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 used 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.
Strategic context may include:
financial
operational
competitive
political
public perception or image
social
cultural
client
legal aspects of organisation's functions
nature of supplier market
environmental and sustainability issues
corporate social responsibility.
Stakeholders may include:
end users
customers or clients
sponsors
potential providers or suppliers
current providers or suppliers
technical or functional experts or advisers
commonwealth, state or territory, and local government
the organisation
other public sector organisations
employees, unions and staff associations
industry bodies
local communities
lobby groups and special user groups.
Collaboration may include:
public private partnerships (PPP)
strategic financing arrangements
build, own, operate and transfer type arrangements
cooperative procurement opportunities with other public sector organisations
lead agency arrangements.
Factors may include:
value of business
complexity of marketplace
capacity of market
supply chain
political influence
political imperatives
budgetary constraints
collaborative arrangements
Australian industry involvement requirements
environmental issues
extent of competition
value for money considerations
degree of dependency of organisation on procurement
where and why the need arises and for which unit or location
level of risk, complexity and sensitivity of the procurement
new capability or replacement/enhancement of existing resources
intellectual property ownership
policy requirements or changes, e.g. ethical and social.
Procurement capability may include:
procurement systems, structures and processes used in organisation
procurement guidance documents developed by organisation
procurement or other relevant capability frameworks
staff profile in terms of experience, skills and knowledge
procurement training programs.
Industry capability may include:
structure of marketplace
impact of globalisation
location of suppliers
maturity and sophistication of suppliers
capacity of industry to absorb work in the volume that is required
willingness of industry to move into new areas of business to provide required goods or services
staffing profiles of industry and skills shortages or surpluses
industry training programs.
Organisational risks may include:
supplier failure to meet agreements
government failure to meet agreements
political and public sensitivities
community lobbying
asset security and threat management
information security and threat management
physical security and threat management
health management issues
industrial relations issues
terrorism and world events
impact of globalisation
contingency management and business continuity
change management
environmental and sustainability issues
corporate social responsibility issues
corruption risks
probity risks.

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 establishing a strategic procurement context consistently and in accordance with legislative and organisational requirements.
Critical aspects for assessment and evidence required to demonstrate competency in this unit
Assessment must confirm the ability to:
use recognised techniques to analyse the procurement environment, including state of the supply market, stakeholder issues, and organisational and government context for the procurement
use recognised techniques to analyse the buying organisation's procurement capability
make recommendations to improve and develop procurement capability
implement improvements to procurement capability
use ethical methods to influence and develop strategic industries to improve value for money opportunities
apply sophisticated risk management techniques.
Candidates for this qualification must demonstrate a high level of understanding of underpinning knowledge and the ability to apply this to practical workplace situations.
Context of and specific resources for assessment
The unit of competency is to be assessed in the workplace or a simulated workplace environment.
Access may be required to:
legislation, policy, procedures and protocols relating to procuring goods and services and managing contracts at the strategic level
codes of conduct and codes of practice
long-term government policy papers, such as White Papers
strategic procurement plans and direction statements
published performance audits or similar relating to strategic procurement issues
workplace scenarios and case studies relating to a range of strategic procurement activities.
Method of assessment
The following assessment methods are suggested:
questions to assess understanding of relevant legislation and procedures
review of strategies and approaches adopted for establishing strategic procurement context
preparation of formal written papers covering strategic procurement issues
review of strategic plans, strategic procurement plans, long-term budgets, risk assessments, industry assessments, supplier capability assessments, market research, industry engagement plans, responses to performance audits covering strategic procurement issues and other documentation prepared or reviewed by the candidate in a range of contexts
review of stakeholder engagement approaches adopted by the candidate.
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. Candidates for this qualification must demonstrate a high level of understanding and practical workplace application of underpinning knowledge. Questioning techniques should suit the language and literacy levels of the candidate.
Guidance information for assessment
Sufficient evidence must be gathered 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, for example:
BSBFIM701A Manage financial resources
BSBINN801A Lead innovative thinking and practice
BSBREL701A Develop and cultivate collaborative partnerships and relationships
PSPETHC701A Lead and influence ethical practice in the public sector
PSPMNGT703A Lead and influence change
PSPMNGT704A Undertake enterprise risk management
PSPPROC704A Influence and define strategic procurement direction
PSPPROC706A Evaluate and improve strategic procurement performance.