
PL1.03 PROCUREMENT PLANNING
PL1.03.1: Introduction
This module is intended to equip the trainee with knowledge, skills and attitudes that will enable them accurately plan procurement requirements.
PL1.03.2: General objectives of the course
By the end of the course, the trainee should be able to: Recognize the role of planning in procurement and supply, Link procurement planning and budgeting, Demonstrate an understanding of forecasting techniques for both dependent and independent demand, Acquire the necessary skills and attitudes that can be used in prioritizing supply planning and Apply the approaches and steps used in demand forecasting
PL1.3.01: OVERVIEW OF PROCUREMENT PLANNING
Competence
The trains should have the ability to plan in order to facilitate effective and efficient procurement processes within an organization.
Content
Theory
- Meaning of terms used in procurement planning
- Role of procurement planning
- The factors affecting procurement planning
- Consequences of failing to involve procurement function in planning
- Consolidating organizational needs in procurement planning
- Implementation of procurement plans
Practice
- Discussion of the factors affecting procurement planning in a given case.
PL1.3.02: ROLE OF MARKET SURVEY IN PROCUREMENT PLANNING
Competence
The trainee should have the ability to collect and apply market intelligence when planning for requirements in an organization.
Content
Theory
- The role of market survey in procurement planning
- Planning for market survey
Practice
- Discuss the differences between Supply Market Analysis and Procurement Planning
PL1.3.03: ELEMENTS OF A PROCUREMENT PLAN
Competence
The trainee should have the ability to discuss all the elements of a procurement plan within an organization.
Content
Theory
- Types of procurement plans
- Principles of procurement planning
- Need identification
- Consolidation of requirements
- Specification / description of services, goods and works
- Quantity, sources of funds, and time as elements of a procurement plan.
Practice
- Discussion of elements of a procurement plan.
PL1.3.04: PRIORITIES IN PROCUREMENT PLANNING
Competence
The trainee should have the ability to prioritize items in procurement planning
Content
Theory
- Supply Positioning Model
- Diagram
- Examples of purchase item in each quadrant
- Analysis of purchase expenditure
- Analysis of the impact of a purchase item in supply planning
Practice
- Application of Supply Positioning Model on procurement planning
PL1.3.05: PROCUREMENT CYCLE
Competence
The trainee should have the ability to illustrate the procurement cycle
Content
Theory
- Procurement cycles
- Stages of the procurement cycle
- Pre-contract stages
- Post contract stages
Practice
- Illustration of the procurement cycle
PL1.3.06: FORECASTING IN PROCUREMENT PLANNING
Competence
The trainee should be able to identify factors affecting forecasting
Content
Theory
- Meaning of terms used in forecasting
- Role of forecasting in procurement planning
- The factors affecting forecasting
- The challenges in forecasting
- Approaches to forecasting
- Steps in demand forecasting
Practice
- Role of forecasting in procurement planning
PL1.3.07: CHARACTERISTICS OF DEMAND
Competence
The trainee should have the ability to identify characteristics of demand
Theory
Content
- Characteristics of demand
- Levels of demand
- Frequency of demand
- Patterns of demand
- Product life cycle positioning
- Product classification
Practice
- Discussion of the characteristics of demand
PL1.3.08: BUDGETING AS AN ELEMENT OF PROCUREMENT PLANNING
Competence
The trainee should have the ability to apply budgeting in procurement planning
Content
Theory
- The concept of budgeting in procurement planning
- Issues involved in budgeting and how this can serve as an important elements in procurement planning for requirements
- Procurement planning for operational requirements
- Procurement planning for capital requirements
Practice
- Development of procurement plans for operational and capital requirements
PL1.3.09: STRATEGIC PROCUREMENT PLANNING (SPP)
Competence
The trainee should have the ability to embrace strategic procurement planning concept in practice
Content
Theory
- Preparation of SSP Policy
- SSP policy
- Implementation of the SSP Policy
- Management structure for effective procurement planning
- Procurement Management Planning
- Material Requirement Planning (MRP)
Practice
- Discussion of Strategic Procurement Planning
PL1.3.10: FORECASTING TECHNIQUES FOR DEPENDENT AND INDEPENDENT DEMAND
Competence
The trainee should have the ability to discuss the techniques of forecasting dependent and independent demand.
Content
Theory
- Meaning of independent and dependent demand
- Independent demand
- Fixed order quantity
- Economic order quantity
- Periodic review system
- Demand management tools
- Just In Time (JIT)
- Material Requirement Planning (MRP)
- Distribution Requirement Planning
- Enterprise Resource Planning (ERP)
- Vendor Managed Inventory (VMI)
Practice
- Discussion of techniques used in dependent and independent demand.
PL1.3.11: PLANNING FOR DISPOSAL OF STORES, EQUIPMENT AND OTHER ASSETS
Competence
The trainee should have the ability to plan for the disposal of stores, equipment and assets.
Content
Theory
- Items for disposal
- Authority to dispose
- Disposal plan
- Disposal methods
- Sale by open tender
- Sale by public Auction
- Transfer to another public entity
- Destruction, dumping, burning and burying
- Trade – in
- Disposal to public servant
- Cannibalizing
Practice
- Discussion on disposal methods for a given scenario.
PL1.3.12: EMERGING ISSUES AND TRENDS IN PROCUREMENT PLANNING
Competence
The trainee should have the ability to cope with the emerging issues and trends in the Procurement Planning
Content
Theory
- Emerging issues and trends in procurement planning
- Challenges and opportunities posed by the emerging issues and trends in Procurement Planning
- Coping with or adopting to the issues and trends in Procurement Planning
Practice
- Discussion of challenges and opportunities posed by the emerging issues and trends in Procurement Planning.
https://www.someakenya.com/download/cpsp-k-past-papers-free-download/