CPSM Review Program. This module is titled: Foundation of Supply Management and upon completion of this course, the student will:
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1 CPSM Review Program ISM-Institute for Supply Management launched the Certified Professional in Supply Management (CPSM ) program in May The CPSM is recognized globally and defines you as a Supply Management Professional around the world. The CPSM is the professional credential that leads you into the decision-maker role compelling you to generate strategic solutions. You will have the capacity to effectively manage projects, whether you work in the non-manufacturing or manufacturing sector. The CPSM s emphasis on Supply Chain Integration is what allows you to continually evolve in the rapidly changing area arena that is supply management. The primary purpose of this certificate program is to prepare you to sit and pass the three CPSM exams which are divided into three modules as detailed below. The multidimensional expertise demanded by this program will give you a macro perspective of strategic sourcing, cultural awareness, risk and compliance issues, organizational global strategy, logistics and social responsibility. Knowledge in areas such as finance and benchmarking of global suppliers is also covered in this program. The integrated skill set required to reach the professional designation in areas like commodity management, supplier diversity and supplier relationship management will drive value in every link in the supply chain. This program will incorporate key educational points (CPSM Alerts), case studies, simulated exam questions with both question and answer methodologies and comprehensive reviews to prepare you to sit and pass the exams. At the end of each module, you will be presented with a comprehensive, simulated exam to gauge your preparedness for the actual exam. Course Objectives Module 1 This module is titled: Foundation of Supply Management and upon completion of this course, the student will: Prepare solicitations for competitive bids, quotations and proposals with pertinent specifications, terms and conditions. Prepare for and develop strategies and tactics for negotiations, including the definition of roles and responsibilities of team members. Lead/conduct/support negotiations with suppliers to obtain desired results. Manage the preparation and/or issuance of contracts/purchase orders/agreements. Administer contracts/purchase orders from award to completion or termination. Prepare and/or administer a Supply Management department budget. Develop a cost management program strategy for purchases. Identify savings potential and opportunities and strategies for specific categories through spend analysis. Perform cost/benefit analysis on acquisitions. Develop financing and leveraging strategies for purchases. Identify and assess international markets to source goods and services. Develop international sources of materials and services. Develop and maintain documentation regarding cross-border transactions. Develop and act upon a code of business conduct for the Supply Management function and external suppliers. Establish and monitor environmentally responsible and compliant programs through the supply chain and life cycle. Implement, monitor and promote organizational and supply chain safety policies and procedures. Analyze potential sources of goods/or services. Evaluate competitive offerings to determine the overall best offer for a product/service. Plan and communicate sourcing and supply strategies based on forecasted data. Identify opportunities and benefits for rationalizing the supply base. Develop/manage effective relationships with suppliers. Develop/implement a supplier diversity program.
2 Develop new supplier qualification plans and reports to assure components, materials and suppliers meet specified requirements (regulatory, safety, reliability, quality). Conduct supplier performance evaluations. Develop and execute supplier exit strategies. Course Outline I. Introduction to Module 1 a. Definition - The Supply Management Professional b. Supply Management focus areas c. CPSM benefits d. First time requirements e. Recertification requirements f. Overview of six key subject areas g. Acronyms test II. Learning Block 1 Contracting and Negotiation a. Preparing solicitations b. Developing negotiation strategies c. Conducting negotiations d. Preparing P.O.s/contracts e. Administering contracts III. Learning Block 1 - Review IV. Learning Block 2 Cost and Finance a. Preparing the budget b. Developing a cost management program c. Identifying savings d. Performing cost/benefit analysis e. Developing financing/leveraging strategies V. Learning Block 2 - Review VI. Learning Block 3 International a. Establishing markets b. Developing global sources c. Maintaining documentation VII. Learning Block 3 - Review VIII. Learning Block 4 Social Responsibility a. Following code of business conduct b. Environmental responsibility c. Promoting safety IX. Learning Block 4 - Review X. Learning Block 5 Sourcing a. Analyzing potential suppliers b. Evaluating proposals c. Planning strategies based on forecast XI. Learning Block 5 - Review
3 XII. XIII. XIV. Learning Block 6 Supplier Relationship Management a. Rationalizing the supply base b. Developing relationships c. Implementing diversity programs d. Developing qualification programs e. Conducting performance evaluations f. Executing exit strategies Learning Block 6 - Review Module 1 Simulated Exam Course Objectives Module 2 This module is titled: Effective Supply Management Performance and upon completion of this course, the student will: Perform analysis and provide data on current and future and global/domestic market conditions, benchmarks and industry trends to management and/or user departments. Develop supply forecasts in light of economic, competitive, technology, market and currency trends and conditions that affect procurement. Manage forecasted data with suppliers. Design/modify logistics facility layouts and equipment designs to support the business model, increase productivity and lower operating costs. Direct traffic/distribution policies and procedures to ensure optimum flow of material and consolidation of freight. Manage international transportation, invoicing and documentation functions to ensure corporate compliance with all governmental import, export, hazardous material and air freight regulations. Manage the resolution of delivery/receiving problems including freight loss and damage claims. Develop/implement a material and/or service standardization program. Develop/implement a warehouse and inventory management system. Coordinate and/or monitor the movement of equipment and assets within the organization. Develop, oversee and execute a multi-channel disposition plan for excess inventory and finished goods. Implement or utilize requirements planning (xrp for example, ERP, MRP, MRP II, DRP, DRP II, and WMS) to align Supply Management and operations activities to support organizational strategy. Develop, implement, maintain and monitor the forecasting, operations planning, scheduling and inventory control functions to ensure optimum use of capacity and resources. Participate in product/service development or specifications/requirement changes that support organizational merchandising and marketing efforts to meet customer needs. Manage ramp-up strategies and implementations to full-scale productions for new product or service introductions. Perform project management activities representing the Supply Management organization. Implement a continuous improvement process within the supply chain in accordance with organizational objectives. Develop/administer a supplier certification program. Develop measurements for continuous quality improvement programs and target costing. Develop, measure and evaluate quality requirements to continuously improve supplier performance..
4 Course Outline Module 2 I. Learning Block 1 Forecasting a. Performing market analysis b. Developing supply forecasts c. Managing the forecast II. Learning Block 1 - Review III. Learning Block 2 Logistics a. Designing a logistics program b. Developing policies & procedures c. Managing international transportation d. Resolving delivery problems IV. Learning Block 2 - Review V. Learning Block 3 Materials/Inventory Management a. Implementing standardization programs b. Implementing a warehouse/inventory management system c. Managing assets d. Disposing excess inventory VI. Learning Block 3 - Review VII. Learning Block 4 Departmental Assessment a. Evaluating departmental performance b. Evaluating staff performance c. Measuring compliance d. Resolving audit issues VIII. Learning Block 4 - Review IX. Learning Block 5 Planning a. Implementing xrp b. Understanding forecasting and scheduling X. Learning Block 5 - Review XI. Learning Block 6 Product & Service Development a. Participating in the process b. Managing ramp-ups XII. Learning Block 6 - Review XIII. Learning Block 7 Project Management a. Project Management vs. Supply Management b. Continuous Improvement XIV. Learning Block 7 - Review
5 XV. XVI. XVII. Learning Block 8 Quality a. Supplier certification programs b. Continuous improvement measurements c. Improving supplier performance Learning Block 8 - Review Module 2 Simulated Exam Course Objectives Module 3 This module is titled: Leadership In Supply Management and upon completion of this course, the student will: Represent the Supply Management organization in decisions related to the organization-wide or project objective setting, budgeting, staffing and policies. Develop and implement business plans that will meet customer service, corporate profit and return on equity goals. Develop, implement and monitor a strategic Supply Management plan and operating plan based on market conditions, business needs and available resources. Plan/develop/provide operating policies guidelines and procedures and modify as necessary in order to achieve the optimal structure. Develop/implement changes to the organization s Supply Management policies as needed. Participate in company acquisitions and/or mergers, and/or divestitures to assure continuity of supply and capture synergy opportunities. Represent the supply organization in meetings with corporations, government agencies, professional associations and other organizations. Lead or participate in cross-functional and/or multifunctional teams (for example, project management, process improvement, international teams). Disseminate information and promote training related to Supply Management policies and procedures. Market the value of strategic sourcing and sourcing strategies and initiatives to management and internal customers. Evaluate the Supply Management organizational structure and modify as necessary in order to achieve the optimal structure. Hire, develop, retain, promote and/or dismiss Supply Management personnel. Supervise and lead human resources to achieve objectives. Conduct/authorize job training for the professional development of the staff. Develop/manage/evaluate/measure relationships with internal departments. Develop/utilize criteria for evaluating Supply Management department performance. Conduct role design evaluation and potential job redesign requirements. Create and manage a succession plan, allocating work assignments in such a way as to provide career development and growth opportunities. Develop, implement and manage a risk profile and strategies in accordance with existing contracts, applicable laws, regulations and organizational policy. Develop and implement a risk management and/or claims management program (for example, copyright violation, patent infringement, harassment). Implement Supply Management processes in consideration of legal issues. Develop/implement/maintain a database/physical filing system of relevant information. Verify the existence, accuracy and completeness of relevant financial transactions and commitments to third parties. Assess risk from end of life cycle issues in the market place and establish proper risk mitigation contingency plans for all components in the product. Manage and control the storage/disposal of hazardous/regulated materials and related documentation. Comply with programs that prevent and respond to discrimination or harassment.
6 Establish and execute strategic sourcing plans, in congruence with organizational objectives and sourcing strategies. Establish and standardize strategic sourcing procedures and business process improvements. Identify, evaluate, select and implement technologies that support Supply Management functions throughout the organization. Leverage spend through identification, prioritization, development and execution of strategies. Conduct analysis to determine insourcing or outsourcing strategies. Create new systems and process improvements to help the organization meet its sales goals. Course Outline Module 3 I. Learning Block 1-Part 1 Leadership a. Representing SM in decisions b. Business Planning c. Strategic Supply Management planning d. Developing policies and procedures e. Implementing changes to policies and procedures II. Learning Block 1-Part 2 Leadership a. Representing SM in key meetings b. Participating in teams c. Disseminating information d. Marketing strategic sourcing e. Optimizing organizational structure f. Hiring/promoting/dismissing staff III. Learning Block 1-Part 3 Leadership a. Supervision and leadership b. Conducting training c. Fostering relationships d. Evaluating SM performance e. Job redesign f. Managing a succession plan IV. Learning Block 1 - Review V. Learning Block 2-Part 1 Risk& Compliance a. Developing risk profiles b. Implementing a risk management program c. Understanding legal aspects d. Key database factors VI. Learning Block 2-Part 2 Risk& Compliance a. Understanding financial reporting requirements b. Establishing risk contingency plans c. Managing hazardous waste disposal d. Developing programs preventing discrimination/harassment VII. Learning Block 2 - Review VIII. Learning Block 3- Strategic Sourcing a. Executing strategic sourcing plans b. Standardizing policies and procedures c. Implementing technology d. Leveraging spend e. Determining insourcing vs. outsourcing f. Creating process improvements
7 IX. Learning Block 3 - Review X. Module 3 Simulated Exam
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