Principles of Purchasing

Why Take Principles of Purchasing?

If you are interested in learning from procurement and sourcing experts with a deep dive into the topic, this class is for you. It covers content for both beginning and intermediate level buyers and procurement professionals.

What is Covered in Principles of Purchasing?

Fundamentals of Purchasing:

  • Purchasing Function,
  • Categories of Purchasing,
  • Strategic responsibility of purchasing,
  • Structure of purchasing,
  • Purchasing’s role with other business functions,
  • Explore centralized vs decentralized purchasing,
  • Explore buyer/planner role,
  • Make/Buy decision making,
  • Create an effective purchasing strategy,
  • impact of purchasing, negotiation techniques

Source Strategies:

  • Sourcing process,
  • Tactical vs Strategic,
  • Make/buy process,
  • Effective spend analysis and cost avoidance analysis,
  • Supplier relationships including how to execute a sole source vs multi source strategy, how to score and select suppliers, pricing alternatives, negotiations,
  • SRM (Supplier Risk Management)
  • Elements of contracts including sourcing partnerships, contract law considerations

PO Management and Performance Measurement:

  • Manage the procurement database including explore the details of various PO methods, timing of PO release, MRP, ROP (Re-Order Points), Kanban, VMI (Vendor Managed Inventory), transportation,
  • PO performance,
  • Supplier Performance, cost of poor quality

Learning Goals and Results

At the conclusion of the course the participants will be able to:

  • Understand the scope and importance of the purchasing functions both within purchasing and throughout the entire organization and supply chain
  • Analyze and devise a strategy for make/buy decisions
  • Improve the supplier base by applying data to select and score suppliers and work with problem suppliers to improve their scores
  • Understand contracts language and negotiating techniques
  • Manage the purchasing database elements to improve their impact on replenishment systems such as ERP, Kanban, and re-order points.
  • Apply concepts and strategy to align operational goals with their supplier base performance.

APICS-IE Class Schedule, Registration Fees

APICS-IE offers Principles of Purchasing in collaboration with APICS San Fernando Valley. Although the specific timing and schedule vary based on resource constraints, the class contains 40 hours of content.
Check out events calendar for upcoming class dates.

Your investment: Contact us for more information or review our current class schedule.

APICS-IE Instructor

Dan Rivera, CPIM, CIRM, CSCP