NATIONAL UNIVERSITY OF SINGAPORE

School of Business
Department of Decision Sciences
DSC3202 Purchasing and Materials Management
Lecturer:

Keith B. Carter

Session:

Semester I, 2015/2016

CurriculumforPurchasingandMaterialsManagement(P&MM)
BestinclassPurchasingandMaterialsManagement(P&MM)functionssupportcorporateperformance
bydelivering theappropriatebalance of Cost, QualityandSpeedToMarket.Thefunctioncaninclude
sourcing,costing,supplierrelations,logistics,andgoodsstorage.
Whileorganizationsbuyvaryingcombinationsandamountsofrawmaterials,manufactured
parts/components,andservices,theyallhavetoperformthisprocurementfunctionefficientlyand
effectively.Inmanyorganizations,thevalueofpurchasedgoodsandservicescouldaccountformore
than80%oftheirtotalspending.Therefore,P&MMrepresentsasignificantareaforgenerating
competitiveadvantagebyimprovingCostofGoodsSold(COGS)andSG&A(SalesandGeneral
Administration).
Studentswilllearnaboutsupplychainstrategy,andthenaligntheP&MMstrategyandtactics.
Negotiations,supplierrelationshipmanagement(SRM),contractperformancemanagement,and
ActionableIntelligencearefoundationalelementsintheclass.
Eachclasssessionisrunasabusinessmeetingwithregularcoachingonhowtobepreparedforthe
businessenvironmentincluding:ideationsessions,makingpersuasivearguments,anddelivering
businesscases.
Theclassalsohasspeakersfromindustrytodiscussrealworldsituations.
InthiscoursestudentswilllearnhowtodeliverbestinclassP&MMresultsby:

StudyingP&MMstrategy,tacticsandcapabilitiesusedbycorporationstoday
Practicingnegotiationsinclass
Deliveringseniormanagementlevelpresentationswithcost/benefitsofrecommended
strategiesandtactics

By the end of the course, students will be ready to be active and contributing members of a P&MM
function. They will have the foundational knowledge to support senior management in strategy
developmentandbuildingcasesfortacticalimprovementsinPeople,Processes,andTechnology.

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Assessment Methods
Individual Assignments
Class Participation
Midterm
Group Activity
Final Group Project

15%
5%
20%
20%
40%

Course Schedule & Contents

Session LectureTopics
1
OverviewofPurchasingand
MaterialsManagementCourse:

ClassActivity:
Introductions

2
SupplyChainandProcurement
OrganizationandStrategy

ReadingsandLearningOutcomes
Readings:None

LearningOutcomes:Challengingwhatyouthoughtyouknew
aboutpurchasing

Overviewofthecourse
Reading:IntroductionstoProcurement(shortreadings)

LearningOutcomes:
Howdoescorporatestrategydrivepurchasing?
Linkthetypeofprocurementwiththestrategy?
Whatarethekeydriversofpurchasing?
Whatarethebasicmeasurementsforsuccess?
Whataretheresponsibilitiesforpurchasingmanagers?
TypicalDayintheLifeofa
Readings:Ch6:PurchasingProceduresandSupportingTools
Procurementprofessional
Ch7:Supplierrelationships

ClassActivity:
LearningOutcomes:
Tryoutprocurementsoftwareas Whatdoesapurchasingprofessionaldo?
partofthepurchasingworkflow Whatsystemsdotheyuse?
Workonactualpurchasingdocuments.
ManagingProcurementData
andMeasuringSuccess

ClassActivity:
Practiceprocurementprocessing

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Readings:Ch11Sourcingandmanagementofsuppliers
Ch12Managingpurchaseprices

LearningOutcomes:
Understandwhat"good"lookslikeinprocurement
Howdowemeasuresuppliers,buyers,andlinkagewiththe
companyperformance,ABC,VRR,GQMS

7
8

10

11

12
13

LinkingProcurementwith
Finance

Readings:EVA/SCORImpactArticle
Ch10MatchingSupplywithDemand
Ch14BuyingfromOverseas
Ch16Supporttools

LearningOutcomes:
ClassActivity:
Howcanweshowthatprocurementhelpsthebalancesheet,
P&Lstatementandcashflow?
Supply/demandmatching
LearnhowtoleverageINCOterms,lowcostlocation,leadtimes,
process
taxesandcurrencies.UseNewsvendor,EOQandmore
Procter&GambleInClass
Read:P&GPreparationmaterials
DiscussiononPurchasing

LearningOutcomes:
P&Gprocurementpractices.
SupplierSelectionandbenchmarking.
RECESSWEEK

InClassMidterm
Demonstrateknowledgelearnedsofarinthecourse
BestpracticesinProcurement
Read:ArticleDesigningforSupplyChain
Ch8Purchasing:productinnovation
Ch9Specifyingandmanagingproductquality

LearningOutcomes:
Kaizen,TQM,useQlikview
Decidehowtohelpacompanywiththeirprocurementsituation
ContinuingaDayInTheLifeofa Read:NegotiationConceptsResources
PurchasingProfessional:Being
Ch15:Negotiation
PreparedtoWintheNegotiation
LearningOutcomes:
Performingnegotiations
NegotiationandSimulation
Read:Ch13:ContrastingApproachestoSupply

LearningOutcomes:
Practicewithmorecomplexnegotations
WarehouseVisit(Datemaybe
Reading:3rdPartyLogisticsbackgroundmaterial

Changed)
LearningOutcomes:
Whatshouldbeconsideredwhenbuyingservices?
OrSupplyChainSimulation
Whatarethekeybenefitsofoutsourcinglogistics?
Activity
Knowledgeofthewarehouseoperationandkeyfunctions.
FinalCaseReviews&Poster
LearningOutcomes:
Contest
Demonstratehowalllearningsfittogether
FinalCaseReviews&Poster
LearningOutcomes:
Contest
Demonstratehowalllearningsfittogether

Copyright2015NationalUniversityofSingapore
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