PSPPCM013
Make procurement decisions


Application

This unit describes the skills required to perform advanced decision making for complex procurement within established guidelines, policies and procedures.

This unit applies to those working roles involved in making procurement decisions.

The skills and knowledge described in this unit must be applied within the legislative, regulatory and policy environment in which they are carried out. Organisational policies and procedures must be consulted and adhered to.

Those undertaking this unit would work autonomously, performing complex tasks, in a range of familiar and unfamiliar contexts.

No licensing, legislative or certification requirements apply to unit at the time of publication.


Elements and Performance Criteria

ELEMENTS

PERFORMANCE CRITERIA

Elements describe the essential outcomes

Performance criteria describe the performance needed to demonstrate achievement of the element. Where bold italicised text is used, further information is detailed in the range of conditions section.

1. Comply with legal and policy obligations implicit in making procurement decisions

1.1 Identify and apply legislative and policy requirements and organisational objectives and goals to inform procurement decisions.

1.2 Apply and manage probity principles of fairness and impartiality when making procurement decisions at all stages of the process.

2. Establish context for the procurement activity

2.1 Identify and consider factors that may influence procurement decisions in the context of legislation, policy and organisational/business requirements to support effective decision making.

2.2 Consult with stakeholders to determine likely impact of key factors at all stages of procurement process.

2.3 Reflect determined key factors in procurement decisions affecting the procurement.

2.4 Document factors affecting procurement decisions.

3. Select and approve procurement methods

3.1 Select procurement methods based on jurisdictional, legislative and policy requirements and suitability for the procurement requirements.

3.2 Consider factors and risks in selecting procurement method.

3.3 Record justification for selected procurement method.

3.4 Exercise approvals for the selection of procurement methods and record.

4. Select and approve contractual arrangements

4.1 Select contractual arrangements, based on jurisdictional and policy requirements and suitability for the procurement requirements.

4.2 Consider factors and risks in selecting contractual arrangements.

4.3 Record justification for selected contractual arrangements.

4.4 Exercise approvals for the selection of contractual arrangements and record.

5. Identify and consider factors affecting supplier choice

5.1 Research and assess supplier capability as part of offer evaluation.

5.2 Research and apply supplier supply chain management considerations in the context of policy requirements when making procurement decisions.

5.3 Apply broader value for money considerations to support and inform decisions.

6. Conduct tender evaluation

6.1 Form a tender evaluation panel or similar when required by policy or to meet probity requirements.

6.2 Provide advice, support and guidance on procurement processes and probity requirements to members of the tender evaluation panel.

6.3 Resolve any issues that arise during tender evaluation using negotiation and communication skills and procurement knowledge.

6.4 Document tender decision-making processes and decisions reached in a format suited to the procurement being undertaken.

6.5 Make written procurement recommendations to the approval delegate after considering advice of panel.

7. Maintain effective accountability and transparency in procurement decision making

7.1 Maintain records, including plans and sub-plans, to provide an effective audit trail of decisions taken throughout the procurement process.

7.2 Maintain compliance with jurisdictional and organisational procurement reporting requirements.

7.3 Maintain records to provide aggregate procurement reporting requirements internal and external to the organisation.

Evidence of Performance

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.

networking, consulting and negotiating with contractors and stakeholders

writing a business case

reading and applying complex documents, including contracts, legislation and guidelines

providing feedback

resolving complicated procurement issues

developing options for inclusion in a business case

applying decision-making processes or methodologies

undertaking research and business analysis

documenting procurement decisions

managing and updating procurement plans

maintaining currency in best practice examples in procurement practice and relevant procurement legislation, policies and procedures

operate organisational IT systems


Evidence of Knowledge

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 or territory, and local government legislation, policies, practices and guidelines relating to procurement, including environmental purchasing and corporate social responsibility guidance

organisational procurement policies, practices and approval processes

procurement planning for complex procurement requirements and outcomes

decision-making processes and methodologies

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

government procurement environment

legal requirements of government procurement

implications of particular procurement arrangements

whole-of-life considerations

financial and accounting issues relevant to the procurement

cultural issues relating to complex procurement and industry development in certain sectors

relationship management


Assessment Conditions

This unit contains no specific industry-mandated assessment conditions. Guidance on suggested and recommended conditions and methods can be found in the Implementation Guide.

Assessors must satisfy the NVR/AQTF mandatory competency requirements for assessors.


Foundation Skills

Foundation skills are embedded within the elements and performance criteria of this unit.


Competency Field

Procurement