Revised Syllabus for Professional Examinations

Article Index
REVISION OF SYLLABUS FOR PROFESSIONAL EXAMINATIONS
Getting to Grips with English
PROCUREMENT PRINCIPLES AND METHODS
MARKETING FOR PROCUREMENT AND SUPPLY CHAIN MANAGEMENT
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2.0 PROCUREMENT PRINCIPLES AND METHODS

MAIN AIMS OF THE COURSE

This course stresses that procurement principles and methods are pre-requisites for every procurement or supply chain management process. This includes the sourcing process, procurement structures and the various methods of buying.

2.1 Understand the added value that can be achieved through procurement and supply chain management:

Definitions of procurement and purchasing and supply, Stock and non-stock procurements, direct and indirect procurement, services procurements, total lifecycle costs, cost of ownership, sources of added value including innovation, sustainability and market development, defining value for money. Differentiate the stakeholders that a procurement and supply chain function may have (defining stakeholders, examples of stakeholders, mapping stakeholders in a procurement and supply chain function)

2.2 Understand the stages of sourcing processes in creating added value outcomes that can be achieved with suppliers:

Analyze the main aspects of the sourcing process, Defining the stages of a generic sourcing process from identification of needs to contract and supplier management, Analysis and planning, tender management and contract management, Differentiating between pre contract award and post contract award stages, The purpose and added value that is created by each of the stages of the sourcing process Explain how electronic systems can be used at different stages of the sourcing process E-requisitioning, e-catalogues, e-ordering, e-sourcing and e-payment technologies. The impact of electronic purchase to pay (P2P) systems on the sourcing process. Explain the main aspects of corporate governance of a procurement or supply chain Function, Conflicts of interest. The need for documented policies and procedures for procurement, Organizational accountability and reporting for procurement roles and functions, the status of procurement and supply chain management within organizations, Codes of ethics in procurement.


2.3 Compare the different structures of a procurement or supply chain function

The use of centralized and devolved structures. Hybrid structures of a procurement or supply chain function (such as consortium structures, shared services, lead buyer structures, and outsourced) Interacting with other people and building rapport. The need for customer service and value for money outcomes


2.4 Analyze the impact of organizational policies and private sector operations on procurement or supply chain

• Aspects that can be included in procedures for procurement and supply such as responsibilities for procurement, regulations relating to competition, levels of delegated authority, responsibilities for the stages of the sourcing process, invoice clearance and payment. The use of procurement policies, procurement strategies and procurement manuals. The involvement of internal functions and personnel in the sourcing process. Responsible purchasing and the International Labour Organization core conventions. Objectives of private sector organizations such as profitability, market share, shareholder value and corporate social responsibility. Regulations that impact on procurement and supply chain operations. The importance and role of branding.  Objectives of the not for profit or third sector, Regulations impacting on charities, Need for regulated procurement exercises


3.0       FREIGHT AND SHIPPING MANAGEMENT

MAIN AIM(S) OF THE COURSE

This course introduces students to understanding the basics of freight and shipping management activities associated with the shipping industry.

3.1 Introduction to shipping and to the ship

Definition of ship, Functions of shipping. World Seaborne Trade and World fleet. Challenges facing the shipping industry in the Twenty-First Century. International Convention on load lines 1966.International Convention on Tonnage Measurement of Ships (1969), Ship Design and Future Trends/Size OF Sips. Ship productivity. Safety and other regulations of ships. Ship types, Ships under Liner Trade (MARKET).Specialised ships and their trade. The General Principles and Factors affecting/influencing ship design. Passengers Ships

3.2 Ship operation and vessel management

Factors to consider in planning sailing schedules .Fleet planning. Interface between fleet planning and ship survey programmer. Relative importance/economics of speed, frequency, reliability. Cost and quality of sea transport. Indivisible loads. Ship and port security (ISPS CODE 2002)

Duties and Responsibilities of the ship master. Ship’s officers and crew manning, IMO Convention of Standards of Training and Watch keeping for Seafarers (STCW) 1997.Engagement and Discharge of the crew. Maritime canals and inland water ways: Ghana Inland Waterways. The Suez Canal Authority. The Kiel Canal. The Panama Canal. The St. Lawrence Sea Way. The Influence of Canals on Ship Design. The Economic benefits of canals.

3.3 Ship registration and ownership

Ship registration. Types of ship registration and procedures in registration of ships. Who qualifies to own a ship?

  • Services generated by principal shipping organisations

ISO, ICS, WTO, INTERTANKO, OEM, BIMCO, INTERCARGO, Lloyd REGISTER, UNISTAD

  • The shipping company

Liner Organisation, Tramp Organisation. Liner Conference System. Ship Management Companies. Ownership of Ships. Ship Brokers. Freight Forwarders. Future of Ship Broking. Ships Agents. Lloyd’s Register Quality Assurance, the choice of shipping route. The ship navigational hardware. The ship communication at sea.


  • Shipping documents

Bills Of Lading, definitions and Types of Bills Of Lading, The Functions of Bills Of Lading. The Carriage of Goods by Sea Acts 1971 and 1992.CMR Consignment Note/Carriage Of Goods By Road. CIM Consignment Note/Carriage of Goods by Rail. Airway Bill

  • The crew and crewing of a ship

Definition of a crew. Typical duties of crew on board ship. Reductions in crew size and regulating crew size. International crews’ recruitment and training. Crew pay and conditions

  • Passenger fares and freight rates

Theory of Passenger Fares. Theory of Freight Rates. The Effect of Air Competition on Cargo Traffic. Relation between Liner and Tramp Rates. Relationship between Voyage and Time Charter Rates. Types of Freight Rate.

  • Charter parties

Demise and Non-Demise Charter Party. Voyage and Time Charter Party, the Approved Forms of Charter Parties And Related Bill Of Lading. The Shipping Market, The New Building Market, The Sales and Purchase Market, The scrapping Market. Arbitration in Charter Party Disputes

3.4 Cargoes and Containerization

Container Ships,Container Terminal,Container Distribution,Types of Containers,Features Of Containerization,Non-Containerizable Cargoes. Definitions of a cargo. Types of a cargo (Dry and Wet/Liquid Bulk cargo).Pre-shipment planning. Voyage estimating .The stowage plan, the stowage and discharge of cargo, the care of cargo during the voyage. Stuffing of containers. Deck cargoes.

Cargo Storage/Packaging Overview. Types of Characteristics of Cargo, Cargo and Container Handling Equipment. Dangerous Cargo (IMDG CODE), Classification of Dangerous Goods

4.0 FINANCE FOR PROCUREMENT

MAIN AIM(S) OF THE COURSE

The course seeks to equip students with the financial aspects of procurement and supply chain management. This entails the various sources of finance for procurement, pricing strategies and costing methods applied in the purchasing process.

.4.1 Evaluate the difference between management accounting and financial accounting

  • Management accounts
  • Company secretaries
  • Financial accountants
  • Cost accountants.

ü  Understand and use the terminology associated with finance and

Accounting

  • Accounting standards and their role
  • International issues in accounting standards
  • Effects of the convergence of accounting standards and practices.


ü  Identify which goods and services can be categorized as capital and

Which will be expense items

  • Capital items – plant and equipment, building vehicles, high value office equipment, construction
  • Expense items – cleaning materials, stationery, office supplies, consumables, cleaning services, services contracts.


4.2 Financial and nonfinancial factors in decision-making

ü  Analyze key financial statements to inform decisions

  • Profit and loss accounts income statements
  • Balance sheet
  • Cash flow statement
  • Five-year summary.


ü  Determine alternative pricing strategies and assess their impact upon transfer pricing within an organization

  • Market price
  • Total cost
  • Transfer pricing
  • Variable cost
  • Negotiated price.


ü  Use contribution analysis and marginal costing to evaluate a range of decision-making situations

  • Cost-volume-profit and break-even analysis
  • Make or buy decisions
  • Deciding on product range
  • The analysis, and most profitable use, of limiting factors.

4.3 Sources of finance available for business and major capital acquisitions and projects

ü  Analyze the use of the different types of expenditure

  • Capital expenditure (Capex)
  • Operational expenditure (Opex)
  • Public sector expenditure.


ü  Evaluate and select a range of sources of finance to assessing funds for capital acquisitions and projects

  • Retained profit
  • Controlling working capital
  • Sale of assets
  • Overdrafts
  • Grants
  • Venture capital
  • Debentures
  • Share issues
  • Bank loans - medium or long term
  • Leasing
  • PPP/PFI

ü  Develop process and plans for managing costs

  • Estimating
  • Controls
  • Review stages
  • Contingency planning
  • Who should be involved?
  • Tools and techniques


ü  Explain how to develop and management budgets to achieve target performance

  • The importance of setting and controlling budgets to achieve performance targets
  • The importance of setting a realistic budget
  • Financial objectives
  • Motivational objectives
  • SMART objectives
  • How to create and present a budget to support a business plan
  • The importance of financial

4.4 Financial risk in procurement

ü  Assess the different types of risk and their impact on each of the following:

  • Suppliers
  • Own organization
  • Customers.

ü  Carry out a financial appraisal and risk analysis of suppliers, own organisation, and customers, using a range of financial performance ratios:

  • Profitability ratios
  • Efficiency ratios
  • Liquidity ratios
  • Investment ratios.

ü  Evaluate and select financial risk management options.

  • Debt
  • Futures and derivatives
  • Insurance

5.0 INTERNATIONAL PROCUREMENT AND SUPPLY CHAIN MANAGEMENT

MAIN AIM(S) OF THE COURSE

The aim of this course is to provide students with in-depth knowledge and understanding of international procurement and supply chain management in areas such as trade barriers, customs duties and overseas regulations.

5.1 Introduction to international procurement

Various views of international procurement, problems associated with foreign procurement, Duties, taxes and exemptions

5.2 Trade barriers

Tariff and non-tariff barriers, incoterms, scope current activities in international economic and political groupings, the operations WTO, associations and institutes concerned with international trading, purposes and procedures, commercial organizations (their purposes and procedures), trading companies

5.3 The Ghana customs excise and prevention service

Functions, policy statement, CEPS operations, the customs, excise and preventive functions, CEPS modernization program, challenges ad management

5.4 Global sourcing and negotiating abroad

Lowcost country sourcing, globalization, free trade zone, currency management, insurance, EU procurement directives, and letters of credit, negotiating abroad, specification, international sales, contract terms and conditions, sale of Goods Act 1979

DIPLOMA IN PROCUREMENT AND SUPPLY CHAIN MANAGEMENT

This level is made up of candidates completing FIVE (5) compulsory courses. Upon successful completion, candidates will be awarded the coveted Diploma in Procurement and Supply Chain Management.

1.0 OPERATIONS MANAGEMENT IN PROCUREMENT AND SUPPLY CHAIN MANAGEMENT

1.1 Define operations management and assess the influences on operations management in the broader competitive environment

  • Definitions of the term operations management
  • Distinguishing operations  management as one of the key functions in an organisation
  • Improvements in transport and communications technology
  • The convergence of consumer preferences
  • Increased competition and implications of shorter product lifecycles.


ü  Compare the different characteristics of products and service organizations and analyze how they impact on operations management  practice

  • Aspects of tangibility
  • Quality and specification issues
  • Demand management
  • Training and development
  • Capacity management
  • Service quality and managing the customer.

ü  Evaluate the strategic relationship between the operations function and other main functions within the business

  • Marketing
  • Finance
  • Purchasing and supplychain
  • Human resources
  • Information Technology
  • (IT).


ü  Analyse key performance objectives, their relationship with the order winning criteria and how they contribute to the success of a business

  • Cost
  • Quality
  • Responsiveness and speed
  • Flexibility
  • Dependability.


ü  Analyse the significance of strategic outsourcing decisions in terms of:

  • Span of control within an organization
  • Core competencies
  • Impact on other functions.


1.2 The design of products and services

ü  Analyse the design process for products and services

  • Definition of the term design
  • Aspects of customer satisfaction
  • Approaches to designing better products
  • Understanding the full design business process.


ü  Evaluate the benefits that arise from thorough design evaluation and environmentally sensitive design with respect to the product life cycle

  • The contribution of purchasing to design
  • Compare and contrast areas of conflict between purchasing and design
  • Trade-offs in designing environmentally acceptable products
  • Environmentally preferred materials
  • Life cycle analysis
  • End of life issues.


ü  Analyse the contribution that purchasing and supply can make to the design of products and services by the application of certain tools

  • Standardization
  • Modularization
  • Value analysis and engineering
  • Computer aided design.


1.3The design and management of the operations network


ü  Analyse the critical features of an operations network and explain how they contribute to the management of supply and demand

  • Network design and investment
  • Strategic decisions in developing a network Feasibility factors
  • Benefit factors
  • Financial factors
  • Organizational structure
  • Integration


ü  Distinguish between the different process types in manufacturing and service industries

  • Process types in terms of variety and volume
  • Processing technologies
  • Process layouts and workflow.


ü  Compare and contrast different approaches to job design

  • Definition of the word job
  • The use and techniques of work study and work measurement
  • Advantages and disadvantages of the different approaches to job design
  • F W Taylor/Gilbreth’s work
  • Scientific management approach
  • Motivational approaches
  • Socio-technical systems approach
  • Human factors approach
  • Empowerment and self-managed teams.


ü  Analyse and explain the complexity surrounding facility location decisions

  • Reasons for complexity
  • Demand side decisions
  • Supply side decisions
  • Location analysis tools.


1.4 Philosophies and methods for making improvements in operations management

ü  Explain the cultural change required to implement total quality management (TQM)

  • Total quality management (TQM) as a philosophy
  • The development of TQM by Deming, Crosby and Juran
  • Benefits of TQM
  • Criticisms of TQM.


ü  Examine and evaluate the philosophy of just in time

(JIT) and continuous performance improvement in the context of lean manufacturing

  • The definition and philosophy of JIT
  • JIT as the basis for a continuous improvement programme
  • The advantages of JIT
  • Aspects of lean manufacturing and lean supply chains.


ü  Analyse and explain the different approaches to continuous improvement

  • Process mapping
  • FMEA
  • The PDCA cycle
  • Different methods for managing and reducing stockholding.