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Operational Purchasing

Purchasing of goods and services in a cost effective way

The everyday call-off and material planning routines, namely the acquisition process, is carried out within the operational purchasing. These buyers have a close contact with suppliers. Logistics working methods and holistic thinking are common in this work. Knowledge of logistics is therefore important for operational purchasers.

Operational purchasing is usually a decentralized function in the company organization with placement near the flows of materials and services within production and administration.

Objectives: This course gives you a good insight into the use of logistics knowledge in the purchasing work to procure goods and services at the right quality and at the best cost for the company, in a way that provide a good flow.

Participants: The course is intended for those who work or intend to work with operational purchasing issues and call-off within materials supply.

Qualifications: No previous knowledge is required, but it is preferable if you have some work experience.

Training Method: Operational Purchasing is a Premium course and is studied over the internet via our e-learning platform Instant education. Read more about the training method E-learning - Premium courses.

Course Length: Approximately 20 hours active study time, depending on previous knowledge. Each student has access to the course for 6 months.

Price: 432 Euro / student
480 USD / student

Prices excluding VAT.
For large-scale education projects request quotation.

Online price:

417 EURO / student
463 USD / student

Prices excluding VAT.

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Course contents:

Part 1

Purchasing Operations Structure

Purchasing operations can be divided into strategic, tactical and operational purchasing.

Operational Purchasing

The operational purchasing contains the everyday call-off and material planning.

Production Systems

Factors included in a production system.

The Logistics Function

Handling flow of materials.

What Factors Affect the Flow of Materials?

Functions within a company that affect the flow of materials.

The Changing Face of Materials Supply

The interplay in materials supply.

The Materials Supply Function

Description of the materials supply function.

The Planning Process

Planning levels and level of detail.

Manufacturing Planning and Control

Introductory description of the planning and control systems used in production processes.

Capital Tied up in Inventory

A basic premise for material control is that tied-up capital should be kept at a low level.

Managing Uncertainty

Managing uncertainty and estimating future demand as basis for short and long term decisions.

Objectives of Managing Uncertainty

To improve the availability of information for internal and external stakeholders.

Part 2

Purchasing Requirements

Identifying the company’s purchasing needs and purchasing planning.

Increased Purchase Frequency

Increased purchase frequency at companies entails reduced purchase quantities per call-off and an increased frequency of delivery.

Purchasing Lead Time

The purchasing lead time for a purchase planning can be divided into time elements that are linked to the material procurement process.

Reduced Delivery Times and Greater Delivery reliability

Reduced delivery times and greater delivery reliability to achieve flexibility and adaptability.

Demand-driven Materials Supply and Production

Production and delivery take place according to actual consumption in the flow of materials.

Simple Procedures and Improved Cooperation

Efforts that are focused on procedures and communication should result in lower costs.

Purchasing – Enhancing Efficiency

Enhancing the efficiency in the administrative flow.

Supplier Classification

The usual terminology is to classify suppliers for their products and services.

Trends Among Industrial Buyers

Description of trends and demands in procurement.

Purchasing and Supplier Relationships

Introductory description of the term supplier structure.

Supplier Cooperation

Relationships with suppliers should be considered from a broader perspective than solely as a means to acquire materials.

Customer Service Agreements

Description of various elements regarding customer service agreements.

Part 3

Purchase Planning and Forecasting

We get from the supplier what we ask the supplier to furnish.

Characteristics of Demand

There are some characteristics of demand that influence the forecast and the particular techniques used.

Controlling Materials Flow in Inventory

Managing inventory to match supply and demand.

Order Point Systems

The definition of an order point system and how to use it.

Periodic Ordering Systems

Explanation of the implication and function of a periodic ordering system.

Lot Sizing and Economic Order Quantities

Regulations for how to calculate batch sizes.

The Wilson Formula

The Wilson formula is used to calculate the most economic order quantity.

Delivery Monitoring

Working with delivery monitoring to assure delivery.

Follow-up of Delivery Performance

Routines for following up the delivery and the supplier.

Receiving Inspection

Receiving inspection of arriving goods.

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