Unit of competency Outline

Date retreived
24/07/2026 4:55 AM AWST

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Evaluate and improve strategic procurement performance

Evaluate and improve strategic procurement performance

Unit of competency
National Code
PSPPROC706A
State Code
D3750
TGA Status
Replaced
DTWD Status
Replaced
Current Release Number
2.00
Current Release Date
07/03/2012
State Implementation and Classification
Approved Date
22/03/2011
Field of Education
080301 - Business Management
Original Release Date
22/03/2011
Nominal Hours
70
Description
This unit covers the ability to evaluate an organisation's strategic approach to procurement and the achievement of government policies and objectives for procurement. It includes determining evaluation measures and criteria; evaluating organisational achievement, procurement plans, and strategic procurement goals and policies; and implementing continuous improvement in procurement performance.In practice, evaluating and improving strategic procurement performance may overlap with other public sector or local government generalist and specialist work activities, such as providing strategic direction, influencing strategic policy, leading and influencing ethical practice in the public sector or local government, and undertaking strategic risk management.No licensing, legislative, regulatory or certification requirements apply to this unit at the time of endorsement.
Notes
Elements and Performance Criteria
1. Determine evaluation measures and criteria
  • 1.1. Measures for evaluation are determined to provide value for money and make optimum use of existing sources of data and means of data gathering.
  • 1.2. Government policy and objectives for strategic procurements are reflected in evaluation measures and criteria.
  • 1.3. Nature and character of the organisation and its values and policies are reflected in evaluation criteria.
  • 1.4. Sufficient information is provided in measures and criteria to make judgements about progress towards government objectives, strategic goals and implementation of procurement policies.
2. Evaluate organisational achievement
  • 2.1. Evaluation is undertaken against strategic procurement goals, policies, plans and codes/standards of behaviour and takes into account evidence from procurement activities.
  • 2.2. Conclusions from evaluation are detailed against agreed criteria, supported by evidence, and structured to provide a complete picture of performance in respect to strategic goals and policies of government and organisation procurement.
  • 2.3. Where performance fails to meet the agreed criteria, possible reasons are offered and discussed with stakeholders.
  • 2.4. Consultation is undertaken with stakeholders prior to publication of any report on performance that may affect the interests of stakeholders.
  • 2.5. Reports are provided according to organisational policy and procedures in time to enable effective response.
3. Evaluate procurement plans and their implementation
  • 3.1. Causes of success and failure in procurement plans and their implementation are identified.
  • 3.2. Explanations of causes of success or failure are presented logically and comprehensively and supported by evidence.
  • 3.3. Where alternative explanations are available, these are reported, along with reason for preferring any explanation.
  • 3.4. Where it is likely to be difficult to find a remedy for the cause, explanations are offered to counter possible objections.
  • 3.5. Lessons to be drawn from success or failure are made available to those who could learn from them and are used in the future planning of procurement.
  • 3.6. Feedback is provided to those whose performance is examined.
4. Evaluate strategic procurement goals, policies and performance
  • 4.1. Possible strengths and weaknesses in strategic procurement goals, policies and performance are identified.
  • 4.2. Recommendations are formulated for building on strengths and addressing weaknesses.
  • 4.3. Comments, analysis and recommendations are made available for the review and reformulation of the procurement strategic goals and policies based on performance.
5. Implement continuous improvement in procurement performance
  • 5.1. Recommendations for improvement in organisational achievement in procurement performance are implemented according to organisational requirements.
  • 5.2. Lessons learnt from the evaluation of procurement plans and their implementation, are used to continuously improve procurement performance.
  • 5.3. Review and reformulation of strategic procurement goals and policies are built into the cycle of continuous improvement of strategic procurement.
  • 5.4. Ongoing monitoring, measurement and management of procurement performance are undertaken to continuously improve procurement outcomes.
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.
Sources of data may include:
supply publications
industry source books
advice provided from organisations specialising in investigative procedures
past performance data
financial management information systems
results of research of financial viability, capability and performance
organisational records and reports about procurements, contractors and performance
internal audits and reviews
results of procurement review processes
external audits and reviews.
Measures and criteria may include:
specified performance measures and outputs in such things as:
financial plans
budgets
procurement plans
human resource development and human resource management plans
risk management plans
marketing plans
specifically determined review objectives or terms of reference
government policy and objectives for strategic procurement.
Stakeholders may include:
end users
customers or clients
sponsors
current or potential providers or suppliers
technical or functional experts or advisers
probity advisers
probity auditors
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.
Feedback may include:
formal feedback, including reports and reviews with a right of reply
informal feedback, including discussions
performance management information in performance improvement feedback
recognition of strong performance.
Identification of strengths and weaknesses takes account of:
evaluation of performance and achievement
overall assessment of achievement of value for money
stakeholder interests and views
vision and values of the organisation
trends in the external environment
internal strengths and weaknesses.
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 evaluate and improve strategic procurement performance consistently 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 establish evaluation criteria for reviewing procurement performance across the whole procurement cycle
undertake evaluation of procurement plans and their implementation to review the performance of the buying organisation
undertake evaluation of strategic procurement goals and direction to ensure compliance with government and organisational expectations
use evaluation findings to make recommendations for improvement to procurement processes, systems, goals and directions
provide feedback to key stakeholders about procurement performance and the need for procurement improvements
implement recommendations for procurement improvement within the organisation.
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 evaluating and improving strategic procurement performance
preparation of formal written papers covering strategic procurement issues
review of strategic plans, strategic procurement plans, long-term budgets, risk assessments, internal issues papers, 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
PSPPROC704A Influence and define strategic procurement direction
PSPPROC705A Establish strategic procurement context
PSPMNGT703A Lead and influence change
PSPMNGT704A Undertake enterprise risk management.
Replaces
State Code National Code Title Type
C8266 PSPPROC703B Evaluate and improve procurement performance Unit of competency
Replaced By
State Code National Code Title Type
AWU20 PSPPCM027 Evaluate and improve strategic procurement performance Unit of competency
State Code National Code Title Type
D379 PSP70110 Graduate Certificate In Government (Strategic Procurement) Qualification