriate
Method of assessment	This unit should be assessed together with core units and other units of competency relevant to the function or work role
Guidance information for assessment	To ensure consistency in ones performance competency should be demonstrated on more than one occasion over a period of time in order to cover a variety of circumstances cases and responsibilities and where possible over a number of assessment activities

---

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, 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.
Service agreements	Service agreements are consistent with company policy objectives, legislative requirements, industry standards, codes and guidelines, industrial awards and agreements

---