Fundamentals of Purchasing for the New Buyer

Increase your company's savings through better purchasing techniques

This fundamentals seminar is taught by leaders in the field who will walk through every step of the purchasing management process, including negotiating and vendor and materials management. Find innovative ways to manage your suppliers so they deliver quality products and services on time and within your budget…learn how eProcurement can help you save money and exploit sales opportunities…and recognize the impact you have on the financial side of your business. "The pace of the course was on-point. The flexibility to focus on targeted areas we each encounter in the real-world was much appreciated & helpful. I also appreciated the intentionality of the instructor to make himself available at the close of each day, should any of us feel we had questions and/or needed clarity about any of the discussions topics. The breakouts were also informative and helpful." — Raedene B., Procurement Specialist, Engineering Industry August 2023

Seminar Number: 04265

(190 reviews)

In-Person
Live Online
At Your Company Location

Course Scheduling & Pricing

Home>Course Topic>Purchasing and Supply Chain Management>Fundamentals of Purchasing for the New Buyer

Who Should Attend

Newcomers who want to learn every facet of their job responsibilities - as well as veteran buyers who want to update their skills.

In-Person3 Day(s)
1.8 CEU
Live Online3 Day(s)
1.8 CEU

Overview
How You Will Benefit
What You Will Cover
Outline
Reviews
Credits

"The pace of the course was on-point. The flexibility to focus on targeted areas we each encounter in the real-world was much appreciated & helpful. I also appreciated the intentionality of the instructor to make himself available at the close of each day, should any of us feel we had questions and/or needed clarity about any of the discussions topics. The breakouts were also informative and helpful."
— Raedene B., Procurement Specialist, Engineering Industry
August 2023

Understand today's procurement strategies and techniques
Identify the core expertise, process knowledge, and interpersonal skills necessary for success as a 21st-century buyer
Discover the criteria for successful supplier selection
Manage your supplier relationships to reduce costs, improve quality, and enhance performance
Understand legal and ethical requirements and issues
Learn negotiation techniques for a global purchasing environment

The changing role of the buyer in today's organization
How purchasing adds value to the firm, and profit to the bottom line
Developing the supply base and supplier relationships
Designing effective supplier performance measurements
Making effective procurement decisions through the use of price and cost analysis
Utilizing value and total cost of ownership concepts to reduce costs
Tools for enhancing material flow and reducing inventory investment
Specialized purchasing instruments, master agreements, contracting methods, and e-procurement
Successful selection and management of service suppliers
Professional practices and standards of purchasing ethics
Legal aspects of purchasing: contracts, agency, warranties, and anti-trust laws
Negotiating skills and tactics for the buyer

Learning Objectives

Develop More Effective Relationships to Source, Qualify, Solicit, and Assess Your Supplier Base
Increase the Buyer’s Contribution to the Organization’s Bottom Line and Enhance Customer Satisfaction
Use Methods and Techniques to Enhance Material and Product Flow
Recognize the Ethical and Legal Practices Involved in Purchasing
Develop a Purchasing Negotiation Strategy
Assess Risk and Competitive Advantage

The Buyer’s Role in Today’s Purchasing Organization

Explain How Purchasing Adds Value
Define the Supply Chain and the Buyer’s Role in Purchasing and Supply Management
Describe the Purchasing Cycle
Discuss the Importance of Cross-Functional Teams and Purchasing

Managing the Supplier Base and Relationships

Obtain Sufficient Purchase Description or Specification Information from Internal Customers
Rate Aspects of a Supplier’s Capabilities
Analyze a Financial Statement from a Hypothetical Supplier
Define How Acceptable Sources of Supply are Found in the Marketplace
Identify Key Principles of Soliciting, Qualifying, and Pre-Selecting Suppliers
Examine Key Aspects Associated with Supplier Performance

Managing Effective Procurement Decisions: Applying Price, Cost Value

Assess Competitive Market Pricing and the Application of Discounts
Analyze Costs to Calculate a Target Cost to Negotiate More Effectively with Suppliers
Define an Internal Cost Estimate and a Supplier’s Cost Breakdown Structure
Explain Learning Curves, Life Cycle Costing, and Value Analysis
Define Leasing, Renting, and Outsourcing
Describe How Identifying Total Cost of Ownership Fosters Better Buying Decisions

Tools for Enhancing Material and Product Flow

Explain How ABC Analysis Is Used to Make Informed Purchasing Decisions
Summarize the Techniques Used to Make Informed Decisions on Inventory
Describe How Inbound Freight Control Is Used to Improve the Total Value Provided to a Firm by a Supplier
Describe the Most Common INCOTERMS and Their Meaning for International Sourcing
Discuss How Global Sourcing Requires Additional Knowledge to Understand Supplier Selection, Payment, and Risk Implications

Understanding Specialized Purchasing Instruments and Contracting Methods

Identify the Basic Parts of a Contract and a Contract Planning Checklist
Differentiate between the Types of Purchasing Contracts and Agreements
Discuss Usage of Purchasing/Procurement Credit Cards and Appropriate Policies for Their Implementation
Describe the Service Contracting Process and Guidelines for Service Contract Supplier Selection, Agreement Provisions, and Administration
Apply E-Procurement Principles to the Purchasing Cycle

Professional Practices

Explain the Difference between Ethical and Legal Purchasing Practices
Describe 12 Questionable Purchasing Practices
Discuss the Legal Framework That Affects Purchasing
Explain Elements of a Breach of Contract That Remedies the Breach
Describe Three Kinds of Warranties—Stautory, Implied and Express
Discuss Key Points of the Convention for International Sales of Goods
Recognize Key Issues about Contract Law and How Contracts are Formed
Determine the Importance of the Uniform Commercial Code

Negotiating Skills for the Buyer

Define the Nature and Scope of Negotiations in Purchasing
Differentiate between Strategy and Tactics in Negotiations
Define Win-Win, Objective Setting, Deadline, and Authority Level
List the Crucial Elements of Negotiation
Prepare and Plan for Negotiations
Apply Some Negotiation Strategies, Tactics, and Counter Offers

Download Extended Seminar Outline PDF

View a Sample of Our Reviews

190 reviews

I enjoyed this seminar very much. It was overall a great amount of various information about the industry as a whole. It was interesting to learn about other aspects of purchasing, even the ones that don't directly relate to my current job.

Kimberly Z.

Purchaser

Industry: Business Services

Training style was very informative and active. Open discussion style was excellent

Eric H.

Purchasing Analyst

Industry: Insurance

I enjoyed the communication between myself, the course leader and the other buyers concerning our experiences and what we will implement in our work environments. The course leader is very knowledgeable on what is needed to be successful as an overall buyer for companies. The importance of expanding the buyer's toolbox as well as taking a hard look at all the facts was thoroughly explained.

Danika T.

Associate Buyer

Industry: Manufacturing

The class moved at a good pace and enabled quality discussion. It went into enough depth and examples to offer realistic situations for reference.

Kelly W.

Buyer/Planner

Industry: Minerals & Mining

I received a lot of good information to sharpen my skills. Also the instructor hit on many good points and kept the class interesting with many examples of experience. Also enjoyed the mix of different fields that the class attracted. Overall was very pleased with the tools I came away from it with.

Allen J.

Supply Chain Manager

Industry: Retail

American Management Association is accredited by the International Accreditors for Continuing Education and Training (IACET) and is accredited to issue the IACET CEU.

In-Person Schedule

3 Sessions Available

Live Online Schedule