Seminar Leading Managing for Purchasing Procurement

7/30/2019 Seminar Leading Managing for Purchasing Procurement

1/131Purchasing & Procurement Center +603 7665 2035 +603 7665 2038 [email protected]

Other Trainings: Tender Management

IT Contract Management

Supplier Qualification andPerformance Measurement

Cost Reduction in Purchasing

Strategic Negotiations in Procurement

& Purchasing Strategic Contract Management For

Oil & Gas

Global Procurement Best Practices

Materials & Demand Planning

IT Contract Negotiation

COURSE SUMMARY COURSE OUTLINE

upply management is becoming morehallenging every day with mostrganizations demanding and expectingurchasing and procurement personnel torovide leadership abilities and

management skills directed at bringingheir performance to World-Class status.

World-Class Procurement Operations bringgnificant annual total cost improvement,gnificant strategic value added, andtrong recognition to the function andhose in it. Yet according to many studies,

most organizations must significantlymprove their supply managementperations in order to provide theontinuous improvements needed to winnd earn profits in todays veryompetitive market place.

his fast paced seminar is designed toxplore areas of leading and managing therocurement organization towardrocurement best practices so thatarticipants can successfully implementhe strategies necessary to makeurchasing a recognized core competencyf their organization.

eminar Objectives:pon completion of this seminar,articipants will know:

Essentials for Leadership Success

Difference between Managing andLeading

Setting the Direction for World-ClassSupply Management

How Minding the Gap Results in aStrategic Plan

Best Practices Categories inStrategically Focused SourcingOperations

Professional Standards of Ethics

Key Performance Measurements

How To Develop A Strategic SourcingPlan

A Process for Developing

This Course is Conducted By:Robi Bendorf

Organizational Impact:

The organization will benefit by Higher productivity of personnel involved

in procurement activities Reduced total cost of ownership for

purchased materials, equipment, andservices thru better leadership andmanagement

Improved productivity of the entireorganization by better on time deliveryof high quality goods and services

Improved supplier performance andrelations

Greater strategic focus of those involvedin supply management

Personal Impact:

Attendees will gain by participation in thisprogram as a result of: Better leadership and management skills Increased skill sets in supply

management A greater sense of professionalism Knowledge of world-class purchasing

practices Greater ability to lead continuous

improvement programs Increased recognition by the

organization due to improvedperformance

Course Outline- Leading & Managing forPurchasing & Procurementcontd:

Leading and Managing

Skilled leaders and managers are essentialif procurement is to bring to theorganization the vast benefits ofWorld-class supply management.Management and Leadership--What is thedifference?What helps or Interferes with becoming aTrue LeaderDeveloping Leadership CompetenciesSetting the Direction for World ClassPurchasingIt is critical to establish the importance ofthe function and the need for it to emergeas a core competency of the organization. Winning And Procurement As A Core

Competency Leadership is About ResultsGetting To

World Class Leading Change to Become More

Strategic Showing Purchasings Impact On The

Bottom Line The Procurement Mission & Vision

Statement Determining and Managing the Gap Developing the Procurement

Organizations Strategic Plan

Purchasing Skill Sets

Good managers know that PurchasingDepartments cannot perform better than

their people and that world classperformance in procurement activitiesrequires highly trained competentprofessionals with high ethicalstandards.

Purchasing Personnel Required SkillSets

Job Descriptions

Skill Set Assessment Training Programs Professionalism Purchasing Ethics

Strategic Sourcing

Purchasing personnel must move from thetactical focus of most purchasing operationsto a much more strategic focus that bringscontinuous improvement to the bottom line ofthe organization.

Time Spent On Various Tasks Commodity Coding

Developing Spend Profiles ABC Analysis Risk Analysis Strategic Sourcing Plans

Relations with Other Functions

Integrating with other functions and providingthe organization with clear high value addedactivities is essential for supply managementto reach its strategic potential.

How Do Other Functions View Purchasing Developing And Maintaining A Customer

Focus Internal Customer Survey How Does Senior Management Measure

Purchasing Purchasing Accountability Measuring Purchasing Performance With

Key Performance Indicators

Process Improvement

World-class organization are not asking if theyneed to improve their process but only howfast can they improve them.

Supplier Relationship Management (SRM) Process Mapping To Eliminate Low Value

Activities Reengineering Processes Total Cost of Ownership

Making Sure We Obtained Lowest Cost

High performing procurement departmentscan proudly point to the fact that the bestpractices being applied are resulting in thelowest Total Cost of Ownership for their

organization. Developing A Company Purchase Price

Index Cost Reduction Initiatives Savings Reporting Supply Chain Management

o Should Attend:

terials, Contracts, or Purchasing Managers,

yers, Contract Administrators, any othernagers or Professionals involved in

plementing cost reduction initiatives orking for savings relating to the purchase of

ds, equipment, supplies, and services.




ood endings usually require good

eginnings. This is particularly true forrocurement activities where best

ractices in tender management, the

eginning of the contracting process, aressential for a successful project outcome

nd minimization of total cost.

his program is designed to take the

articipant from the time the requirement

defined and a contract is desired thru

he major steps of the tendering processhat conclude with successful negotiations.he critical issues of the tendering

rocess, risk mitigation thru contract

ypes, contractor selection, evaluating therice, and finally planning for successful

egotiations all receive coverage in this

aluable program that is certain to reduceosts and add to the organizations

bjective for improved performance in all

ctivities.

eminar Objectives:

pon completion of this seminar,articipants will know:

The Tendering Process And The MajorSteps That Should Be Followed

Mitigation Of Risk By Selection OfContract Type

Methods Of Selection And QualifyingContractor

Applying Technology To TheTendering Process

The Criticality Of The Statement OfWork

Terms & Conditions For EconomicPrice Adjustments

Essential Elements of a Valid Contract Avoiding Disputes Payment Types

Organizational Outcomes:

he organization will benefit by:

Reduced Cost Of Contracts ForMaterials & Services

Reduced Risks In Contracting Higher Productivity Of Contracting

Personnel Greater Strategic Focus Of Those

Involved In Contracting

ersonal Outcomes:

ttendees will gain by participation inhis program as a result of:

Increased Skill Sets In The TenderingProcess

A Greater Sense Of Professionalism Knowledge Of World-Class Tendering

Practices Greater Ability To Lead Successful

Negotiations Increased Recognition By The

Organization Due To ImprovedPerformance


The Tendering Process

What Should Be TenderedThe ABCAnalysis

Major Steps And Flow Of The

Tendering Process

Elements Of A Good Procurement &

Competitive Bidding Process

Principals And Standards Of Ethical

Supply Management Conduct

Small Group Exercise: What is fair andreasonable pricing and what is a fare profit

for the supplier?presents an overview of the steps in the

tendering process and looks at the

objectives of both parties which must beconsidered in developing the tender and

contract strategy.

Defining the Scope & Total Cost Of

Ownership

Total Cost Of Ownership

The All Critical Statement Of Work

Types Of Statement Of Work

Statement Of Work Check List

Small Group Exercise: Develop a check

list for writing an effective statement ofwork

introduces the point that all

participants in the tendering process mustclearly have knowledge of what they are

buying and the marketplace if the outcome

is to meet the organizationsobjectives.

Types of Contracts & Risks

Contract Types

Mitigating Risk By Contract Type

Market Price Indexes

Economic Price Adjustments ContractsIndividual Exercise: Apply the EconomicPrice Adjustment formula to an actual case

to determine the results.develops the awareness that there are

more than just lump sum

contracts in the procurement tool box andthat in many cases other types of

contracts types will be to the benefit of the

buyer.

Structuring the Contract

Commercial Terms & Conditions

Acceptance Clause

Example Of Contract Check Lists

Methods Of Payment

Progress Payments

Small Group Exercise: Defining

Acceptance Clause issues

Segment 4 focuses of the importance of

having tendering personnel carefully designthe terms and conditions for the contract

which must be part of the tenderdocuments.

Qualifying Suppliers & Price Evaluation

Best Practices In Supplier Qualification

Reverse Auctions In The Tender

Process And Evaluation Requesting Suppliers Cost Or Pricing

Data

Small Group Exercise: Applying Bidders

past performance measurements to adjustBidders Price

involves the critical steps of supplier

qualification, presents the use of technologyin obtaining bids and then

discusses issues related to competitive bid

evaluations.

Negotiation Planning and Strategies

When Does The Negotiation Start

Types of Negotiations

Identifying Negotiation Issues And

Objectives

Group Exercise: Discuss best strategy for a

specific case involving an attendee.In Segment 6 we acknowledge that the side

that prepares the best usually wins thenegotiation and therefore focus on

negotiation planning strategies.

WHO SHOULD ATTEND:

Contracts Officers and Managers, Procurement/Purchasing Managers Engineering Project Managers,Construction Managers, Tenders Managers, Buyers,

Contract Administrators, Project Coordinators,Maintenance Mangers and Systems Managers and all

others in organizations whose leadership want world-class skills sets in those involved in tender and

contract management activities. The program is agreat way to develop those new to the function,

prepare for a major project, or useful as a refresherfor veterans.




Once the commercial transaction is

negotiated and signed, most contracting

teams in the IT/Outsourcing sector arepulled from the process at the same

time that the parties are escalating their

focus on the transaction. Both parties arencented to maximize their financial yield

on the transaction and minimize their risk,

yet some do not treat ContractManagement as a key to their overall

success. This interactive session thatncludes 5 exercises related to the IT

sector, will help you discover:

Attend and Discover:

How to dedicate the necessary tools,

techniques and talent to managingcommercial relationships?

What is the difference between

Contract Administration, ContractManagement and Relationship

Management in the IT/Outsourcing

sector?

What is needed for you to succeed at

all three levels?

How to drive greater value andinnovation into subsequent

contracting cycles with yourcommercial partners?

Learn cost effective contract

administration and managementtechniques

Identify opportunities to reformulate

your commercial IT contractingStrategies

Develop specific and realistic

commercial relationship performancemetrics

Achieve excellence in your commercial

relationships

Identify opportunities to automateyour contract management processes

through software and other tools

Resolve contractual disputes without

destroying the relationship

Overcoming the challenges in contract

implementation

Developing a implementation project

plan

Keeping the roles and responsibilitiesclearly understood

How to overcome resistance points and

barriers in the implementation

Exercise 1 Maintaining separation

between a System Design and SystemMaintenance contract

Addressing the differences in contract

administration and management

What is contract Administration

What is contract management?

Keeping focused on the rights andresponsibilities throughout the

fulfillment phase

Exercise 2 Performing contract

administration and management on an

outsourcing services contract

Selecting Contract Management

Software that is a best fit to purpose

What is your electronic contracting

strategy?

Which options are the best fit for your

strategy?

Managing the contract change order

process

What is a change order and why does ithappen?

Understanding the relationship

dynamics behind a change order

Documenting the change order and

preventing excessive changes

Embracing Supplier Relationship

Management tenets in contracting

What is Supplier Relationship

Management?

Understanding the benefits of a wellmanaged supplier relationship

Exercise 3 Managing a hardwaremaintenance services agreement

Applying Customer Relationship

Management principles in contracting

What is Customer Relationship

Management?

Understanding the benefits of a wellmanaged customer relationship

Keys to success in Customer

Relationship Management

Exercise 4 Managing a software

maintenance services agreement

Utilizing Alternative DisputeResolution options

What is arbitration?

What is mediation?

Exploring negotiation options before

taking the litigation path

Exercise 4 Resolving a dispute over a

Cloud computing services agreement

Managing key contracts in the IT/

Outsourcing sector

Hardware equipment sales

agreements Hardware and software maintenance

agreements

Software licensing agreements

Telecom and cloud services

agreements

Managing contract close-out

Why do contracts terminate?

Understanding the rights andresponsibilities that survive

termination

Closing out the contract -communication and change

management considerations

Exercise 5 Managing the software

license contract into perpetuity

This Course is Conducted By:Jim Bergman

WHO SHOULD ATTEND:

Purchasing, sourcing and supply managementprofessionals, Sales contracting professionals,

Contract lawyers and attorneys, Contract

management professionals, Contract

managers and administrators, End-users whoimpact, or are impacted by, the contracting

process, Finance professionals involved incontracting, Contract negotiators, Operational

managers, Commercial relationship managers.

One of the best courses Ive been toand a great help to my work

Practical, Easy to Understand andExtremely Useful. What more can Iask.




Most organizations recognize that theycannot perform any better than theirsuppliers perform and thereforecontinuous improvement of supplierperformance is critical to the success ofany organization. As a result supplierassessment, selection, and performancemeasurement are being recognized ascritical processes where high managementand professional competencies arerequired. This fast paced seminar providesboth strategic and practical insights into:

Achieving Supplier Total Quality

What can Measurements Accomplish

Developing the Qualification Process

Supplier Performance -What toMeasure

Collecting, Rating, and ReportingSupplier Performance

How To Use PerformanceMeasurements

Seminar Objectives

Benefit from hearing the practices andexperiences of others

Cover the many steps in a propersupplier evaluation

Develop performance weightings

Learn how to use performance results

for continuous improvement Explore various rating systems

Discuss methods of collection andreporting data.

Training Methodology

Participants will increase competenciesthrough a variety of instructional methodsncluding lecture by an experiencedpractitioner and consultant, individual andteam cases, and group discussionscovering the many topics presented in theseminar.

Program Summary

Supplier qualification and performancemeasurement are the processes of

evaluating, measuring, analyzing, andmanaging supplier selection andperformance with the objective ofmproving quality, reducing Total Cost ofOwnership, reducing risk, and providingcontinuous improvements in supplier andcontractor performance. This programprovides methods and competenciesdirected at improving these processeswithin the buying/contracting organization.


Achieving Supplier Total Quality

World Class organizations understand thattheir success will be determined by theirabilities to select, manage, andcontinuously improve a complex networkof suppliers.

How Are We Doing In SupplierAssessment & PerformanceMeasurement?

Steps In Achieving Total Quality FromSuppliers

Achieving Total Quality From

Suppliers--What Will Not Work!

Case: How Does Your SupplierPerformance Compare.

What can Measurements Accomplish

Determining the best approach for supplierperformance measurement requires thatyou first clearly define the objectives ofsuch a system as it relates specifically toyour organization.

Objectives of Supplier PerformanceMeasurement

Best Practices In Supplier Qualification

Best Practices in Supplier

Performance System Best Practices in Supplier Relations

Case: Supplier PerformanceMeasurement Objectives

Developing the Qualification Process

Selecting the best supplier through theimplementation of a world class supplierqualification procedure is one of the mostimportant parts of the Supply ManagementProcess.

Developing The Qualification Process

The Preliminary Supplier Assessment

The Supplier Site Assessment

Who Participates In SupplierQualification

The Supplier Evaluation Forms

Qualified Supplier List

Case: Developing Supplier QualificationProcedure

Supplier Performance -What toMeasure

In our efforts to increase margins, it iscritical to understand the areas in whichsupplier performance most significantlydrives Total Cost of Ownership.

Key Elements Of Supplier

Performance Measurement Common Performance Categories

Category Weighting

Deciding Which Suppliers To Measure

The Difficulties Of Measuring SupplierPerformance

Quantitative Vs. Qualitative Data

Cases-What to Measure for the SupplierScorecard and Determining CriteriaWeightings

Collecting, Rating, and ReportingSupplier Performance

Only about of the organizationsmeasure supplier performance and onlyabout 5% of them do it well.

Collecting the Data

Rating Methods - Basic Points

Rating Systems Options

Developing Performance Standards

Applying Supplier Performance InTotal Cost Of Ownership (TCO)

Performance Indexing as a KPI

Cases: Selecting Suppliers usingSupplier Performance in a TCO model anddeveloping supplier performance indexes.

How to Use PerformanceMeasurements

In addition to mitigating risks of supplydisruption and lowering total costs, thereare a number of other benefits from

measuring and analyzing supplierperformance.

Benefits From Measuring AndAnalyzing Supplier Performance

Establishing Expectations

Sharing The Information

Holding Supplier Recognition Events

Motivate Supplier With PerformanceMeasurements

Expectations From The SuppliersPoint Of View

Case: Letting the Supplier Measure YourOrganization as a Customer

HO SHOULD ATTEND:ntracts, Procurement, Purchasing, and

ject personnel, Engineering, Operational,ality, and Maintenance personnel, and all

ers who are involved in interfacing withtractors or suppliers in the acquisition of

terials, equipment, parts, and services or

yone who wants to improve supplierformance and gain successful outcomes.



ho Should Attend:

terials, Contracts, or Purchasing Managers,

yers, Contract Administrators, any othernagers or Professionals involved in

plementing cost reduction initiatives or

king for savings relating to the purchase ofods, equipment, supplies, and services.


id you know that as a purchaser you

ould be responsible for spending over

0% or your organizations revenue? Thisould be spent on goods and services like

aw material or even overnight mail. Yet,

y contrast, labour costs seldom exceed0 to 15 percent of sales. So when the

oal is to increase earnings by lowering

osts, you have to look very closely athat and how you buy. Cost Reduction

rograms and Cost Price Analysis andools, when properly implemented, will

esult in dramatic reductions in cost andring significant improvements in

roductivity across your organization.

ey benefits of attending this

workshop:

Explore 20 cost reduction methods

and gain substantial savings

Learn proper Cost Reduction

Reporting Procedures

Streamline and improve your supplier

performance

Master data mining and learn the artof strategic plans

Accurately monitor your cost

improvements

Learn how to get control of your time

with the all important ABC analysis

Develop your skill in handling

Purchase Price Indexes


Purchasing Savings Impact on the

Bottom Line

See the purchasing savings go right to the

bottom line whereas a small percentage of

sales hit the bottom line

The need for change

Purchasing savings model

Essential Issues in Cost Reduction

Initiatives

A check List resulting for experiences

Cost Reduction Reporting Procedures

A formal reporting process is essential for

you to have a successful initiative and to

motivate people to search for savings

Difference between cost reduction and

avoidance

Types of reduction

Sample reporting form

Continuous Improvement Skills SetThis will give you an essential skill set and

training

A comprehensive list of crucial skill

sets

Data Mining

The 1st critical step for you to perform

world class purchasing is to have a spend

profile

Sources of date to develop the spend

profile

Developing the spend profile

Commodity Codes

Developing the ABC analysis

Opportunity Assessment

After the spend profile is developed, you

need to show how to analyze data.

Included are some essential tools used by

very few purchasers

Analyzing the spend profile

A demonstration of how to use Pivot

Tables, Filters in Excel Course outline

Develop Opportunity Hypotheses

This will enable you to identify specific

opportunities and how to rank them

User group brainstorming sessions

The Improvement Opportunity form

Purchase Price Index

This will show you how to develop a KPI toshow positive savings performance even

when prices are increasing

Developing company purchase price

index and comparing to external

Indexes

Cost Reduction Methods

This will clarify typical savings methodsand enable you to implement improvedperformance

Benchmarking

Early Purchasing

Supplier Involvement

Supplier reduction

Advancing supplier relationships

Supplier qualification methods

Supplier performance measurement

Strategic alliances

Understanding of supply marketplace

Developing commodity plans

Resisting price increases

Reengineering processes

Negotiations

Inventory reduction

Improving terms & conditions

Long term agreements

Information Systems

Value analysis

Reducing Waste in the supply chain

Defining Price/ Cost Analysis

Robi is a true Guru of Purchasing. Casetudy exercises were excellent! The Cost

Reduction Strategies content/programme isractical & relevant to promote effectiveuying. Robi has changed my perspectivef procurement buyers. He has lifted the

rofessional profile of buyers.

GM ProcurementCelcom Axiata Group Berhad




his course will provide tools andechniques to enable participants to

etermine the need to negotiate, pursue a

actical or a strategic approach to theegotiation and how to separate the key

egotiation drivers of the individual parties.

urther learn how to examine themportance of the negotiation strategy and

ow it is fully integrated into the corporate

rocurement strategy.

ttend & Discover:

Plan in multi-disciplinary teams

Create the right negotiation strategy

Understand key tactics and ploys

Understand the impact of legislation on

the outcome

Select the right type of supplier

relationships - recognise theirapplicability and the best means of

measurement.

Identify key behavioural aspects within

the negotiation

Know what makes a skilled negotiator

Integrate negotiation into the totalpurchasing cycle

Apply the key tasks for the preparationand planning needed for successful

negotiation

Manage the key phases of negotiation

This Course is Conducted By:Rob Thompson

The Evolution of Negotiation within

the Procurement Environment

Strategy Preparation and Determination

Implications for the Buyer and Seller

Negotiation Research

The Ideal Negotiation

Preparation and Planning Key Phases

Key Issues

Key behavioural aspects

Tactics and Ploys

The Negotiation

Structure

Conflict Management

Persuasion Techniques

Review and Analysis

Control

Agreement

Implementation

Personal Negotiation Profiling

Characteristics of a skilled Negotiator Individual Improvement Programmes

What are they?

How are they created?

How can they be used?

What will they tell me?

Skills Assessment Profiling

Analysis and Creation of Individualnegotiation profiles

Style

Power Attitude

Flexible v positional

Handling the Negotiation

A Business scenario to provide base data to

form part of the individual Improvementprogramme and re-affirm theappropriateness of the profile created

Develop the right information base

Understand the Business methods

Understand the social and politicalorganisation

Understand the Financial and legal modus

operandi Understand the Infrastructure and logistical

systems

MAJOR PROCUREMENT NEGOTIATION

EXERCISE:

A negotiation Exercise testing the skills and

profiles of the participants will run for the rest

of the day.

We want the supplier to say yes

The business problem will incorporate all the

key factors of the programme.

Evaluating and re-assessing the Individual

Improvement Programmes and setting targets

for the future.

Who Should Attend:

Materials, Contracts, or Purchasing Managers,Buyers, Contract Administrators, any other

Managers or Professionals involved in

Implementing cost reduction initiatives orlooking for savings relating to the purchase of

goods, equipment, supplies, and services.

Robs interactive approach & in-depthexplanations and examples added immensevalue.He added new dimensions to the ContractManagement, Contracts Creation &

relationship with strategic information andapplication.

Contracts ManagerBT APPLIED TECHNOLOGY




his programme is designed to improveelegates awareness of techniques and

est practices associated with the

management of oil and gas contracts let tohird party suppliers. This is a fully

articipative programme that will update

elegates on key advances in contractmanagement and developments in the oil

nd Gas sector best contracting practices.

t will incorporate a number of case studiess well as group working throughout.

fter attending you will be able to:

Compose objectives for a procurement of

the provision of products or services fromexternal suppliers

Recognise the skills of a contract

managerDifferentiate the factors that lead to poor

performance versus the achievement of

sound value for moneyIdentify the key stages of the tendering

process and evaluate how these stages

can impact on the success of the contract

Interpret and formulate key performanceindicators and specifications

Employ techniques that will help motivatesupplier performance and buildcontinuous improvement

This Course is Conducted By:Rob Thompson

Common problems associated withcontracts with suppliers in the oil &

gas

Internally Driven Externally Driven

Proactive Strategies to effect problemmanagement

Actions to mitigate the impact

Setting objectives for procurement

projects

The special skills required for

effective oil & gas contractmanagement

Relationship management

strategic planning and implementation

Identification of the key risk

determinants

Development and promulgation of policyand guidance

Standard setting across the organisation

Policing/enforcement responsibility toensure the organisations Policy/

guidance/ standards are being adhered

to

Competitive tendering and how each

stage impacts on the contract

Procurement Cycle Analysis

Supplier management

Total cost approach

VA/VE

Supply Market Development

Developing robust oil & gas contracts

Mapping Demand

Defining appropriate specifications

Writing Control Documents

Risk Management in Oil & Gas Contracts

Undertaking risk assessments Developing risk management strategies

Analysis of Key Provisions inInternational Oil & Gas Contracts

Competitive bidding and Reimbursables

Leverage and Horizontal Integration Standardisation v Innovation v Competitive

Differentiation

Strategic Supplier and Market Development

Bidder Selection MMO Demand Management

E-Procurement opportunities and crossfunctional competency management

Supplier capacity relocation and quality

control

Risk Gain share and Reward

Asset Whole life Cost Management

Principal Standard Form Contracts Used

in the Oil and Gas Sector

EPIC/EPC(I) v Discrete Demand andAssembly

EC, EP, BOT, GC, MC, PSC, TSA, PSAC,

Concession and service contracts

Managing Agent

Consortia/Joint Venture

Ensuring compliance with the contract

Understanding contractual remedies for

poor performance

Key Contract Clauses

Applying effective contract monitoring

Key Measures of Supplier Performance

Improving Performance

Change control mechanisms

Handling Claims and Variations

Partnering & Negotiations

Creating partnering style relationships withsuppliers Negotiating improvements to current

service delivery

Management and Negotiation Techniques

Managing the Legal Issues

Dispute Resolution Process

Key Legal Contractual Risk Management

Issues

Managing force majeure and liabilityclauses

Motivational factors that enhance

performance and create continuousimprovement

Joint Performance Systems

Performance Reviews

Incentives

Review and evaluation

Who Should Attend:

Contract Administrators, Project Coordinators,

Contracts Officers and Managers, EngineeringProject Managers, Construction Managers,Tenders Managers, Buyers, Procurement/Purchasing Managers, Project Managers,Maintenance Mangers and Systems Managersand all others in organizations whoseleadership want world-class skills sets in thoseinvolved in contract management activities.The program is a great way to develop thosenew to the function, prepare for a majorproject, or useful as a refresher for veterans

Rob is exceptionally skillful and excellenttrainer. he successfully managed totransmit excellent and well composed

information to us.I have gained more knowledge (new) withimprovement of existing ones.

Contracts ManagerALDAR PROPERTIES

This course has added to me morenformation and gave me a guideline andules to be implemented in my work. I reallyhank you[for the] quality training thatour company had provided.

Contracts SpecialistMAADEN PHOSPHATE COMPANY




n todays economic environment, doinghat youve always done-even if you do itery well-is no longer acceptable. Underressure to contain costs and produceesults despite challenging circumstances,ou need to transform rather than simplymprove operations. That means adoptinghe philosophies, methods, and processeshat will make your organization best inass

What makes an organization best in class?he answer can vary with each company,ut there are practices that many leadingompanies are adopting. We will presentey practices that have been employed invariety of industries and locations.

he sequence of these best practices doesot indicate any priority or suggest aigher or lower importance ranking.owever, the presentation does offer aystematic approach for measuring theffectiveness in building a best in classrocurement group.

hese practices include the following:

Enterprise alignment in conjunction with

strategic directionUtilizing certain technologies to enhance

capabilities and proficiency

Establishing relationships with keysuppliers

Engaging in g in strategic sourcing

Application of total cost of ownership

(TCO) and not priceUsing a structural application to fit multi

national supply requirementInitiating the appropriate level of control

to ensure accomplishment of results

Minimizing risk via a systematic andcollaborative approach

Optimization of inventory

ven if you have implemented some ofhese practices, the insights and examples

resented will serve to validate yoururrent strategy. Understanding more

bout these practices will aid you inelecting the additional ones to move you

oser to a best in class enterprise!

This Course is Conducted By:Michael Gozzo

What you will learn:

How to initiate an assessment of yourposture relative to best practices

How to employ effective tactics that will

win stakeholder engagement

The best technology tools to employ in

various situations

Spend Analysis capability

Supplier Relationship Management

Collaborative Forecasting Planning

and Replenishment How to establish alliances for critical

relationships

How to create a platform for problem

resolution What are the steps involved in

employing strategic sourcing

What is Total Cost of Ownership (TCO)

How to employ TCO

What is optimization of inventory

How to achieve an inventory level that

will reduce inventory

How to determine procurement/supplyorganization to fit most situations

I. Introduction

a. Todays competitive issues

b. The role and impact of procurement

c. Studies identifying the best practices

II. Enterprise Alignment

a. Leaderships Role

b. Structural considerations necessary for

best results

c. Stakeholders who, why and how toinvolve

d. Exercise - enlightenment

III. Collaboration - A Major Results Tool

a. Supplier relationship maturity model

b. Transforming the relationship

i. Developing Trust

c. How to increase supplier involvement

IV. Strategic Sourcing as a Major Tool

a. What is it and why do it?

b. Defining the process steps to

accomplish itc. Developing and managing the supply

base

i. How many suppliers are needed?

ii. Selection and evaluation

techniques

d. Exercise Supplier Selection/

evaluation

V. Procurement s and Cost (TCO)

a. Traditional financial impact

b. Procurement process cost factors

c. Operational performance costs

d. Total Cost of ownership (TCO) vs.

Traditional Accounting

i. How to reduce the TCO

e. Process Improvement Model

VI. Leveraging Technology

a. Supplier Relationship Management

(SRM)

b. Supply Chain integration

c. Definition of e-tools and their

application

i. Spend Analysis

ii. E-sourcing

d. Pitfalls to avoid but learn from

VII. Risk and Procurements Role

a. Where are the risks?

b. Risk Analysis Tools for mitigation

VIII. Case Study Application of Best

Practices

HO SHOULD ATTEND:

chasing, Procurement, and Supply Chain

nagers and professionals, Materials,ntracts, Projects, Maintenance, Operations,

Financial Managers and, All othernagers and Professionals interested in

ering total cost and increasing productivity

profit contributions from betterchasing operations.



COURSE SUMMARY COURSE OUTLINETodays economics in business has broughtmany companies to address majornvestments like inventory with a limitedresults solution outsource the functionand/or activity. Procurement services andContract manufacturing activities aretypically what have been employed. Somereduction of inventory occurs BUT it isminimal as to what it could be.

In order to achieve a level ofsignificantreduction (more than 20% improvementper a research agency) throughout thesupply chain, a deeper awareness of whatcreates inventory needs to be understood.WHY? Certain actions taken will onlyprovide a short term impact/result. Thebasic problems havent been addressed(actions to reduce order quantities &revert to Lean Practices for delivery havedownstream impacts: 1) increasedequipment downtime; 2) increasedtransportation and handling costs. Theseeffects could have been avoided byaddressing core operating issues/problems.

The presentation will provide the basicfoundation to the principles drivingnventory decisions. Instruction will dealwith premises and practices thatnecessitate some inventory but end upbecoming drivers of day to day activities.The result being excessive levels buildingduring good times and reduction efforts

n bad times. The focus of the enterpriseneeds to be a balance and minimization ofthe inventory level all the time.

Learning Outcomes

How to control inventory physically andvirtually via computer systems andplanning techniques.

What are the advantages of the variousvaluation techniques (LIFO, FIFO,Average Cost)

How to determine which is theappropriate replenishment technique toemploy

What are the various order quantityapproaches and when they should beused

How to calculate the Cost of CarryingInventory and its application What are the different measurements

and what they mean How to define what is the appropriate

inventory level? What are the requirements and practices

for improving your posture?(competitive advantages of anenterprise).

How do you arrive at a projection ofyour business revenue?

What is the frequency of theadjustments to the projection and whatprecipitates it?

What level of inventory investment isrequired to ensure 99.9% customerservice?

How are your business planning andoperational policiesadjusted regarding forecast revision?

How to incorporate operating practicesthat promotecross-functional relationships to resolveand improvecustomer service and satisfactionperformance?

Todays business environment

Impact of the Supply Chain

Lean thinking principles

Customer satisfaction andcollaborative relationships

Global posturing

Information technology and its

influence

Overview of concepts application

What is forecasting?

The four (4) factors affecting a

forecast Demand Management and its

correlation with forecasting

Statistical inventory management &control

Inventory investment versus service

levels How lead time and various inventory

replenishment systems affectcustomer satisfaction and investment

Database Development

Terminology

Database map and editing

Why merge databases

Forecasting

Its impact on a business....pro and

con

What is the complexity of your

environment?

Forecast process strategies

Various approaches/methods offorecasting

Affects of product life cycle position

Demand Management

Reasons for inaccuracy

Monitoring the forecast for variation

Techniques used Bias, trend signals,demand filters and others

Customer Relation Management

(CRM)

Collaborative Planning Forecastingand Replenishment (CPFR)

Sales and Operations Planning (S&OP)

What is it and its role in a

company?

Identifying the product/service

hierarchy

The five (5) process stepsinvolved in creating a S&OP

Developing a S&OP grid

Outputs from the S&OP

Assessing your S&OP

process What then?

The benefits of the S&OP

Inventory Management and Control

Why carry inventory?

Ten (10) critical inventory issues The relationship of inventory to

forecast revision, demandconsolidation and succession

Inventory management versus

control

Three (3) steps to inventory

control

Safety stock, why and how much?

Service policy a realistic necessity

Average inventory

Measurements

Turns versus days of supply

Other performance indicators

Inventory and forecast variability

Ordering rules/policy

Replenishment alternatives

Kanban, ROP, MRP, VMI &

others

Conclusion

This Course is Conducted By:Michael Gozzo

WHO SHOULD ATTEND:

This program is targeted at people who are

responsible for planning and forecastingespecially: Forecasters / Forecasting

Supervisors or Managers / Master Schedulers

or Planners / Master Scheduling Managers,Directors, GMs / Inventory Planners or

Analysts / Inventory Managers, Directors or

GMs / Supply Chain Analysts, Managers orDirectors / Warehouse Managers / Material

Management Managers & Directors /

Distribution Managers or Directors / Product

Planners or Analysts / Financial Analysts orControllers / Operations Managers /Product

Analysts, Planners, Managers or Directors /

Marketing Managers or Directors / CustomerService Analysts




Many negotiation courses address the

topic in a general light or focus on

negotiation as a sales tool without muchfocus on contracts & procurement.

This workshop however, is specificallyfocused upon the IT and Outsourcing

commercial relationship negotiation

nterface. You will learn how to becomean effective negotiator in the context of a

commercial contract you will realize thatnegotiation is not merely an event, but

rather an inter-related phase in a largerprocess.

Attend and Discover:

When should you negotiate?

How can you best prepare for

negotiations with IT/Outsourcingcommercial partners?

Why are internal negotiations withstakeholders sometimes tougher than

negotiating with external commercialpartners?

Develop effective negotiation

strategies for your contracts in the IT/Outsourcing sector!

Assign effective roles to negotiationteam members!

How to create negotiation strategies

that enable greater value and riskpositions?

Identify negotiation tools that are

needed for negotiation success in theIT/Outsourcing sector!

Defining viable and effective

negotiation tactics

Knowing the tactics and when to usethem anticipating the tactics of the

other side - and planning how to reactand respond

Assigning certain tactics and roles tothe appropriate team members - and

preparing for the implementation

Exercise 1 - Addressing twenty potentialtactics, and selecting the right ones, for

negotiating a IT/Outsourcing contract

Developing a robust negotiation

strategy document

Defining the overall strategic outcome

of a negotiation

Key elements of a negotiation

strategy document

Socializing the negotiation strategythroughout the enterprise before the

negotiation formally commences

Exercise 2 Creating useful

multipurpose negotiation strategydocuments - from data modeling

contracts to hardware maintenancecontracts

Pursuing a positional negotiationapproach

What is positional negotiation?

Knowing when to use positional

negotiation approaches

Creating a principle-based negotiation

strategy

What is principle-based negotiation?

Knowing when to use principle-basednegotiation approaches

Understanding the risks and benefits

of principle-based negotiations

Exercise 3 - Role play: Negotiating amaintenance services agreement, using a

principal-based approach

Mastering the challenges of internal

negotiations

The differences between internal and

external negotiations

Tactics and strategies for internal

negotiation success Understanding the stakeholder -negotiation adversary or enabler?

Exercise 4- Negotiating a servicescontract to support stakeholders across

the entire integrated, multi-national

enterprise

Populating the negotiation tool box

The proliferation of electronicnegotiation platforms

The need for negotiation strategy

documents Capturing lessons learned and driving

continuous improvement across other

negotiations

Calculating financial equivalents in awinning negotiation

How to measure financial equivalents

in a negotiation

What to do when negotiating theimmeasurable. Keeping score - even

when the financial equivalents change

Exercise 5 Negotiating a IT maintenance

services contract - and knowing the valueof what was gained and given

This Course is Conducted By:Jim Bergman

HO SHOULD ATTEND:

rchasing, sourcing and supply managementfessionals Sales contracting professionals

ntract lawyers and attorneys Finance

fessionals involved in contracting Contractnagement professionals Contract managers

d administrators, End-users who impact, or

impacted by, the contracting processntract Negotiators Commercial,

ationships Manager Purchasing, sourcingd supply management professionals Sales

ntracting professionals Contract lawyers andorneys Finance professionals involved in

ntracting

Really happy that I signed up forthis course. Full marks!

Jim is one of the best instructors forcontracts and procurement around!

I like to thank Jim for this greatcourse



Robi BendorfCPM, CSPM, MCIPS has more than 35years of diversified, has over 30 years of diversifiedindustrial purchasing and sales experience involving

both domestic and international activities for a broadrange of manufacturing and service businesses. Hisvast practical experience combined with an excellenttheoretical understanding, strategic focus, and ability to

quickly implement concepts makes him a much sought afternternational authority in procurement.

HERE ARE A FEW HIGHLIGHTS OF HIS ILLUSTRIOUS CAREER:

Westinghouse Distribution and Control Business Unit:

$14 million in cost reductions by developing procurementstrategies for key commodities that took advantage of multi-plantvolumes and resources

Increased value from 17 to 30% of materials controlled bycentral purchasing by managing commodity specialists inimplementation of strategies

Westinghouse Trading Company:

Doubled sales income by promoting benefits of overseasprocurement to Westinghouse corporate and division levelexecutives

Achieved cost savings opportunities of over $3 million by on-site analysis of products and components purchased or made inhouse.

Tripled supplier base by determining potential sourcing countriesand locating new suppliers

Westinghouse Commercial & Industrial Air Conditioning Division:

Improved productivity of department by 76%

with excellenceguidelines

Increased cost reduction by 200% with cost reduction strategiesMedical Instrument Manufacturing Division of Fortune Top 100Corporation with Annual Sales $700 million:

Achieved 20 to 35% savings from overseas suppliers bydeveloping formal Global Sourcing Process and implementingactions

Non-Profit Health Insurance Association Annual Sales: Over $2Billion:

Accomplished $1.5 million in savings in less than 6 monthsby re-organizing spend profile

Large non-profit Professional Society Annual Revenues $70million:

$ 1 Million in savings opportunities identified Reduced 1500 suppliers by 25% per year by implementing cost

reduction program

Trainers Profile

Michael has over 30 years experience in SupplyChain, Demand Flow Technology, Just-In-Time,Total Quality Control, Inventory Control and

Production/Operations Management. Hisexperience as a practitioner concluded aftercompleting seven years as Director ofOperations at a division of Allied-Signal. He

subsequently became a consultant and guided manufacturersand computer OEMs (Apple) in the planning and interface withtheir suppliers. He has traveled and worked extensively inCanada, England, Hong Kong, Ireland, Scotland, Germany,Japan, Korea, Mexico, Indonesia, etc.

Michael has been selected to Who's Who in AmericanManufacturing and is one of the best in his field as can beseen from his Certifications, Memberships, Publications,Clients and Testimonials outlined below:

Certifications & Memberships Certified in Production and Inventory

Management (CPIM) & Certified Supply ChainProfessional (CSCP) by the Association forOperations Management (APICS),

Member of the American Society for Quality (ASQ), Member of the Institute for Supply Management (ISM

formerly NAPM), Member of Society for Manufacturing Engineers

(SME), Member of International Service Quality

Association (ISQA).

Books Published: Michael is a successful and

established author of many books. He is the co-author of "MadeIn America - The Total Business Concept", "Just-In-TimePurchasing", "Supplier Certification", "Behind Bars: Bar CodingPrinciples and Applications", and his latest "PeopleEmpowermentSuccess Through Involvement".

CONTACT US if you would like to have anIN-HOUSE TRAINING

[email protected]

08.30am Registration & Morning Coffee09.00am Training Starts10.45am Morning Coffee Break11.00am Training Resumes01.00pm Lunch02.00pm Training Resumes03.40pm Afternoon Coffee Break04.00pm Q & A05.00pm End of Training

TRAINING SCHEDULE

To Register, please see the last page
mailto:mailto:[email protected]:mailto:[email protected]



Jim Bergman VP - IACCM With extensivecontracting and negotiation experience in IT,outsourcing and various other types of commercial

contracting, Jim serves as Vice President for AsiaPacific and Middle East for IACCM a globalassociation focused on the effective development,creation and implementation of leading contractingpractices. Prior to joining IACCM, Jim was a

contracts attorney for a Fortune 500 petrochemical corporation,Amoco Corporation, and was responsible for legal and negotiationssupport to the IT procurement staff. He supported multiple locationsglobally, where he addressed strategic sourcing, IT/outsourcing andegal issues concerning services valued at more than $1 billionannually.

Jims experience encompasses developing, drafting, negotiating andmanaging IT, Telecom and outsourcing contracts for a wide array of

projects with multiple clients. He has extensive background in thenegotiation of outsourcing of hardware acquisition, hardwaremaintenance, software development and maintenance, systemntegration, ERP, telecommunication equipment, services andnetworks and various other outsourcing projects.Across his wide array of experiences, he has been extensivelynvolved in establishing many customer-provider relationshipsfounded on IT contracting and outsourcing best practices. He hasalso led in developing and delivering both public and internal trainingprograms related to IT/outsourcing.

As a strategic management consultant, Jim has assisted numerousclients through all phases and steps of contracting, negotiation,outsourcing, overall sourcing and bidding processes, and contractmanagement processes, demonstrating savings well in excess of

$100 million. Jim has also served as a workshop instructor in manytopics regarding sourcing, contracting, law and negotiations. Hisaudiences and clients have included attorneys, plus financial,operational and contracting professionals from multinationalcorporations and the public sector, including BP, Delphi Automotive,DuPont, FedEx, General Motors, Intuit, Johnson & Johnson, LamResearch, Makro, Maxis, Merck, Monsanto, Petronas, Shell, theState of California, the State of Florida, the State of Texas, Sun Lifeof Canada, Warburg Dillon Read/Union Bank of Switzerland,WalMart, Wellpoint, and the Workers Comp Board of BritishColumbia.

Jim holds a Law Degree, an MBA, a Bachelor of Arts and a Masterof Arts degree. In addition, he is licensed to practice law in Illinois,

Texas and Oklahoma, as well as various US federal courts.

Testimonials:

Trainers Profile

One of the best courses Ive been to and a great help to mywork

Practical, Easy to Understand and Extremely Useful. What more can I ask.

Really happy that I signed up for this course. Full marks!

Jim is one of the best instructors for contracts and procurement around!

I like to thankJim for this great course

Rob Thompson is an outstanding procurement &contracts professionals with 30 years internationalexperience in strategic & operational procurement and

contracts. He has a natural passion for trainingprocurement & contracts people seen in the facts thathe has delivered over1,000 specialist trainingprograms with CIPS and over 400 other trainingprograms with other organisations worldwide.

His specialist areas include purchasing and contract management,the development and implementation of major business strategicinitiatives, negotiation, contract law and market and supplierdevelopment across a broad spectrum of business organisationsand commodity areas including oil & gas, facilities management,construction, financial services, manufacturing, food processing andIT. Hes an expert at developing and organising the interface withinternal and external suppliers, customers, and sub-contractors.

Rob has the ability to merge theory with practice and make lively andinteractive sessions.

Rob has a unique style of training, he has theability to combine theory with practical applicationto create workable solutions for the organisation.

Sarah Sediqa

Strategic Business Development, LKPP Indonesia

Rob is not just a procurement & contracts consultant and trainer, butalso as a practitioner where he has many achievements on costsavings, contract utilisation, supplier base reduction and commoditynegotiations & development.

As a Regional Director of Purchasing Rob achieved:

Over $15 Million in Savings;

15% reduction in supplier base;

Increased contract utilisation by 15%; and

Increased purchasing efficiency by 18%.

As a Regional Purchasing Manager earlier in his career Robachieved a 5% savings when developing and negotiatingcontracts for 5 new commodity areas.

Heres what others say about Rob.

We wish we had many more like Rob he hasinspired us to develop procurement to a higherlevel of credability within our organisation.

Samir Taghiyev

Contracts Engineering Specialist, BP Azerbaijan

Rob has a great enthusiasm for procurement andhis style and personality is infectious.

Raul Aliyev

Contracts Engineering Specialist, Ras Gas

Rob has generated a greater interest in

procurement across the collective organisationswe work with than any other procurement trainer.

Valerie Roberts

Legal Adviser Public Procurement , IDLOCONTACT US if you would like to have an

IN-HOUSE TRAINING

[email protected]
mailto:mailto:[email protected]:mailto:[email protected]


13/13

REGISTRATION FORMREGISTRATION FORM

PAYMENT OPTIONS: Please tick your method of paymentPAYMENT POLICY: Payment is required within 5 days uponreceipt of the invoice.

BANK TRANSFERBank Name: STANDARD CHARTERED BANK MALAYSIA BERHADBank Address: Lot 10, Jalan Sultan Ismail,

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CHEQUEPlease make your cheque crossed payable to KAVAQ BUSINESSINTELLIGENCE (M) SDN BHD in Malaysia Ringgit (MYR).

REGULAR FEE RM 5,995.00 / USD 1,995.00per participant

Group of 3 to 5 RM 5,635.00 / USD 1,875.00(6% off) per participant

Group of 6 or more RM 5,096.00 / USD 1,696.00(15% off) per participant

Supplier Qualification and Performance Measurement14 - 15 January 2013, Kuala Lumpur - Malaysia

Cost Reduction in Purchasing16 - 17 January 2013, Kuala Lumpur - Malaysia

Strategic Negotiations in Procurement & Purchasing25 - 26 February 2013, Kuala Lumpur - Malaysia

Strategic Contract Management For Oil & Gas27 - 28 February 2013, Kuala Lumpur - Malaysia

Leading & Managing for Procurement & Purchasing16 - 17 April 2013, Kuala Lumpur - Malaysia

Tender Management18 - 19 April 2013, Kuala Lumpur - Malaysia

IT Contract Management18 - 19 April 2013, Kuala Lumpur - Malaysia

Global Procurement Best Practices27 - 28 May 2013, Kuala Lumpur - Malaysia

Materials & Demand Planning29 - 30 May 2013, Kuala Lumpur - Malaysia

IT Contract Negotiation1 - 2 July 2013, Kuala Lumpur - Malaysia

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