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Elements and Performance Criteria

1. Develop and document strategies for international purchasing
2. Strategic implications for international purchasing are researched and analysed
3. International market structures are researched
4. Export requirements of supplier country are researched and analysed
5. Strategies for international purchasing are drafted and submitted for approval
6. Implement international purchasing strategies
7. International purchasing strategies are communicated to relevant personnel and stakeholders
8. Support is provided to stakeholders to implement international purchasing strategies
9. Implementation of international purchasing strategies is monitored
10. Problems and issues arising from implementation of international purchasing strategies are identified and addressed
11. Undertake more complex international purchasing
12. Export markets and cultural considerations having a potential impact on international purchasing are researched and appropriate markets are chosen
13. International legal requirements on sale of goods and Australian regulatory controls applicable to imports into Australia are researched and applied as appropriate
14. Relevant Incoterms and trade terms are applied
15. Exception clauses to business conditions are drafted
16. Discrepancies are clarified and resolved to the satisfaction of all parties
17. Determine payment strategies
18. Financial risk management is analysed and available controls are implemented
19. Source and availability of funds for payment are identified
20. Currency payment methods - hedging, letters of credit, and payment by cheque upon/after shipment - are researched and analysed
21. Currency payment methods appropriate to the situation are selected
22. Expenditure phasing is planned and implemented
23. Arrange barter or countertrade
24. Strategic implications of arranging specific barter or countertrade are researched and analysed
25. Suppliers willing to engage in international barter or countertrade are determined
26. Commercial conditions for proposed barter or countertrade are negotiated, and agreement is reached with partners
27. Draft contract is prepared and legal expertise is accessed to check legality of contract agreement
28. Contracts are approved and issued
29. Determine logistics strategies
30. Requirements for pre-shipment inspection are ascertained and arrangements are made
31. Shipping and other transport risks and facilities are researched and analysed
32. Regulatory compliance requirements for importation into Australia are researched and analysed
33. Logistics strategies for the organisation are developed to take account of appropriate transport, insurance and regulatory compliance requirements
34. Approval is gained from relevant personnel for implementation of logistics strategies
35. Evaluate international purchasing strategies and implement identified improvements
36. Implementation of international purchasing strategies is reviewed
37. Improvements to international purchasing strategies are identified from the review process
38. Approval is gained to implement improvements to international purchasing strategies
39. Changes are communicated to relevant stakeholders and support is provided to implement improvements
40. Implementation of changes is monitored and reviewed to determine effectiveness of improvements

Range Statement

Range is restricted to essential operating conditions and any other variables essential to the work environment.

Non-essential conditions can be found in the Companion Volume Implementation Guide.

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Performance Evidence

Evidence required to demonstrate competence in this unit must be relevant to and satisfy all of the requirements of the elements and performance criteria on at least one occasion and include:

applying relevant legislation and workplace procedures communicating and working effectively with others when managing international purchasing completing documentation related to work activities developing, implementing, managing and evaluating international purchasing strategies modifying activities depending on operational contingencies, risk situations and environments monitoring and prioritising work activities in terms of planned schedule operating electronic communications equipment to required protocol reading and interpreting instructions, procedures, information and signs relevant to work activities reporting and/or rectifying identified problems, faults or malfunctions promptly, in accordance with regulatory requirements and workplace procedures working systematically with required attention to detail without injury to self or others, or damage to goods or equipment.

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Knowledge Evidence

Evidence required to demonstrate competence in this unit must be relevant to and satisfy all of the requirements of the elements performance criteria and include knowledge of:

agencies involved in arranging importation such as customs brokers, freight forwarders, logistics and transport companies and consultants commonwealth/state/territory government procurement guidelines contracting requirements disposals considerations equal employment opportunity, equity and diversity principles and legislation ethical issues financial and accounting issues relevant to the contract Incoterms international markets and cultural considerations relevant to purchasing in supplier countries legal aspects of negotiation legal considerations legislation, codes of practice and national standards including the Trade Practices Act, contract law, commercial law, quarantine legislation methods of payment applicable to international purchasing including barter and countertrade organisational procurement policies and practices for international purchasing procedures for accepting goods or services procurement approval processes procurement negotiation practices relevant insurance brokers and types of policies to cover risks relevant sections of national and state/ territory regulatory requirements and codes of practice relating to restrictions and prohibitions on imports requirements for completing relevant documentation source of information and assistance external to the organisation such as regulatory authorities, customs brokers, Austrade, state/territory government departments or agencies, chambers of commerce whole-of-life considerations.

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