10 Unit Credit Values

• Functions of a purchasing system: Life Cycle Costing, Total Acquisition Cost Model
• Stages of the life cycle: Planning and design, Acquisition, Storage, Use, Disposal
• Stages of the purchasing process: Goods or service needs are identified, The goods or services are requested, The goods or services are authorised, A Purchase Order is placed with an appropriate provider, Supplier delivers goods or services, Goods or services are received, Payment is made, Order processing cycle
• Methods used to gain information: Word of mouth, Advertising and Marketing, Company information, Sampling, SWOT analysis
• Supplier development: Potential for partnership, Scope for development, Quantifiable outcomes
• Selection of suppliers: Identify Needs, Investigate the Supply Market, Collect Relevant Information, Assess Options, Make Decision
• Methods of Communication: Oral Communication, Written Communication, Nonverbal Communication (Body Language), Formal Communication, Informal Communication

The above is the unit content for the Introduction to Purchasing unit found in the Level 2 qualification. To view more units, click here and select the “Units” tab.