Bsm022 Purchasing Principles And Law Assessment Answer

Question:

1. Critically assess the implications for purchasing of relevant business legislation.

2. Critically evaluate the impact of contractual relationships and apply appropriate strategies to the management of commercial contracts.

3. Critically evaluate theory and development of negotiating approaches and to develop appropriate negotiation strategies for use in the business environment.

4. Autonomously synthesise a strategic approach to the use of purchasing principles and law.

You are purchasing manager for a UK based manufacturer seeking a new supplier for a complex assembly. Manufacture of the assembly is being located to support a new business unit currently being built in a country of your choice.

The assembly is already being produced in the UK, but shipping costs are too great to send it abroad due to size and weight, hence the need for a local supplier.  The assembly is a high value, medium volume product.

As the purchasing manager in charge of the sourcing project, you have evaluated a range of possible suppliers and have narrowed your choice down to two possibilities through desk-based research. Your job is to design the appraisal criteria and plan the negotiation processes which will aid your decision of which supplier is best suited to the job.  

Please complete both parts of the task.

1. Define how you will determine which is the most suitable supplier.

Construct an appraisal questionnaire. Design and justify the criteria and measurements you will use to appraise the suppliers.

2. Consider the planning stage of the negotiation process. Please collate all of the information you think is necessary for conducting an effective negotiation and securing the most desirable terms and conditions of supply.

3. To address this brief successfully, you must consider both purchasing principles and the legal aspects associated with supply of the assembly.

Coursework Aim:

To ensure students demonstrate in depth understanding of the supplier appraisal process by considering the key characteristics of a product. Students should show clear alignment between the two.

To ensure students understand the importance of planning in the negotiation process. They should also make clear connections between the negotiation process and terms and conditions of supply.

To encourage synthesis of the key themes as described in the assignment brief.

Coursework Learning Outcomes:

Through further study and reflection, students are to demonstrate and expand their knowledge of purchasing principles.

Presentation Format/Instructions: (word count/report/essay/etc)

·You are required to produce the work in report format. Graphs, tables and charts are to be used as appropriate and are not included in the word count. The executive summary and table of contents not included in the word count.

·Evidence you wish to present in support of your work should be appended and referenced in the main body of work. Appendix are not included in the word count.

·A sans serif font type such as Calibri or Verdana, font size 11, with 1.5 spacing.

·A coursework report could be structured as follows:

A cover page is required with the word count displayed. 10% over this limit is acceptable. Failure to keep within 10% of the designated upper word count will result in a penalty of a reduction of one grade. Any appendices you may attach are not included in the word count. You must include a statement on the front cover of your work that gives the word count. You must comply with staff requests to submit to Turnitin and provide a receipt where asked to do so.