SITXCCS019
Prepare quotations


Application

This unit describes the performance outcomes, skills and knowledge required to calculate the costs of products and services and to present quotations to customers. It requires the ability to provide quotations for products and services where business pricing has already been determined.

The unit applies to any type of organisation and quotations can be for any product or service. It applies to frontline sales or operations personnel who operate with some level of independence and under limited supervision.

The skills in this unit of competency must be applied in accordance with Commonwealth and State/Territory legislation, Australian standards and industry codes of practice.

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


Elements and Performance Criteria

ELEMENTS

PERFORMANCECRITERIA

Elements describe the essential outcomes

Performance criteria describe the performance needed to demonstrate achievement of the element.

1. Calculate costs of products and services.

1.1. Create customer file to administer customer details and requirements.

1.2. Source, select and interpret product or service costing information to prepare quotation.

1.3. Calculate commissions or mark-up net costs according to organisational procedures to determine a profitable selling price.

1.4. Calculate any additional taxes, fees or other charges.

1.5. Check product or service package cost calculation against all individual product and service components.

1.6. Determine final cost of product or service package and record on customer file according to organisational procedures.

2. Provide quotations to customer.

2.1. Prepare quotation to reflect customer requirements and provide to customer according to organisational procedures and formats.

2.2. Include accurate details of cost of product and service provision, and conditions and limitations of quotation.

2.3. Minimise use of printed materials and maximise electronic transmission and record keeping to reduce waste.

3. Update and record quotations.

3.1. Adjust and update quotations to take account of changed customer requests or arrangements.

3.2. Provide most up-to-date quotation to customer inclusive of current conditions and limitations.

3.3. Record all details of adjusted quotations on customer file.

Evidence of Performance

Evidence of the ability to complete tasks outlined in elements and performance criteria of this unit in the context of the job role, and:

prepare a quotation for three different customers, each including at least three different product or service components

integrate commissions, mark-ups and fees into each of the above quotations as applicable

complete above activities within commercial time constraints and deadlines determined by the customer and the organisation.


Evidence of Knowledge

Demonstrated knowledge required to complete the tasks outlined in elements and performance criteria of this unit:

for products or services provided by the organisation:

quotation systems and procedures

costs and features of products sold

sources of costs for products, services and fees

commission and mark-up rates and procedures

formats for and inclusions of quotations presented to customers

conditions and limitations of quotation considerations:

changes to pre-existing quotation or booking

exclusions

general conditions, rules and legislative requirements

inclusion of fees, taxes and levies

expiry date of quotation

methods of customer accepting quotation

payment requirements

prices being subject to change

additional fees and other charges that apply to customer bookings

primary components of consumer protection laws that relate to providing quotations and, organisational responsibility for:

nominating and charging cancellation fees

providing information on potential price increases

providing refunds and future credits

supplying products as described or substituting suitable products when product is unavailable.


Assessment Conditions

Skills must be demonstrated in a safe environment, incorporating the use of industry-realistic simulations and scenarios.

Assessment must ensure access to:

computers, information systems and software

internet

storage for computer data

current costing information for products and services

operational documentation

details of supplier contracts and customer files

current plain English regulatory documents distributed by government consumer protection regulators.

Assessors must satisfy the Standards for Registered Training Organisations’ requirements for assessors and have worked in industry for at least three years where they have applied the skills and knowledge of this unit of competency.


Foundation Skills

Foundation skills essential to performance in this unit, but not explicit in the performance criteria are listed here, along with a brief context statement.

SKILLS

DESCRIPTION

Reading skills to:

interpret documents, customer files, customer requests and product or service costing information.

Writing skills to:

record customer details and requests and quotations in a clear format and style, with accurate details of conditions and limitations specifically applicable to the quotation.

Numeracy skills to:

interpret product or service costing information and calculate costs for all products or services

interpret and calculate any sales and product coordination fees.

Problem-solving skills to:

identify and resolve mistakes in calculations.

Planning and organising skills to:

prepare quotations in correct customer file sequence according to the earliest service dates for customers.

Technology skills to:

use computer systems and software to prepare quotations.


Sectors

Cross-Sector


Competency Field

Client and Customer Service