Purchasing Management & Cost Savings

What you will learn?

The Purchasing Management and Cost Savings course teaches the delegates about various subjects including decision making, inventory management, forecasting, and performance measurements.

In this course, you will learn about the production planning techniques, its framework and environment, managing the customer demands, forecasting techniques and their evaluation, depicting the future demands, capacity measurement and analysis including cost versus volume analysis and evaluating alternative plans.

You will also learn how to manage your inventory and a little detail about warehouse management. Requirements planning and scheduling comes next in the list along with all its useful techniques and activities. Performance measurement will also be a topic in this course’s syllabus.

Prerequisite or Relevant Knowledge

The delegates are required to produce a 12 year degree or an equivalent qualification in order to sit in the course duration. Relevant knowledge of the purchasing management and cost savings is also good for understanding the concepts.

Who should attend?

This course is intended for all those planning professionals, inventory managers, supply chain managers, purchasing supervisors, buyers and production handlers who wish to enhance their skill and polish their talent by the carefully chosen topics of this course.

Production Planning and Control (PPC)

Defining production planning and control

Areas of influence on PPC

A framework for a PPC system

PPC systems activities

Productivity in production environment

Demand management

Demand management in PPC systems

Independent and dependent demand

Impact of PPC environment on demand management:

The Make-to-Stock

The Assemble-to-Order

The Make-to-Order

Forecasting framework

Forecasting techniques

Evaluating forecasts

Capacity planning

Measuring capacity

Capacity utilization

Calculating capacity requirements

Cost volume analysis

Break even analysis

Decision tree

Sales and Operations Planning (S&OP)

S&OP fundamentals

S&OP displays

Time phased planning

Modifying the S&OP

The basic trade-offs in S&OP

Evaluating alternative plans

Inventory management

Types of inventory

Inventory costs

Economic order quantity model

Inventory order cycle

Reorder point

Economic production quantity

Multi criteria ABC analysis

Requirements planning and scheduling

Master production scheduling activities

Master production scheduling techniques:

The time phased record

Available to promise

Material Requirements Planning (MRP)

Bill of material

MRP processing

The basic MRP record

Material planning for:

Lot-for-Lot

Different lot sizes

Performance measurement

Key performance indicators

Benchmarking and standards

Measuring performance

Improving current production system

Impact/Benefits of this Course

This course will have some very helpful impacts on your organization as well as your personal objectives. This course will let you optimize the cost and quality of your produce, add value to the items, measure performance, supplier selection and profitability.

You will also have the benefit of applying new and latest methods in the cost saving and purchasing management as the budget and cost is always a concern for every organization. You will have your investment pay off more than ever before and you will be more successful in the market.

At Course Completion

As the course reaches the conclusion, you will be able to apply purchasing analysis and extract useful results. You will have completely understood the function and responsibility of the purchasing department and thus improve the efficiency of the purchasing department.

You will be able to perform the supplier evaluation with great accuracy. You will also be able to measure the Key Performance Indicators (KPIs). Identification of the problems and their efficient solutions will be in your mind regarding the cost savings. You will have the knowledge of the value of cost savings and its importance. Implementation of effective methods for the cost saving will be your ability too.