1. Building Your Procurement Academy
Implementing a Complete & Sophisticated Procurement
Competency Building & Learning Program!
1

2. About Purchasing & Procurement Center (PPC)
Core Offerings
Additional Resources
2

3. About Purchasing & Procurement Center (PPC)
Core Offerings
3

4. About Purchasing & Procurement Center
Where Do We Operate? - Asia & Middle East
4

5. 5
Over 100 Procurement Academies
Worldwide & Counting
Accredited by the IFPSM
(union of 48 associations/
250,000 members). Their
Global Standard is most
prestigious, challenging &
independent accreditation
for educational programs in
industry.
Awarded the best Custom Academy in Procurement –
Procurement Leaders Awards 2015 / talent
development initiative

6. - 3 Quick Reasons Why Academy as Per PPC Approach?
- Existing Team Capabilities
- Which Came First Chicken or Egg/People or Processes!?
- How Organisations Approach Building People/Talents?
- 3 Simple Steps to Building World Class Team Capability
- 7 Steps to Making Learning Stick & Apply
- Three Most Common FAQs
- Taking This Further If Beneficial for You
There are 3 Concepts to Take Away from This
Executive Briefing, Clearly Stated.
6

7. Why Procurement Academy
as per PPC Approach?
7

8. Why Procurement Academy?
• A Comprehensive A to Z approach to build Your
Team Capabilities to World Class Skills &
Competences.
8

9. Why Procurement Academy?
• A Comprehensive A to Z Approach to build Your
Team Capabilities to World Class Skills &
Competences
• Yet, a Flexible Approach that can be plugged in
at any stage of your process
- competency framework & mapping, assessments, gap
analysis, individual development plans , Simulations, Class
trainings
• This is not just training, we’re talking about
applying what you learn to Build Team
Capabilities.
9

10. Existing TeamCapabilities!?

11. Existing TeamCapabilities!?

13. According to spendmatters.com an
organization in UK paid a 673% margin on an
IT Purchase ....
13

14. 14
People or Systems Issue!?
Both!!!

15. Everything is a process
Couple a good employee to a poor process …
And the process will win every time!!!!!

17. Is Book a
Custom Print?
Yes
Is Book in
Office Supplies
Catalogue?
Yes
Customer
Completes Purchase REQ
REQto
Purchasing
Dept
REQ Signed by
Cost Control Mgr?
No
REQ
Information
Complete?
No
Purchasing Calls Book store
(ISBN,Title,Author,Publisher)
Published by
XYZ
(computer
manuals)
Published by ABC
Yes
No
Can
Order be
Fulfilled?
Rush Order?
Yes
Yes
Purchasing
Creates PO
(3 Copies: Customer,
Receiving, Vendor)
No
Yes
Printing
Purchasing Process
Supplies Purchase
Process
Customer wants to
Purchase Book
BOOK PURCHASING PROCESS
20 STEPS TO PURCHASE A BOOK
Receiving
Process
Purchasing Calls
Vendor and Places
Visa Order
Yes
Yes
Vendor Ships
Product
A/P Process
Customer Receives Book
and Vendor Paid
No
NO
No

18. 31
Determine order Qty
No Usage=0
Usage =2 M
Low Cost 3 M
High Cost = 1 M
2
Each
Buyer Reviews all
Requisitions for Parts and
Merchandise to determine
if theybuyitem
Repair Parts for Instrumentation & Commodities
Customer Instrument Repairs, Purchase Resale Spare Parts, TSI Instrument Repairs, W arrantyReplacements, Commodities
Requistioneror
SystemReorder
Purchasing
Receiving&
shippingAccounting
1
Requisitions
on system
3
Assume
cognizant Buyer
will Handle
No
5
Is Part Number in
System
30
Run Auto PO (which
other parts have
reached reorder
point for Vendor
Yes
4
Write Vendor
# on
Fulfillment
Sheet
Yes
13
Load Sales Inventory
Maintenance File
6
Contact Supplier
Obtain P.N., List
Price, TSI
Discount,
Availability
No
7
Is supplier
loaded in
System
14
Get info to fill out
"New Vendor
Form"
Faxto Houston
15
Load data into
"Vendor Master
Maintenance File"
No
10
Determine
TSI Sales
Price
11
Spare Parts
Pricing
Instructions
12
Determine TSI
P.N., Description,
Search Words (no
formal protocols)
16
Has
Accounting
Loaded
Supplier
Yes
Yes
17
Contact
Accounting
No
Yes
8
Is discount
structure in Vendor
Master
9
Negotiate
discount (not
documented)
No
19
Is Part in stock
somewhere
27
Can
reorder wait for other
items form same
vendor
Yes
NO
22
Input Part Transfer
Data
20
Can part be
transferred
Yes
Yes
23
Ship Part
21
Go to 30
No
18
Fax
Supplier
Credit Info
26
Printed Reorder
Report bySupplier
28
Call and/or email
Purchasing since
requisition not processed
until next morning
51
Warranty
Replacement
39
Faxor Phone
Order
33
No Supplier L.T. in System (1 wk
used) No Formal Protocol to
determine Reorder Qty
32
Enter PO Header
Info
34
Enter Part Info
35
Is Part for
LaPorte,
Lafayette, or
DS
37
Get PO #
From
System
38
Write PO
Number on
Fulfillment
Sheet
40
Phone Supplier
Get Availability,
Promised
date(not loaded/
PN), VerifyPrice
36
Enter Workor sales
# for each part
41
Print PO
42
FaxPO
(Fax
Machine)
43
Did supplier
confirm with
return fax
52
Call requester
to determine
reason for
return
Fax
44
Did Price
Change
No
Phone
Yes
Yes
49
Delete form
Fulfillment
Sheet
50
Send E-mail
to Req. if
reg'd date not
met
45
Distribute
PO
46
Is Shipment
to Dayton
67
PO
Receiving Copy
(Why?) Answer--
has bin location.
Yes
PO Receiving Copy
Destroy(Does
Branch print a copy
for receiving)
NO
48
File in
Purchasing
53
Is part under
warranty
No
54
Call Vendor to
define problem
and get disposition
of bad part
55
Return part
56
Call
requester-
destroy part
Yes
60
Is
part returned for
credit & rebill
No Yes
57
Complete
Manual Shipping
Form
No
61
Enter New PO with "-"
quantity to remove
from Inventory
62
Enter New PO for
replacement
Yes
63
Print PO for
Accounting to
trackfor credit
memo
59
Package and
Ship to
Vendor
58
TSI pays
freight
(Why?)
64
Watch for
Credit Memo
65
WarrantyParts
Received with no
PO. If warehouse
determines theyare
one short -just put in
inventory. (No wayto
know that we got
replacement
RHB 9-27-00
Request
email and
save email
for 2 months
No step in
process to
confirm
authoritylevel
of requistor
12 A
Enter PN
in workor
sales order
66
Is this Drop
Shipment
68
Create
DS PN
67
Is
orginal PN in
system
NO
Yes
NO
Yes
24
Is this DS
order
No
Yes
No
Requisitioner or Customer
Service must ask
Purchasing to checkon
ouverdue part. Purchasing
does not normallyhave
time to checkfor overdues
66
Receive Parts
from Supplier
69
Enter Qty
rec'd into
system
68
Match PO to
Packing
LIst, stamp PO, and
file
Purchasing Repair Parts …
69 Step Process!?

20. 20
Finally - The Million Dollar Screen!
The Process Says … Need to Finish Budget

21. 21
People !!!
The Deloitte Global CPO Survey 2014

22. 22

23. 23
Talent Attraction is not The Strategy
to Building Team Capability …
Talent Creation Is!

24. 24
3 Learning Methods Organisations
Use To Build Talent & Team
Capability!?

25. 1. Traditional Training
CPO Roundtable – BCG
The number one challenge for procurement
organisations
… training and development …
including skill development and career paths.

26. The Deloitte Global CPO Survey 2013

27. The Deloitte Global CPO Survey 2014

28. What’s Wrong with Using Traditional Trainings As
The Only Method of Building Team Capability?
28

29. 29
Application
Retention

30. 30
2. Building Individual Knowledge
SCHOOL/INSTITUTION
1. Rapid E-Learning (e-books)
(to prepare for exams)
IMPROVE INDIVIDUAL KNOWLEDGE
CERTIFICATION
MEANS
OBJECTIVE
RESULT
2. Learner self-discipline
to complete (not company)
3. Standard program
= I know

31. Certified Soccer Player
31
Certified Referee
Certified
Coach

32. 32
3. Practical Academy
Practical ACADEMYSCHOOL/INSTITUTION
1. Rapid E-Learning & books
(to prepare for exams)
CERTIFICATION
BUILD TEAM CAPABILITY
“MAKING IT HAPPEN”
1.Application Based Blended Learning
(Cutting Edge E-Learning, Simulations,
Application Based Tasks & Class Trainings)
MEANS
OBJECTIVE
RESULT
2. Learner self-discipline
to complete (not company)
2. Support team to ensure 99%
completion rate
3. Standard program 3. Individual Customized Learning
Program Based on Job Role
= I know
= I applied
IMPROVE INDIVIDUAL KNOWLEDGE

33. 33
3. Practical Academy
Practical ACADEMYSCHOOL/INSTITUTION
1. Rapid E-Learning & books
(to prepare for exams)
CERTIFICATION
BUILD TEAM CAPABILITY
“MAKING IT HAPPEN”
1.Application Based Blended Learning
(Cutting Edge E-Learning, Simulations,
Application Based Tasks & Class Trainings)
MEANS
OBJECTIVE
RESULT
2. Learner self-discipline
to complete (not company)
2. Support team to ensure 99%
completion rate
3. Standard program 3. Individual Customized Learning
Program Based on Job Role
= I know
= I applied
IMPROVE INDIVIDUAL KNOWLEDGE

34. Step 1 of 3 to Building a Practical Academy
34

35. Competency Framework & Descriptions
35
CompetencesDescription
01. Sourcing
The sourcing competence includes: The role of the procurement professional when challenging
specifications. How to assess the needs of stakeholders. How to conduct a market analysis. How to run
the RFP and RFI processes. How to select and award the best supplier(s). How to manage projects. How
to use tools like E-Sourcing.
02. Negotiation ...
03. Legal ...
04. Finance ...
05. Cost Mgmt. ...
06. Operational
Procurement
...
07. Contract Mgmt. ...
08. Category Mgmt. ...
09. Strategy ...
10. Project Mgmt. ...

36. Competence Maps
36

37. 37
Roles are created to select the right proficiency level.
Typical Job Roles in Procurement

38. 38
Typical Job Roles in Supply Chain

39. 39
Definitions Are Used for Each Level To Assign the Right
Level to Each Job Role
Levels Level 1 : Awareness
Level 2 :
Understanding
Level 3 : Practitioner Level 4 : Expert
01. Sourcing Definition … Definition … Definition … Definition …
02. Negotiation Definition … Definition … Definition … Definition …
03. Legal Definition … Definition … Definition … Definition …
04. Finance Definition … Definition … Definition … Definition …
05. Cost Mgmt. Definition … Definition … Definition … Definition …
06. Operational
Procurement
Definition … Definition … Definition … Definition …
07. Contract Mgmt. Definition … Definition … Definition … Definition …
08. Category Mgmt. Definition … Definition … Definition … Definition …
09. Strategy Definition … Definition … Definition … Definition …
10. Project Mgmt. Definition … Definition … Definition … Definition …
Levels
Level 1 :
Awareness
Level 2 :
Understanding
Level 3 :
Practitioner
Level 4 :
Expert
Sourcing
Demonstrates
awareness of the
sourcing process.
Understands the
preparation activities of
the sourcing process
such as data, demand
and market analysis.
Able to evaluate
whether more expertise
should be called in.
Understands in detail all the
steps of the sourcing process.
Has knowledge about E-
Sourcing.
Is able to support the
appropriate sourcing approach
for one-off sourcing projects.
Can run an RFP process.
Would require guidance to
handle more complex
situations.
Demonstrates solid knowledge
and ability to apply the sourcing
process and one-off sourcing
projects.
Is able to propose and implement
the appropriate approach for one-
off sourcing and strategic sourcing
process.
Can set-up simple E-sourcing
projects.
Would require guidance to handle
more complex, strategic sourcing,
situations.
Demonstrates expert
knowledge of strategic and one-
off sourcing projects.
Can independently run complex
(multi-site, multi cultural, high
risk) and/or capex sourcing
projects.
Can run complex E-sourcing
projects.
Guides other professionals.
Develops new approaches,
methods or new policies.

40. 40
2. Gap Analysis

41. 3. Build Individual Development Blended Learning
Program Based on Job Roles To Fill the Gap

42. 42
PDP - Senior Buyers Module No.
Jan-14 Specifications + Stakeholder Mgt 2
Apr-14 Strategic Sourcing 9
May -14 MRO, Inventory & Warehouse Mgt 16 hours
Jun-14 Implementing Strategic Sourcing 16 hrs
Jul-14 Winning Negotiations 6
Sep-14 Negotiation Preparations 16 hrs
Oct-14 Contract Termss + NDA + Incoterms 3
Jan-15 Ll Issues in Purchasing 5
Mar-15 Commercial Contract Terms 16 hrs
Apr-15 E-Sourcing 1
Jul-15 Contract Management 6
Jul-15 Materials Management 16 Hours
Sep-15 Contract Admin & Management 16 hrs
Oct-15 E-Procurement 1
Jan-16 Finance for Non-Finance 5
Apr-16 Total Cost Management 5
Jun-16 Cost, Price & TCO 21 hrs
Sep-16 Intro to Category Management 2
Nov-16 Final Assessment 1
3. Build Individual Development Blended Learning
Program Based on Job Roles To Fill the Gap

43. IMPORTANT! - Flexibility

44. IMPORTANT! - Flexibility

45. IMPORTANT! - Flexibility

46. 46
Certification
Internal Certification

47. The International Federation of Purchasing
and Supply Management
The union of 48 National and Regional Purchasing Associations
worldwide. Within this circle, about 250,000 Purchasing
Professionals can be reached.
47

48. MCIPS
Member of the Chartered Institute of Purchasing & Supply
CPSM
Certified Professional in Supply Management
CSCP
Certified Supply Chain Professional
CPIM
Certified in Production and Inventory Management
48

49. Operational Buyer/
Procurement Support
Buyer/Procurement
Exec/Asst Manager
Senior Buyer/Procurement
or Contracts Manager
Category Manager
Procurement Sr.
Manager/Director
49
High Staff Morale With a Clear
Learning & Career Development Path

50. PPC Approach to Building Team Capability
via Academy:
1. Define Job Roles/Competence Matrix
2. Assess & Determine Gap Analysis
3. Assign Blended Individual Learning Plans
4. Proceed to Certifications for Key People
5. Use the Academy as One of Career
Development Milestones
Comprehensive YET Flexible 50

51. 51
Why Blended Learning Academy via PPC
Method!

52. Traditional Training!
52

53. Applying What You Learn & Making it Stick
Consistent Follow Up Training
Increasingly Application & Learner Focused
1. High Impact E-Learning
2. Summary in PDF
3. Online Exercises & Quizzes
4. Refresher Courses
5. Simulations
6. Application Based Tasks
7. Classroom/Face to Face Trainings
53

54. High Impact & Effortless E-Learning
• Strong Visuals
• Superior Scripting
• Same Character
same face, same color of shirt…
• Scenario based – learners observe and apply
• Limited info/text on screen
• Simultaneously Target Audio & Visual Brain
• Over 90% of learners highly satisfied
54

55. Online Exercises & Quizzes
55

56. Refresher Courses
56
From 5 Hours
& 15 Mins to
25 Mins

57. Refresher Courses
57
From 5 Hours
& 15 Mins to
25 Mins
Refresher
Courses

58. Simulations
58

59. Simulations
59

60. Simulations
60

61. 61
• In the online Assignments, we are building on what people have learned in their
previous High Impact eLearning courses and Simulations.
• Learners have to complete a task, like “shadow a negotiation event and write an essay
analyzing the negotiation”.
• Learners upload their essay document directly on LMS.
• The direct line manager is requested to give feedback and to evaluate / validate.
• Like High-Impact E-learning and Simulations, Assignments are a unique product.
Online Assignments/Tasks

62. 62
• In the online Assignments, we are building on what people have learned in their
previous High Impact eLearning courses and Simulations.
• Learners have to complete a task, like “shadow a negotiation event and write an essay
analyzing the negotiation”.
• Learners upload their essay document directly on LMS.
• The direct line manager is requested to give feedback and to evaluate / validate.
• Like High-Impact E-learning and Simulations, Assignments are a unique product.
Designed to match the 70-20-10 approach.
Increasing Retention & Application
Application Based
Task

63. Classroom Trainings
63
Questions & Answers
Participative
Exercise Focused

64. Making Learning Stick
64
Questions & Answers
Classroom Trainings

65. 65
Training Success Is Measured With The Kirkpatrick Model
SATISFACTION
LEARNING
IMPACT
RESULTS
ROI
Has The Learner’s
Performance Improved?
Has The Learner’s
Behavior Changed?
Is there
Knowledge Transfer?
Is Training
Enjoyable?
Measurable
ROI
Modified from D. Kirkpatrick, Evaluating Training Programs, 1994
87% of learners like the courses
99% of learners complete their courses
76% of learners apply the acquired knowledge
99% of learners reach their target competences
Client established ROI

66. PPC Approach to Building Team Capability
via Academy:
1. Define Job Roles/Competence Matrix
2. Assess & Determine Gap Analysis
3. Make Learning Stick With a Successful
Blended Learning (cutting edge e-learning, exercises/quizes,
refreshers, simulations, application based tasks & class trainings)
4. Proceed to Certifications for Key People
5. Use the Academy as One of Career
Development Milestones
66

67. Why Purchasing
& Procurement Center?
67

68. 1. Build Practical & Application Based Academy
“I could not give more praises to your course. Believe me, I have attended 2 procurement courses,
and it is nothing compared to yours. I would say it is money well spend for your course.”
Eddie Chung - Purchasing Manager - Sanyan Wood Industries, Malaysia
Why Purchasing & Procurement Center?
“I attended the course with the fear that this would be a math session where all we did was do
math exercises. I was extremely happy with the material & the delivery and for the first time in
a decade or so of attending trainings in the region I am greatly satisfied with the training.”
Mohammed Khaled Al Gussyer - Senior Buyer - SABIC
68

69. 2. Individually Customized & Personalized Learning Programs
Based on Job Role For Each Executive
Why Purchasing & Procurement Center?
Procurement Competencies
3. We’re Worth it!
“At the beginning I thought it is worth coming … but now after attending I am
damn sure it is worth every penny.”
Tariq Khamis Saleh Al-Zadjali - Head of Contracts - Oman Airports Management
69

70. 4. World Class Consultants Cum Instructors – Each
Specialized On Own Key Areas
Robi Bendorf – CPSM, MCIPS, Lifetime CPM, True Guru of Purchasing
Procurement & Sourcing Strategy, Cost Management, Contract Terms & Administration,
Supplier Relations
Michael Gozzo - CSCP, CPIM, Who’s Who In American Manufacturing
Supply Chain, Materials, Inventory, Lean, Supplier Relations
Daniel Feiman – CMC Certified, Top 1% in the World
Finance For Procurement & Financial Modeling
Steven Wills – MCIPS, FCIPS
Category Management, Tender Management, Procurement Process
Colin Linton – MCIPS, FCIPS
Cost Management, Strategic Sourcing, Category Management,
Why Purchasing & Procurement Center?
70

71. 5. AllIn OneApproach
- Competence Framework
- Competence Mapping/Matrix Per Job Role
- Gap Analysis
- Individual Blended Learning Plan
- Most Advanced E-learning with Exercises, Simulations & Online Tasks
- Focused on Application to Build Team Capability
- Certification
Comprehensive Yet Flexible
Why Purchasing & Procurement Center?
71

72. Frequently Asked Questions (FAQs)?
1. I’ve seen/Know About Other Organisations Offering
Similar Solution. How is Your’s Different from Others?
- Flexibility
- Purpose to Build Skills to World Class
- Our competence model leads to specific and individual
learning plans in line with the requirements for the role in
your organisation.
- Practical & Application Based Corporate Academy:
High Impact E-Learning, Online Exercises & Quizzes, Refresher Courses,
Simulations, Application Based Tasks, Classroom Trainings
72

73. Frequently Asked Questions (FAQs)?
2. What’s the Bottom Line/How Much?
- About what you would invest for a public training
program - for each learner per year.
73

74. Frequently Asked Questions (FAQs)?
3. How Do I Make a Business Case to Higher
Management for This?
- Try it Out, Risk Free.
- Strategic Procurement
Initiatives Lead to Bottom
Line Savings
- $1 Procurements Savings =
At Least $6.75 in Sales Revenues
74

75. Frequently Asked Questions (FAQs)?
3. How Do I Make a Business Case to Higher
Management for This - Continued?
- Over 100 Academies Set Up World Wide
- Roche Awarded “Procurement Academy of the
Year” 2015
- All Done For You.
- Lowest TCO
- This is Not All About New Budget – Optimise
Your Existing Training Budget & Maybe Add a
little bit more
75

76. Summary
1. Full Academy
Design Competence Maps/Matrixes, Assessment & Gap
Analysis, E-Learning, Simulations, Application Based Tasks,
Classroom Trainings
2. Pick & Choose
Combinations From the Above
- Competence Maps/Assessment
- E-Learning, Simulations & Tasks
- Classroom Trainings (in-house of Public)
-
76

77. Based on What You’ve Seen So Far,
Could You Benefit from This In-Depth
Approach To Building Team Capability?
YES
NO
77
1 Final Question

78. Yes!
Let’s Pursue this Further WITHOUT any financial
commitment from your side:
1. Design Sample Competence Maps/Matrix for
1 to 3 of Your Roles With Learning Plans
2. 1st Kick Off Meeting Walking You Through as
If You Already Were a Client
3. Free Online Assessment & Access to Sample
E-Learnings, Exercises & Simulations Bundle
78