A few decades ago, the Purchasing function in an oil & gas company was seen only as a Procurement function, being in charge of supplying goods and services defined by the end user. Over the years, the Purchasing function has proven to be a powerful leverage of savings and cost reduction. In the energy sector, where production sites are spread everywhere and sometimes in very isolated areas, Purchasing & Procurement have also the mission to secure the supply of high-tech equipment which will travel all over the world before being installed offshore or in remote areas. These two objectives - cost saving and security of supply - make the Purchasing & Procurement process a strategic function and an essential segment of the Supply Chain as it drives the other steps of the chain.
Course Structure: 8 modules of max. 2 hours each, delivered over 4 days Each day will consist of 2 x 2 hour modules including a 30 min. break in between.
Course Level: Skill Duration: 4 days Instructor: Paul Adrian or Pierre Lhermitte
Designed for you, if you are...
This course is primarily designed for Purchasers or Head of Purchasing.
It is also beneficial for any actor of the Supply Chain: Expediter, Stock Controller, Cost Controller, Transit Agent.
It is also recommended to actors of the Logistics function who want to enlarge their domain of knowledge of the Supply Chain.
Finally, the Technical Administrators from the Technical Departments may also find this course beneficial in order to facilitate their interaction with the Purchasing Department.
How we build your confidence
Live instructor-led training
This course will give you a strong theoretical background through a solid and meticulous documentation you will be able to use in your working position as a reference
The course will also make extensive use of case studies and exercises
The benefits from attending
Upon completion of this course participants will:
Have a thorough understanding of the Supply Chain and the way to optimise its efficiency through recommended practices and exercises.
Understand the interaction between the different links of the Chain.
Purchasers will have enhanced their strategy and developed their negotiation capabilities through the DIDACTIC negotiation method.
Definition of the Supply Chain and Procurement functions description
The Supply Chain in a manufacturing industry: Definition, purpose and example.
The Supply Chain in the upstream industry: Definition, purpose and example. Differences and similarities between both supply chains.
Procurement functions description: Purchasing - expediting - inspection - transit/shipping - material management: mission, objectives, main tasks, job description.
The Purchasing Process From the identification and expression of a need to the evaluation and follow-up of vendor's performance, this module is a detailed study of the Purchasing Process within the loop of the continuous improvement. Golden rules give a frame of Good Practices.
Golden Rules & PDCA cycle: 7 Golden Rules in Purchasing - PDCA cycle applied to purchasing process
Schedule and define the needs: Internal & external lead time - definition of the “right” need: SQSCI criteria - SOR/SOW - technical/functional specifications
Select a supplier: Qualification of vendor - category management - OEM - bidder’s list.
Follow-up and receive: Expediting & reception of the purchase order
Evaluate vendor’s performance: Vendor’s evaluation process - vendor’s progress plan
The Purchasing Strategic Tools This module defines first what are the principles of a sustainable purchasing process with some guidelines on how to integrate these principles into a purchasing policy. In the following sections, we will study the tools allowing the purchaser to define a strategy: The Market Analysis, the segmentation of the market into categories, the vendor's strategy and the types of contractual agreement the buyer will put in place depending on the defined strategy.
Sustainable Purchasing: Sustainable purchasing definition & principles. Examples of actions in sustainable purchasing - The standards in CSR - compliance and ethics.
Category management: Category management definition - role of the category manager.