Procurement and Supply Management

2019-2020

Course Objective

All organisations need inputs of goods and services from external
suppliers or services providers. In this course, we examine the
developing role of the purchasing and supply function in managing and
shipping inputs and outputs of companies, and address the ways in which
the activity can contribute to the efficiency and effectiveness of an
organisation.

Purchasing is seen by many of today’s successful organisations as an
activity of considerable strategic importance. The fact that the
strategic role and contribution of purchasing and supply is well
recognized in many leading commercial concerns and public institutions
has meant that the strategic purchasing decisions may be taken by
purchasing involvement at board level, rather than by a departmental
manager. The ramifications of purchasing decisions on the operational
processes may also be significant. Quantity discounts or optimal choice
of transport may for example lead to gains in direct procurement
expenses, but they may increase other cost in the supply chain (such as
inventory). Such costs need to be traded off.

After successfully completing the course, students are able to:
• Apply multi-criteria optimization methods to decision making problems
encountered in procurement and supply management
• Formulate and solve supplier selection problems by using
multi-criteria optimization problems and Excel
• Apply basic statistical tools to analyze transport issues using your
preferred software
• Explain and discuss the procurement function, its organization, and
its main activities
• Discuss the main economic issues encountered in freight markets, and
apply basic (statistical) tools to analyze freight markets

Course Content

In this course, we aim at discussing the management of purchasing,
transport and supply activities. In particular, we aim at lecturing the
following topics:
• procurement activities
• management of the sourcing function
• make-or-buy decisions
• break-even analysis
• supplier scoring, assessment, and selection
• supplier relationship management
• the structure of freight transport cost
• freight transport demand
• value of time and reliability; modal choice and route choice
• urban transport systems: congestion and reliability
• environmental effects of transport and corporate responsibility
• transport policy at local, national and EU levels

Teaching Methods

Lectures
Tutorials

Method of Assessment

Written Exam – Individual Assessment
Assignment(s) – Group Assessment

Literature

Literature: papers and book chapters provided via Canvas

Recommended background knowledge

For BK
1.1 Business Processes; 1.1 Business Mathematics;1.4 Supply Chain
Management I; 2.4 Supply Chain Management II; 3.4 Managing and improving
quality

For IBA:
1.1 Business Mathematics; 1.4 Global Supply Chain Management; 1.6
Business Processes; 2.5 SCM in Emerging Economies; 3.4 Managing and
improving quality

General Information

Course Code E_IBK3_PSM
Credits 6 EC
Period P4
Course Level 300
Language of Tuition English
Faculty School of Business and Economics
Course Coordinator dr. R. Roberti
Examiner dr. R. Roberti
Teaching Staff dr. R. Roberti

Practical Information

You need to register for this course yourself

Last-minute registration is available for this course.

Teaching Methods Seminar, Instruction course, Lecture
Target audiences

This course is also available as: