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Elements and Performance Criteria

1. Plan for category management
   • Identify and assess organisational structures and business requirements from corporate planning documents in the context of suitability to adopt category management approaches for procurement and contract management.
   • Develop and use effective communication strategies to engage with internal, external and market stakeholders about category management approaches, product and/or services to be category managed and market and supply chain conditions.
   • Develop a category management plan based on category management principles for each category to be managed that includes outcome based, transparent and manageable performance metrics for category managed items and services.
   • Obtain senior management approval for the category management plan.
   • Develop outcome based processes and guidelines to support category management.
   • Identify staff skills and training and development opportunities related to category management and incorporate these into professional development plans.
   • Identify and interrogate organisational Enterprise Resource Planning (ERP) and document management systems in order to gather and analyse data pertaining to the level of spend on various procurement types.
2. Define categories
   • Identify and analyse current procurement options adopted by the organisation and other procurement options that are available in the marketplace.
   • Identify market, procurement and contract management trends, opportunities and risks relevant to categories.
   • Identify and engage relevant internal stakeholders to assist in defining categories.
   • Define procurement categories using a recognised basis.
   • Identify and implement appropriate systems to support category and contract managers.
3. Implement category management
   • Develop market strategies for categories and act on them as appropriate to the organisation.
   • Implement the category management plan.
   • Implement strategies to manage and maintain productive relationships with identified suppliers.
   • Resolve operational issues raised by contract users and suppliers.
   • Capture and analyse data from a range of sources about the category performance against the performance metrics on a regular basis and report category performance to appropriate corporate systems.
   • Regularly review buying organisation, industry and market category positions to identify trends, opportunities and risks and adjust direction as indicated by the results of the review.
4. Review category management
   • Review and monitor performance metrics on a regular basis to ensure efficiency and effectiveness is achieved and maintained in category management processes.
   • Consult appropriately with stakeholders, provide performance feedback and recommend corrective or improvement actions as necessary.
   • Monitor buying organisation, industry and market performance and ensure organisational strategies are modified where appropriate.
   • Monitor staff skills and provide appropriate skilling upgrades.
5. Plan for category management
   • Identify and assess organisational structures and business requirements from corporate planning documents in the context of suitability to adopt category management approaches for procurement and contract management.
   • Develop and use effective communication strategies to engage with internal, external and market stakeholders about category management approaches, product and/or services to be category managed and market and supply chain conditions.
   • Develop a category management plan based on category management principles for each category to be managed that includes outcome based, transparent and manageable performance metrics for category managed items and services.
   • Obtain senior management approval for the category management plan.
   • Develop outcome based processes and guidelines to support category management.
   • Identify staff skills and training and development opportunities related to category management and incorporate these into professional development plans.
   • Identify and interrogate organisational Enterprise Resource Planning (ERP) and document management systems in order to gather and analyse data pertaining to the level of spend on various procurement types.
6. Define categories
   • Identify and analyse current procurement options adopted by the organisation and other procurement options that are available in the marketplace.
   • Identify market, procurement and contract management trends, opportunities and risks relevant to categories.
   • Identify and engage relevant internal stakeholders to assist in defining categories.
   • Define procurement categories using a recognised basis.
   • Identify and implement appropriate systems to support category and contract managers.
7. Implement category management
   • Develop market strategies for categories and act on them as appropriate to the organisation.
   • Implement the category management plan.
   • Implement strategies to manage and maintain productive relationships with identified suppliers.
   • Resolve operational issues raised by contract users and suppliers.
   • Capture and analyse data from a range of sources about the category performance against the performance metrics on a regular basis and report category performance to appropriate corporate systems.
   • Regularly review buying organisation, industry and market category positions to identify trends, opportunities and risks and adjust direction as indicated by the results of the review.
8. Review category management
   • Review and monitor performance metrics on a regular basis to ensure efficiency and effectiveness is achieved and maintained in category management processes.
   • Consult appropriately with stakeholders, provide performance feedback and recommend corrective or improvement actions as necessary.
   • Monitor buying organisation, industry and market performance and ensure organisational strategies are modified where appropriate.
   • Monitor staff skills and provide appropriate skilling upgrades.

Performance Evidence

Evidence required to demonstrate competence must satisfy all of the requirements of the elements and performance criteria. If not otherwise specified the candidate must demonstrate evidence of performance of the following on at least one occasion.

developing a business case

interpreting and applying complex documents, including contracts, legislation and policy guidelines

gather and analyse organisational data, market data and stakeholder requirements

identifying, analysing and predicting trends

planning, monitoring and implementing change management strategies

modelling effective team management approaches

supporting professional development and learning in team members

responding to and managing issues that arise

interrogating corporate systems to obtain data

analysing complex supply chains to identify risk, vulnerability and legality

developing effective performance measurement metrics

documenting procurement planning decisions and anticipated outcomes

managing and updating procurement plans and sub-plans in line with organisational, strategic and budget planning documents

applying complex strategies to develop organisational plans, including corporate, budget and procurement plans and sub plans

maintaining currency of best practice models relevant to procurement, contracting, logistics and enterprise market management and legislation, regulation, policy, government agreements and relevant legal decisions

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Knowledge Evidence

Evidence required to demonstrate competence must satisfy all of the requirements of the elements and performance criteria. If not otherwise specified the depth of knowledge demonstrated must be appropriate to the job context of the candidate.

Commonwealth, state and/or territory, or local government legislation, regulation, policies, practices, procedures and guidelines in relation to procurement and financial management

international treaties relevant to trade and procurement practices

government and inter-governmental policy and agreements in relation to procurement practices

principles and practices associated with Corporate Social Responsibility (CSR), sustainability and environmental issues as applicable to procurement and market behaviours

research and analysis as applied to complex outcomes, trends and predictions of markets and procurement changes

codes of conduct, codes of practice and standards of individual behaviour relating to procurement decisions

micro and macro-economic issues applicable to market behaviours and the impact of procurement

legal issues and determinations impacting on procurement

implications for the organisation and for the market (suppliers) of key procurement strategies and/or arrangements

whole of life costing considerations and value for money

financial, costing and accounting issues relevant to procurement and contracts

cultural issues relevant to procurement and industry development in specific markets or market sectors

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