As a professional much of your role will include the need to make decisions and almost all of these will impact on the financial health of your business.
It is essential that procurement and supply chains professionals develop their skills and competences in financial management in order to use a range of tools and techniques to ascertain level of risk and make informed decision in the appointment and management of their suppliers.
Every grade will benefit from theses workshops, specifically these would include but not be limited to Strategic Procurement Manager, Senior Category Manager, Supply Chain Manager, Head of Logistics and Operations Manager, Senior Buyer, Chief Buyer, Category Manager, Contract Manager, Contract Officer, Logistics Manager and Supply Chain Executive.
None required; however, all exercises and workbooks will be provided in soft copy in advance, it is strongly recommended the delegates download theses prior to attending.
Training will be facilitated through a blend of tutor lead discussions and syndicate work with particular emphasis on problem solving exercises. It should be noted that the workshops are designed to be practical and furnish attendees with the tools and techniques needed to carry out financial appraisal to improve decision making.
Delegates would benefit from access to calculators and Microsoft Excel
3 Days ( 24 hrs.)
The indicative content supplied below have been broken down into a series of two-hour sessions, whilst each session is timed at 2 hours this is minimum and overruns should be expected depending on the level of interactivity and time to complete the exercises.
Session 1 (2 hours)
Session 2 (2 hours)
Understanding costs and cost behaviour (including a practical exercise on break – even analysis to demonstrates the impact of procurement decisions and how B/E analysis can be used in negotiation)
Session 3 (2 hours)
Financial Statements:(including a practical exercise)
Your supplier should be in good financial health. Cash-positive firms are in a much better position to weather economic ups and downs. So, does this supplier have plenty of cash at hand, or are they overextended financially? And what information can the supplier offer to demonstrate their ongoing financial strength? Understanding Key Financial Statements and their Various Formats is key to this. Analysis of these statements will be carried out in session 4.
Session 4 (2 hours)
Ratio Analysis: (including a practical exercise)
Carry out a financial appraisal and risk analysis of suppliers, own organisation, and customers, using a range of financial performance ratios: (including a practical exercise)
This session is designed to demonstrate the important of financial appraisal during the sourcing and performance management phases to make optimum buy decisions
Session 5 (2 hours)
Demand Forecasting: (including a practical exercise)Demand forecasting can help plan for the seemingly unexpected scenarios, cut costs, and streamline existing and future manufacturing logistics planning efforts including load distribution, flexibility in case of disruptions, seasonality, inventory costs, and inbound logistics planning
Session 6 (2 hours)
Inventory Replenishment Methods: (including a practical exercise)
The importance of sound inventory management practises and the impact on financial performance of these cannot be underestimated. With procurement teams spending up to 70% of the cash within the business (much of this is inventory related) it is essential the professional fully understands the impact of over and under stocking. This session the methods which can be used to encourage best practise and delivering value from a financial point of few.
Day three is particularly relevant to those who have project-based roles and responsibilities
Session 7 (2 hours)
Developing and managing budget and cost management control: (including a practical exercise)
Session 8 (2 hours)
Deliver effective capital purchasing plans: (including a practical exercise)
A fundamental activity in procurement and supply is to recommend a product or service. When these are to be capitalized it is essential the professional can evaluate the nature and importance of investment decision-making using a range of methods.
Session 9 (2 hours):
Additional Issues: (including a practical exercise)
Project based procurement requires additional skills that help the professional to evaluate the most appropriate decision-making tools for projects across a variety of sectors.