Introduction

Procurement and sourcing are essential functions in supply chain management, ensuring businesses acquire quality goods and services at the best price, from reliable suppliers, while minimizing risks. A well-structured procurement process enhances cost savings, operational efficiency, and supplier relationships.

This course provides professionals with a strong foundation in procurement and sourcing, covering procurement strategies, supplier evaluation, contract negotiation, and digital transformation. Participants will explore cost optimization, risk management, and ethical sourcing to build an effective procurement strategy.

Course Objectives

By the end of this course, participants will:

• Understand procurement fundamentals and key sourcing strategies.
• Learn how to select, evaluate, and manage suppliers effectively.
• Explore cost-saving techniques, contract negotiation, and risk mitigation.
• Assess digital procurement tools, AI, blockchain, and automation.
• Develop strategies for sustainable and ethical sourcing practices.
• Gain insights into future trends in global procurement and supplier collaboration.

Who Should Attend?

This course is ideal for professionals looking to build a strong foundation in procurement and sourcing, including:

• Procurement & Sourcing Specialists
• Supply Chain & Logistics Professionals
• Contract & Supplier Relationship Managers
• Operations & Purchasing Officers
• Entrepreneurs & Business Owners Managing Procurement
• Students & Career Switchers Exploring Procurement Roles

Course Outline

Day 1: Fundamentals of Procurement & Sourcing

Unit 1: Introduction to Procurement & Sourcing

• What is Procurement & Sourcing? Key Functions & Importance
• The Procurement Cycle: From Identifying Needs to Contract Execution
• Procurement vs. Purchasing: Key Differences & Strategic Importance
• Case Study: How Amazon Optimizes Global Procurement

Unit 2: Types of Procurement & Sourcing Strategies

• Direct vs. Indirect Procurement: Understanding Their Roles
• Strategic Sourcing vs. Tactical Buying
• Single vs. Multi-Sourcing: Pros & Cons
• Workshop: Identifying the Best Sourcing Strategy for Different Industries

Day 2: Supplier Selection, Evaluation & Relationship Management

Unit 3: Supplier Identification & Selection Criteria

• Developing a Supplier Shortlist & Sourcing Techniques
• Supplier Evaluation Metrics: Quality, Cost, Lead Time & Reliability
• RFI, RFP, & RFQ Processes for Supplier Selection
• Case Study: How Toyota Selects & Develops Strategic Suppliers

Unit 4: Supplier Relationship & Performance Management

• Building Long-Term Supplier Partnerships & Collaboration Models
• Key Performance Indicators (KPIs) for Supplier Performance Monitoring
• AI & Blockchain for Supplier Transparency & Risk Mitigation
• Workshop: Conducting a Supplier Performance Evaluation

Day 3: Cost Optimization, Negotiation & Procurement Contracts

Unit 5: Cost Optimization & Procurement Cost Management

• Total Cost of Ownership (TCO) vs. Unit Cost in Procurement
• Procurement Cost Reduction Strategies & Spend Analysis
• AI-Powered Cost Benchmarking & Supplier Price Forecasting
• Case Study: How Walmart Optimizes Procurement Costs Globally

Unit 6: Contract Negotiation & Procurement Legal Considerations

• Best Practices for Contract Negotiation & Win-Win Supplier Agreements
• Key Elements of Supplier Contracts: Pricing, SLAs, Penalties & Terms
• Ensuring Compliance with Procurement Laws & Anti-Corruption Policies
• Workshop: Negotiating a Procurement Contract

Day 4: Risk Management, Sustainability & Ethical Procurement

Unit 7: Procurement Risk Management & Compliance

• Identifying & Mitigating Risks in Supplier Selection & Procurement Contracts
• Managing Currency, Geopolitical & Supply Chain Disruption Risks
• Blockchain & Smart Contracts for Fraud Prevention & Transparency
• Case Study: How Companies Responded to COVID-19 Procurement Challenges

Unit 8: Sustainable Procurement & Ethical Sourcing

• ESG (Environmental, Social, Governance) Compliance in Procurement
• Fair Trade & Ethical Supplier Sourcing Best Practices
• Green Procurement & Circular Economy Strategies
• Workshop: Developing a Sustainable Procurement Strategy

Day 5: Digital Transformation & Future Trends in Procurement

Unit 9: AI, Blockchain & Digital Procurement Systems

• AI & Machine Learning for Automated Procurement & Supplier Selection
• Cloud-Based Procurement & E-Sourcing Platforms
• Blockchain for Supplier Transparency & Procurement Fraud Prevention
• Case Study: How IBM Uses AI & Blockchain for Procurement Transformation

Unit 10: Implementing a Procurement Strategy for Your Business

• Developing an Agile & Cost-Effective Procurement Roadmap
• Measuring Procurement ROI: KPIs & Performance Metrics
• Final Project: Designing a Digital Procurement Strategy
• Course Wrap-Up & Certification

Training Methodology

• Interactive Lectures & Real-World Case Studies from Industry Leaders
• Hands-On Workshops with Procurement Cost Analysis & Supplier Selection Simulations
• Live Demonstrations of AI-Powered Procurement & Blockchain Solutions
• Simulations & Role-Playing Exercises for Supplier Negotiation & Risk Mitigation
• Expert Panel Discussions & Group Strategy Sessions