Module BUSI4Y015: Strategic Procurement

Department: Management and Marketing

BUSI4Y015: Strategic Procurement

Prerequisites

• None.

Corequisites

• None.

Excluded Combination of Modules

• None.

Aims

• Based on a broad coverage of current research, participants will learn how to analyse, structure, and tackle strategic problems faced by the procurement function.

Content

• During the last decades, the value sourced from suppliers and innovation stemming from the supply base have increased substantially in many industries. Consequently, the role of the purchasing function has shifted from a clerical support role that merely drives cost savings to a truly strategic role that drives growth, innovation, and value creation. Today, most organizations consider the management of their suppliers as a critical strategic issue that requires top management attention. This module provides a broad survey of modern procurement theory and practice from a strategic perspective. It also lays the groundwork for more advanced modules. Topics include:
• The design and implementation of procurement strategies
• The relationship between a firm’s competitive strategy and its procurement strategy
• Procurement operating models (including organizational structures, processes, and systems, performance measurement) and their digital transformation
• Key issues related to governance and compliance in procurement and corresponding control mechanisms the problem of performance trade-offs and how to provide justifications to stakeholders (particularly in the context of sustainability)
• Management of supplier portfolios and buyer-supplier relationships
• Supplier innovation and integration in new product development (NPD)

Learning Outcomes

• By the end of the module, students should be able to: -
• Develop critical understanding of procurement processes and how challenges associated with disruptions, globalization and the volatile environment impact upstream supply chains and procurement strategy
• Develop critical understanding of the designs of procurement operating models and their specific advantages and disadvantages
• Develop advanced knowledge and understanding of how category management can be used (1) for strategy development, deployment, and optimization and (2) as organizational structures,
• Develop critical understanding of the supply base’s contribution to innovation.

• By the end of the module, students should to be able to:
• Critically analyse, develop, and justify procurement strategy
• Discuss criteria underlying the structural configuration of the procurement function and develop appropriate operating models
• Develop hierarchical category trees and devise material group strategies (including Kraljic portfolio matrix)
• Describe and critically analyse procurement processes

• Effective written communication
• Planning, organising and time management
• Problem solving and analysis
• Reflecting and synthesising from experience and diverse perspectives

Modes of Teaching, Learning and Assessment and how these contribute to the learning outcomes of the module

• The module is delivered via a blend of on-site in person teaching followed by online learning. On-site teaching will include a mix of taught input, group work and discussion, and use of case studies to emphasize real-world applications. High-calibre guest speakers from practice will enrich the learning experience with and industry-insights.
• Online learning will be divided into study weeks and will typically include activities facilitated by the teaching team and specially produced resources. Facilitated activities will make use of a range of educational technologies to include digital collaboration spaces and live online sessions. Learning resources vary according to the learning outcomes but typically include: video content, directed reading, reflective activities and opportunities for self-assessment.
• The summative assessment (a reflective portfolio) will enable students to further develop their understanding and reflect on their acquisition of skills, articulation of their knowledge and understanding, their ability to apply what they have learned in a particular context, and synthesizing their learning from the module combining their own experience and diverse perspectives of team members.
• The portfolio, for example, can include reflections on the industrial relevance of specific concepts, frameworks, tools, reflections on discussions with fellow students about their own experiences on adopting procurement best practices, case examples of organisations with excellence in procurement processes and lessons learnt from those.

Teaching Methods and Learning Hours

Summative Assessment

Formative Assessment:

The formative assessment serves to encourage students to study regularly and to monitor their learning progress. Students will undertake a series of activities aligned to the module content, which can include group presentations, case discussions, individual or group reflections on specific topics receiving ongoing feedback on theoretical knowledge and how it is applied. Tutors provide feedback on formative work and are available for individual consultation as necessary (usually by email and video call). Written feedback will provided through email or on Learn Ultra.

■ Attendance at all activities marked with this symbol will be monitored. Students who fail to attend these activities, or to complete the summative or formative assessment specified above, will be subject to the procedures defined in the University's General Regulation V, and may be required to leave the University