Strategic Procurement, Bids Management & SLAs
Procurement Policies, Processes and Service Level Agreements (SLAs), guide the activities of Procurement professionals and their business partners, and provide a functional and moral compass. To ensure effectiveness, these documents must be aligned to the strategic intent and the broader environment of the organization. In this course, we will demonstrate how to develop such policies, process flowcharts and SLAs in a simple, specific and appropriate style that meets the requirements of a modern organization. A bids management outline from launching to delivery will be explained step by step.
· Outline the strategic role of Procurement in the organization
· Practice the latest business writing techniques suited for the development of policies, processes, procedures and SLAs
· Formulate policies to effectively govern the organization’s Procurement activities
· Design cross functional processes and procedures that optimize effort, cost, time, output and controls
· Develop SLAs that set smart rules of engagement between the Procurement department and the rest of the organization
· Write strategic procurement objectives and initiatives to support long term directions
· Arrange ‘spend items’ into categories that support planning of go-to-market strategies
· Apply demand forecasting techniques to improve planning of procurement activities
· Generate vendor integration strategies to ensure supply security
· Evaluate vendor bids in a scientific manner to support selection decision making
The strategic role of procurement
· Purchasing terms and definitions
· Evolution of purchasing into a strategic function
· Purchasing relationships within the organization
· Purchasing process
· Ethical principles governing the purchasing function
Strategic procurement planning
· Setting procurement mission and objectives
· Selection of improvement initiatives
> Structure
> Systems
> Work streams
> Culture
· Performance measures and targets
· Communication of procurement plan
· Stakeholder engagement
Designing Procurement processes and procedures
· Defining processes and procedures
· Considerations in developing processes and procedures
· Process development
> Artistic processes
> Scientific processes
· Process hierarchy
> Abstract processes
> Strategic processes
> Operational processes
· Measuring and improving process performance
· Rules governing the use of flowchart symbols
· Mapping your processes using swim lane flowcharts
· Writing detailed procedures to support process maps
Bid Management: from launching to delivery
· Bid evaluation and selection
· Bid management process
· Bid evaluation criteria
· Scoring systems and protocols
· Selection and award
· Total Cost of Ownership (TCO) for complex purchases
Developing Service Level Agreements
· The role of SLAs
· Understanding departmental inter-dependencies
· Principles for developing SLAs that add real value
· Typical SLA table of contents
· Writing SLA practical applications
· Service level management
> Internal SLAs
> External SLAs
· Measuring the purchasing function performance against SLAs
Procurement and supply chain management professionals at a higher levels of the organization, as well as other company personnel involved in the Procurement process.