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Elements and Performance Criteria

1. Determine fundamental aspects
   • Status of fundamental aspects of the supply chain are verified
2. Key Performance Indicators (KPIs) for fundamental aspects are identified from strategic supply chain documentation
3. Supply chain planning and forecasting requirements are determined
4. Vulnerabilities and opportunities in the supply chain are identified
5. Digital systems and applications used to support fundamental aspects of the supply chain are confirmed
6. Supply chain stakeholders are identified
7. Level of authority for performance in the supply chain is verified
8. Monitor fundamental aspects
   • Communication channels and strategies to engage supply chain stakeholders are reviewed
9. Supply chain operations and outcomes are evaluated and actions to reduce vulnerabilities and achieve better value for money are developed
10. Supplier capacity and capability is examined, in accordance with supply chain procedures, to ensure customer requirements are being met
11. Stakeholder relationships are monitored, in accordance with supply chain procedures
12. Supply chain purchasing channels and distribution outcomes are monitored, in accordance with supply chain procedures
13. Legal, ethical, environmental, corporate social responsibility principles and sustainability issues are addressed, in accordance with supply chain policies and procedures
14. Supply chain risks are managed and alternative strategies are developed, as required
15. Implement continuous improvement strategies
    • Supply chain performance is baselined and measured against recognised industry benchmarks using approved methods and tools
16. Supply chain flows and KPIs are examined to ensure fundamental aspects of the supply chain are working cohesively
17. Stakeholder feedback is analysed to measure satisfaction
18. Data on supply chain discrepancies and inconsistencies is analysed and remediation actions are implemented
19. Digital systems and applications in the supply chain are reviewed for effectiveness
20. Report on fundamental aspects
    • Trends and challenges in fundamental aspects of the supply chain are identified and reviewed, in accordance with supply chain procedures
21. Strategies that support continuous improvement of fundamental aspects are evaluated and recommendations for improvement are developed
22. Report on continuous improvement actions is prepared and disseminated to approved stakeholders

Range Statement

Range is restricted to essential operating conditions and any other variables essential to the work environment. Non-essential conditions may 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 the requirements of the elements and performance criteria on at least one occasion and includes

addressing legal, ethical, envrionemental, corporate social responsibility principles and sustainability issues in supply chains analysing discrepencies, inconsistencies in data and stakeholder feedback applying supply chain policies and procedures implementing remediation actions determining: baseline measurements and industry benchmarks strategic supply chain documentation supply chain planning and forecasting requirements supply chain vulnerabilities and opportunities evaluating strategies that support continuous improvement examining supplier capacity and capability developing strategies and recommendations that support continuous improvement activities making recommendations for improvement managing risks and developing alternative strategies monitoring supply chain: commercial and customer relationships distribution and purchasing channels flows Key Performance Indicators (KPIs) operations and outcomes preparing reports that address trends and challenges in supply chain fundemental aspects reviewing digital systems, applications, communication strategies and channels verifying level of authority for performance.

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Knowledge Evidence

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

baseline measurements and industry benchmarks communication strategies and channels used in supply chains digital systems and applications used in fundemental aspects of a supply chain discrepancies, inconsistencies and remediation actions Key Performance Indicators (KPIs) legal, ethical, envrionementl and corporate social responsibility principles and sustainability issues supply chain policies and procedures report preparation requirements for planning and forecasting risk management and the development of alternative strategies supplier capabilities and capacities supply chain flows supply chain operations including: commercial agreements and contractual requirements customer service levels delivery time frames inventory flow and management investment returns and cost controls methods of pricing and payment terms product sourcing purchasing and distribution channels quality control standards value adds stakeholder relationships strategic supply chain documentation strategies that support continuous improvement activities trends and changes in fundemental aspects vulnerabilities and opportunities in fundemental aspects.

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