Elements and Performance Criteria

The range statement relates to the unit of competency as a whole. It allows for different work environments and situations that may affect performance. Bold italicised wording, if uses in the performance criteria, is detailed below. Essential operating conditions that may be present with training and assessment (depending on the work situation, needs of the candidate, accessibility of the item, and local industry and regional contexts) may also be included.
Outcomes and strategic themes may include:
what the organisation intends to achieve and how it intends to structure the business activities of the organisation to aid deliverables
Senior management may include:
executive management
middle management
Board of Directors
program and Project managers
key operations managers
Fundamental aspects of the supply chain will include:
capacity
flexibility
adaptability
schedule/timeliness
availability
ability to deliver
cost
longevity and stability of the market
environment
social
cohesion or integration of the supply chain
choice of suppliers and partners in the chain
ability to influence contractual relationships
performance of the whole chain, not just the component parts
Vulnerabilities and opportunities may include:
nature of the supplier market - size, competitiveness, reliability, location of suppliers, barriers to entry
availability of raw materials or components in the supply chain
nature of transport/freight arrangements
type of pricing strategies used in supplier market (e.g. product differentiation, price discounts)
sophistication of the supplier market
sophistication of the buying organisation
level of data available to the buying organisation
changing lead times
technological issues and opportunities
legislative changes and changes in standards
social change
force majeure vulnerabilities in supply chain
Communication strategies may include:
consideration of:
organisational structure
accessibility
supportability
openness
appropriate technologies
appropriate level
method
probity
sensitivity of material to be communicated
style, tone and level of content
Internal stakeholders may include:
procurement and contract management staff
senior management
users of the goods and services
financial management staff
legal advisers
maintenance staff
asset or fleet managers
facilities managers
logisticians, including materiel logisticians
Human Resource Management staff
IT Staff
External and market stakeholders may include:
contractors
suppliers
industry peak bodies
government
other buyers
general public
users of the goods and services (if these are not internal)
Supplier capabilities may include:
financial viability/capacity
past performance
skills and expertise
quality accreditations
continuous improvement practices
technological placement
compliance with CSR, sustainability and environmental requirements and emerging trends
staff loyalty, development and succession planning
business continuity plans/disaster recovery
Capacity may include:
the ability of the market to:
meet demand
surge capacity
be adaptable
to embrace change
be creative and/or innovative
maintain compliance with Australian and/or international standards
comply with local and regional requirements
Innovation may include:
paradigm shift
achievement of similar outcomes with vastly improved performance metrics
alternative products or service to achieve better outcomes
process improvement
technological improvement
Risks may include:

Technical
Commercial
Reputational and political
CSR principles may include:
triple bottom line reporting
managing up and down stream in the business relationship
people, plant, profit
fair work practices
commitment to environmental and sustainability practices
better community outcomes
Benchmarks means:
a standard by which comparative measurement can be made, could include:
quality
time
price
cost
generally used in conjunction with ‘best practice’
Best practice may include:
techniques, methods, processes, activities, incentives, or rewards which conventional wisdom regards as more effective at delivering a particular outcome than any other techniques, methods, processes, etc. when applied to a particular condition or circumstance
Trends may include:
changes in conditions that may lead to long term change such as:
competition
technology
regulation
demand
Organisational influence may include:
influence on the market, including:
buying capacity
continuous or regular consumption
level of spend
reputation and influence
ease of doing business
relationship building
developing future opportunities
price leverage
innovation
ability to influence legislation, regulation or policy

The evidence guide provides advice on assessment and must be read in conjunction with the performance criteria, required skills and knowledge, range statement and the Assessment Guidelines for the Training Package.
Overview of assessment
Competency must be demonstrated in the ability to predict future procurement needs, based on the analysis of past and current organisational and market data. Current planning, emerging legislative, regulatory, social, business and market trends must also be assessed in order to predict future market activities. Strategies must be developed against those predictions and appropriate arrangements made for managing the fundamental aspects of the supply chain.
Critical aspects for assessment and evidence required to demonstrate competency in this unit
Assessment must confirm the ability to:
gather and analyse complex financial, business and market information and develop procurement, market and supplier profiles
identify and apply the people skills relevant to supply chain management
identify and interpret complex legislation, regulation and policy, including international treaties, principles of CSR, sustainability, environmental and social trends
develop and integrate complex planning documents which support core strategic and government outcomes
develop and use effective category management strategies to achieve objectives
assess local and international markets, identify trends and develop strategies to ensure market positioning necessary to meet future needs
identify and secure future market sources to meet core business needs
devise and implement supply chain management strategies and processes within an organisation based on analysis of the characteristics of the supply chain
consider both qualitative and quantitative factors in reaching decisions or recommendations
Consistency in performance
Competency should be demonstrated by providing evidence of undertaking a range of relevant work task in an actual or simulated procurement environment on a least two separate occasions.
Context of and specific resources for assessment
This unit of competency is to be assessed in the workplace or a simulated workplace environment.
Participants may need to access:
sample data on finance, procurement and markets to analyse and then to build recommendations
corporate planning documents including strategic procurement, finance, technology, logistics and human capital planning
relevant legislation
current information relevant to CSR, sustainability, environment and social legislation, trends and expectations
relevant market information
workplace scenarios and case studies relating to organisational expectations for future and strategic development of core business
emerging market trends, such as Private Public Partnerships (PPP), strategic alliance, e commerce, holistic service solution, engaging the corporate sector to deliver on behalf of or instead of government
case studies that incorporate challenges from which strategies can be developed to deal with future sources of goods and/or services and the methods that may need to be employed to secure future requirements
Method of assessment
Suggested assessment methods include:
questioning to assess understanding of key subject matter areas, such as research, analysis, markets, legislation, planning, decision making, communication and mechanisms to secure market sources
preparing written reports evidencing review of strategies and approaches adopted by other government and non government organisations to manage supply chains
preparing written reports evidencing review of market information, best practice guides, planning documents and strategies, business models and budgets, lobby group predictions, political philosophies and policies, community expectations, technological advancements and other relevant material and develop possible scenarios for managing supply chains
preparing risk and opportunity assessments of supply chains
preparing supply chain reviews and continuous improvement recommendations
developing sound supply chain management strategies and planning outcomes based on analysis and reviews
demonstrating research, communication, consultation and negotiation skills
In all cases, practical assessment should be supported by questions to assess underpinning knowledge and those aspects of competency which are difficult to assess directly. Questioning techniques should suit the language and literacy levels of the candidate, but not compromise the integrity of the assessment.
Guidance information for assessment
Evidence must be gathered over time in a range of contexts to ensure the person can achieve the unit outcome and apply the competency in different situations or environments. Holistic assessment with other units relevant to the industry sector, workplace and job role is recommended.
PSPETHC601B Maintain and enhance confidence in the public service
PSPGOV602A Establish and maintain strategic networks
PSPLEGN601B Manage compliance with legislation in the public sector
PSPMNGT608B Manage risk
PSPMNGR607B Develop a business case
PSPOHS602A Manage workplace safety
PSPPROC604B Plan for strategic procurement
PSPPROC605B Coordinate strategic procurement
PSPPROC606B Negotiate strategic procurement
PSPPROC607A Manage strategic procurement
PSPMNGT604B Manage Change
PSPMNGT 609B Formulate business strategies
PSPMNGT 612A Review and improve business performance