PROCUREMENT MANAGEMENT (PM)

PROCUREMENT MANAGEMENT

Dr. K. C. PRAKASH
Course Description
• Overall understanding of the process of procurement management including the
growing trend of global sourcing and e-procurement.
• It also outlines the work involved in planning procurements from farm gate
including determining the type of contract to use along with preparing a project
procurement plan, statement of work, and source selection criteria.
• The process of controlling procurements by managing relationships, monitoring
contract performance, ensuring Dispute Resolution mechanisms and
performance measurement.
Course Goal
• To enlighten the minds young professional that can take the skills developed in
the world of procurement management to successfully run any agri- business and
related ventures
Course Objectives
The objective is to produce management professionals specialized in procurement
management for agri-business organizations.

• Be able to appreciate the concept of purchasing and procurement

• Gain the skills required for procurement in any agri-business sector

• Understanding strategies of procurement to negotiating deals for profit of

organization

• Apply procurement theories in workplace for sustainable improvement and

value addition of the organization.
Procurement Management Modules
Modules Topic Sessions
Module 1 Introduction to Nature of procurement management - purchasing cycle -
procurement Contribution of shipping and freight forwarding agents in
management procurement management - Stages involved in the
preparation of purchase specifications (i.e. enquiry stage,
purchase order stage) - Key issues relating to supplier
selection - Formal bidding procedure - Relevance of
purchase requisition - purchase quantities and its affect
in procurement management – Considerations in
purchase order amendments - marking and labelling
goods before transit (4 sessions).
Module 2 Managing Determine the type of purchase and level of investment,
sourcing and perform the procurement process, evaluate the
procurement effectiveness of the strategic: sourcing process, supplier
selection, use of the trade-off analysis for supplier
selection, procurement pricing, procurement team and its
contribution (3 sessions).
Module 3 Strategic Delivering customer value – defining customer service –
sourcing and impact of “out of stock” –value creation and effectiveness
delivering – identifying customers service needs – customer service
customer value objectives – cost benefit of customer service – setting
customer service – setting customer service priorities –
setting service standards (3 sessions).
Compulsory Readings
Lysons, K., & Farrington, B. (2016). Procurement
and supply chain management. Pearson Higher Ed.
Leenders, M. R., Fearon, H. E., & England, W. B.
(1980). Purchasing and materials management.
Irwin Professional Publishing.
Carlsson, M. (2015). Strategic sourcing and
category management: Lessons learned at IKEA.
Kogan Page Publishers.
Leenders, M. R., Fearon, H. E., & England, W. B.
(1980). Purchasing and materials management.
Irwin Professional Publishing.
Ukalkar, S. (2000). Strategic procurement
management for competitive advantage. New York:
Oxford University Press
Lysons, K., & Farrington, B. (2016). Procurement
and supply chain management. Pearson Higher Ed..
 Procurement Management Modules
Modules Topic Sessions Compulsory Readings
Module 4 Understanding Project managers role in negotiations - Nature of good Sollish, F., & Semanik, J. (2007). The procurement and
the nature of negotiation skills - Evaluate the stages involved in Supply manager's Desk Reference. John Wiley & Sons.
negotiations negotiation (i.e. preparation, introduction stage, Bichler, M., Davenport, A., Hohner, G., & Kalagnanam, J.
discussion stage, Agreement stage, post negotiation (2006). Industrial procurement auctions. Combinatorial
stage)- Competition and co-operation in negotiation – auctions, 593-612.
Case study on strategies of negotiation (4 sessions).
Module 5 Procurement : Raw materials and commodity procurement contracts Ahmed, R., & Bernard, A. (1989). Rice price fluctuation and
Price and trading market, raw material and commodities an approach to price stabilization in Bangladesh (Vol. 72).
stabilization price forecasting, commodity procurement strategies – Intl Food Policy Res Inst.
forecast during increasing prices (3 sessions).
Module 6 e-procurement Importance of e-procurement system - benefits of e- Neef, D. (2001). E-Procurement: From strategy to
systems procurement - Barriers to e-procurement-Case study on implementation. FT press.
e-procurement system (2 sessions).
Module 7 International Basics of global sourcing and international procurement Holweg, M., Reichhart, A., & Hong, E. (2011). On risk and
and global - reasons for organizations to source internationally - cost in global sourcing. International Journal of Production
sourcing account on the problems associated with international Economics, 131(1), 333-341.
sourcing and recommend solutions - nature of Long, D. (2003). International logistics: global supply chain
arbitration in international sourcing - implications of management (pp. 85-94). Dordrecht, The Netherlands:
customs and countertrade in global sourcing Kluwer Academic Publishers.
(3 sessions).
Module 8 Procurement: Different ways of measuring the procurement function Gheorghe cârstea, Oana păun, Sorin păun.(2014). Quality
Quality cum using indicators such as cost savings, quality, management in procurement and management of material
performance purchasing improvements - Evaluating the benefits of resources. Proceedings of the 7th International
measurement measuring the procurement function (2 sessions). Management Conference "New Management for the New
Economy", 7-8 November 2014, Bucharest, Romania