Advanced diploma inprocurement and supplyUnit content guideCIPS Group Easton House, Easton on the Hill, Stamford, Lincolnshire, PE9 3NZ, United KingdomT 44 (0)1780 756777 F 44 (0)1780 751610 E [email protected] Africa Ground Floor, Building B, 48 Sovereign Drive, Route 21 Corporate Park, Irene X30, Centurion, Pretoria, South AfricaT 27 (0)12 345 6177 F 27 (0)12 345 3309 E [email protected] Australasia Level 2, 520 Collins Street, Melbourne, Victoria 3000, AustraliaT 1300 765 142/ 61 (0)3 9629 6000 F 1300 765 143/ 61 (0)3 9620 5488 E [email protected] is a registered trademark of theChartered Institute of Procurement & SupplyCIPS MENA Office 1703, The Fairmont Hotel, Sheikh Zayed Road, PO Box 119774, Dubai, United Arab EmiratesT 971 (0)4 311 6505 F 971 (0)4 332 8810 E /16CIPS Asia Pacific 31 Rochester Drive, Level 24, Singapore, 138637T 65 6808 8721 F 65 6808 8722 E [email protected] global excellence in procurement and supply
Advanced diploma in procurement and supplyAdvanced diploma in procurement and supplyIntroductionThe Chartered Institute of Procurement & Supplyqualiﬁcations ladder has ﬁve levels of awards. For detailsof the entry requirements for each level, please refer towww.cips.org. The CIPS Advanced diploma inprocurement and supply is a higher level qualiﬁcation. Ithas been accredited by the Oﬃce of Qualiﬁcations andExaminations Regulator (Ofqual) in the UK and appearson the Register of Regulated Qualiﬁcations. Please referto http://register.ofqual.gov.ukThe Advanced diploma in procurement and supplyconsists of three compulsory units. Additionally you mustchoose two optional units from a choice of three. Allunits are assessed individually using a range ofassessment methods.If you wish to study for theadvanced diploma it is expected that you will undertake50 guided learning hours per unit, ie a total of 250 guidedhours. The deﬁnition of guided learning hours is:“A measure of the amount of input time required toachieve the qualiﬁcation. This includes lectures, tutorialsand practicals, as well as supervised study in, forexample, learning centres and workshops.”Advanced diploma in procurement and supplyQualiﬁcation number: 600/7548/XUnit Title:COMPULSORY UNITSManagement in procurement and supplyManaging risks in supply chainsImproving the competitiveness of supply chainsOPTIONAL UNITSCategory management in procurement and supplySustainability in supply chainsOperations management in supply chains02If you study at a CIPS study centre, you will ﬁndthat they may vary on the exact format fordelivery of the study programme. Additionally,we would recommend that you also commit 70hours per unit of self-study, including widerreading of the subject areas and revision to giveyourself the best preparation for successfullyachieving the advanced diploma.All the units in CIPS qualiﬁcations are assessedby an examination, although some of the unitsalso have an alternative non-examined option.StudentZoneMake the most of yourvaluable study time byaccessing this dedicatedresource to help you onyour learning journeywww.cips.org/student-zoneWe hold three examination series each yeararound the world, with an additional two seriescurrently available in some countries. You can ﬁnd moreinformation on assessment, exam timetables, a list ofexam centres and fees, exam resources and exemplarexam paper requirements at cips.org/qualiﬁcationsBelow is a list of the units, their qualiﬁcation frameworkreference numbers and CIPS reference code which isused to identify the unit for Examination purposes.CIPS ReferenceAD1AD2AD3AD4AD5AD6Glossary ofqualification termsAssessmentAssessment is the way in which CIPS willmeasure whether a learner is able todemonstrate their knowledge, understandingand be able to apply their learning in a givensituation.Assessment criteriaAssessment criteria speciﬁes the standard that alearner is expected to meet to demonstrate thatthe learning outcomes of a unit have beenachieved.Business essentialsThese are commonly occurring themes throughthe qualiﬁcations, that do not warrant a unit intheir own right, but that are importantholistically to the learning undertaken within thequaliﬁcations: business ﬁnance legislation information technology management leadership strategyCommand wordsCommand words are generally verbs that areused to indicate the level of learningundertaken. They tend to be hierarchical innature. For example, when studying towardsthe advanced diploma a command word couldbe ‘evaluate’ or ‘analyse’, whereas a commandword for the professional diploma might be‘critically assess’, or ‘critically evaluate’. Thesewords reﬂect the level of complexity of yourlearning and ultimately your assessment at thatlevel.Compulsory unitsThese are units that constitute necessaryknowledge and understanding to fulﬁl learningrequirements for CIPS qualiﬁcations.Entry levelThis is the point at which you will enter the CIPSqualiﬁcations ladder. This entry will be based onpre-requisite knowledge, understanding andexperience.ExemptionsLearners who have successfully completedother relevant qualiﬁcations may apply forexemptions from equivalent CIPS units in theirprogramme of study. To earn an exemptionfrom a qualiﬁcation or speciﬁc units within CIPSqualiﬁcations you should contact CIPS or seewww.cips.orgPlease note that gaining an exemption, does notmean that you gain an exit award at that level,rather that you bypass that level of learningbecause of equivalent learning andachievement gained elsewhere.03
Advanced diploma in procurement and supplyExit awardAn exit award is in essence a qualiﬁcation. CIPShas ﬁve exit awards in total Certiﬁcate in procurement and supplyoperations Advanced certiﬁcate in procurement andsupply operations Diploma in procurement and supply Advanced diploma in procurement and supply Professional diploma in procurement andsupplyFor each qualiﬁcation you successfully complete,you will receive a certiﬁcate of achievementconﬁrming your exit award.Indicative contentThe indicative content is an indication of theknowledge required in order to fulﬁl theassessment criteria to achieve the learningoutcome.Learning outcomeThe learning outcome within a unit sets out whata learner is expected to know, understand, or beable to do as a result of a process of learning.OfqualCIPS is an Awarding Body recognised by Ofqual.Ofqual regulate qualiﬁcations, examinations andassessments in England and vocationalqualiﬁcations in Northern Ireland. It is their dutyto ensure all learners get the results theydeserve and that their qualiﬁcations arecorrectly valued and understood, now and in thefuture.Optional unitsThese are units where you have choices tospecialise in an area of interest. There is an04Advanced diploma in procurement and supplyopportunity to select two optional units atadvanced diploma and two optional units atprofessional diploma.Qualiﬁcations ladderThis ladder represents the hierarchical natureof CIPS qualiﬁcations. The ladder has ﬁve stepswithin it. It starts with a Certiﬁcate through tothe Professional Diploma.Each step of the ladder is represented by aqualiﬁcation with an ‘exit award’.UnitA segment of learning within the CIPSqualiﬁcations. Each unit is individual, has itsown title, rationale and content. A unit will alsohave an assessment attached to it in order todemonstrate achievement and conclusion ofthe learning.Unit purpose and aimsUnit aims provide additional information aboutthe unit; a succinct statement summarises thelearning outcomes of the unit.Each unit has four to ﬁve learning outcomeswhich outline what will be achieved as a resultof learning in that particular unit.WeightingsEach unit has a number of learning outcomesthat are equally weighted for example:If a unit that has four learning outcomestotalling 100%, each learning outcome will beequally weighted ie 25%(100% divided by 4 25%).This weighting indicates the level of input andlearning required by the study centre and thelearner in order to complete the subject area.Definition of additionalterms used in this guideAPI Application Programme InterfaceA set of routines, protocols, and tools forbuilding software applications. A good APImakes it easier to develop a program byproviding all the building blocks. A programmerthen puts the blocks together.AT Kearney 7 Step Model A '7 step' StrategicSourcing approachA Seven-step process for sourcing informationproducts ranging from online databases andreal-time market data to subscription services,primary and secondary market research andother information services.BPR Business Process ReengineeringFundamental rethinking and radical redesign ofbusiness processes to achieve organisationalimprovements.CAD Computer-aided designComputer-based systems for product designthat may incorporate analytical and "what if"capabilities to optimise product designs.CAM Computer-aided manufacturingComputerised systems in which manufacturinginstructions are downloaded to automatedequipment or to operator workstations.CSR Corporate social responsibilityCSR means the commitment to a systematicconsideration of the environmental, social andcultural aspects of an organisation’s operations.This includes the key issues of sustainability,human rights, labour and community relations,as well as supplier and customer relationsbeyond legal obligations; the objective being tocreate long-term business value and contributeto improving the social conditions of peopleaﬀected by an organisation’s operations.EMAs Eco-management and audit schemeThe Community eco-management and auditscheme (EMAS) aims to promote a continuousimprovement of the environmentalperformance of European organisations,together with providing the public andinterested parties with information.ERP Enterprise Resource PlanningEnterprise Resource Planning (ERP) System: Aclass of software for planning and managing"enterprise-wide" the resources needed to takecustomer orders, ship them, account for themand replenish all needed goods according tocustomer orders and forecasts. Often includeselectronic commerce with suppliers. Examplesof ERP systems are the application suites fromSAP, Oracle, PeopleSoft and others.05
Advanced diploma in procurement and supplyETI Ethical Trading InitiativeThe Ethical Trading Initiative (ETI) is an allianceof companies, trade unions and voluntaryorganisations. They work in partnership toimprove the lives of poor and vulnerableworkers across the globe that make or growconsumer goods – everything from tea to Tshirts, from ﬂowers to footballs.FIDIC Fédération Internationale DesIngénieurs-Conseils (French for) InternationalFederation of Consulting EngineersFIDIC is the International Federation ofConsulting Engineers known for its range ofstandard conditions of contract for theconstruction, plant and design industries. TheFIDIC forms are the most widely used forms ofcontract internationally, including by the WorldBank for its projects.FLO Fair trade labelling organisationsinternationalStandards and certiﬁcation body for the fairtrade movement.HRM Human Resources ManagementManagement of the Human Resources functionbroadly responsible for personnel policies andpractices within an organisation.ILO International Labour OrganisationThe ILO is the international organisationresponsible for drawing up and overseeinginternational labour standards. It is the only'tripartite' United Nations agency that bringstogether representatives of governments,employers and workers to jointly shape policiesand programmes promoting decent work for all.06Advanced diploma in procurement and supplyIPR Intellectual property rightsIs a general term for diﬀerent types of ideas,protected by diﬀerent legal rights. The sixintellectual property rights consist of,conﬁdential information, trademark, copyright,registered design, design right and patent.ISO International Standards OrganisationAn organisation within the United Nationswhich develops and monitors internationalstandards, including OSI, EDIFACT, and X.400.JIT Just in timeOriginally a concept imported from Japan,based on the idea that only suﬃcient quantitiesshould be manufactured or be made availableto satisfy customers’ immediate needs. Relieson an eﬃcient supply chain for its success.KPIs Key performance IndicatorsAlso known as key success indicators. They areﬁnancial and non-ﬁnancial metrics used toreﬂect the critical success factors of anorganisation or contract. They are used inbusiness intelligence to assess the present stateof business or a contract and to prescribe thenext course of action.MRP Material requirement planningA product orientated computerised techniqueaimed at minimising inventory and maintainingdelivery schedules.NEC The New engineering contractThe New Engineering Contract of which theEngineering and Construction Contract (ECC)forms a part, is a suite of standard formconstruction contracts created by theInstitution of Civil Engineers.P2P Purchase to payRefers to the business process that coveractivities of requesting, purchasing, receiving,paying for and accounting for goods andservices.Poka YokePoka Yoke (mistake-proof): The application ofsimple techniques that prevent process qualityfailure. A mechanism that either prevents amistake from being made or makes the mistakeobvious at a glance.RFI Request for InformationA document used to solicit information aboutvendors, products, and services prior to aformal RFQ/RFP process.RFQ – Request for quoteRFP – Request for proposalSA8000 Social Accountability InternationalStandardSA8000 was the ﬁrst auditable social standardand creates a process that is truly independent.Representatives of trade unions, human rightsorganisations, academia, retailers,manufacturers, contractors, as well asconsulting, accounting, and certiﬁcation ﬁrms,by consensus, cooperated to develop theSA8000 Standard.Socio-technicalA socio-technical system is a collection ofpeople, projects, processes and products thatengage in an exchange relationship with oneanother.SOX Sarbanes-Oxley Public Accounting andInvestor Protection ActA United States federal law enacted on July 30,2002 to protect investors by improving theaccuracy and reliability of corporate disclosuresmade pursuant to the securities laws, and forother purposes.STEEPLE Social, Technological, Economic,Environmental, Political, Legal, European (orInternational)An analytical tool extending PEST to alsoinclude, Environmental, Legal and Ethical (orInternational) factors that can impact onProcurement and Supply.SWOT Strengths, weaknesses,opportunities, threatsThis is a strategic planning tool used to evaluatethe strengths, weaknesses, opportunities andthreats involved in a project or in a businessventure or in any other situation requiring adecision.Taguchi MethodA method of analysing quality problemsdeveloped by Genichi Taguchi of NipponTelephone and Telegraph. It involves removingvariability and the
CIPS Asia PacificIG Rochester Drive, Level HJ, Singapore, GINLIM TPLK LNFN NMHG FPLK LNFN NMHH [email protected] CIPS AustralasiaLevel H, KHF Collins Street, Melbourne, Victoria IFFF, Australia TGIFF MLK GJH/PLG (F)I OLHO LFFF FGIFF MLK GJI/PLG (F)I OLHF KJNN [email protected] CIPS MENAOffice GMFI, The Fairmont Hotel, Sheikh Zayed Road, PO Box GGOMMJ, Dubai, United Arab Emirates TPOMG (F)J IGG ...