Strategic International Sourcing

Program overview:

This program on strategic and international sourcing is an approach to supply chain management that formalizes the way information is gathered and used so that an organization can leverage its consolidated purchasing power in international environments to find the best possible values in the marketplace.

To become a world-class procurement organization in the 21st century, a company requires various competencies that will enable it to effect strategic sourcing in international markets and transfer value throughout the supply chain blocks from supplier to customer.

This requires analysis of what an organization buys, from whom, at what price and at what volume. Strategic sourcing differs from conventional purchasing because it places emphasis on the entire life-cycle of a product, not just its initial purchase price. This role requires procurement teams to assess procurement spend, analyze complex market segments, engage suppliers, develop sophisticated go-to-market strategies and lead make-or-buy decisions.

This course is designed to help procurement professionals acquire the competencies required to excel in today’s international business environment.

For Whom:

The program is designed for procurement professionals who need to understand the impacts of the global strategic sourcing process in order to play a meaningful role in an organization’s procurement drives. It is equally suitable for others such as: Procurement Officers, Contracting Officers, Supply Chain Professionals and Procurement Managers and those who are involved in the planning, evaluation, preparation and management of global purchasing, tenders, contracts that cover the acquisition of materials, equipment, and services.

Learning Objectives:

At the end of the program, participants will be able to:

• explain global sourcing strategies;
• develop appropriate sourcing strategies;
• learn how total costs are determined;
• know and explain the hidden costs and risks of international procurement;
• critically analyze various global strategies;
• deal with various stakeholders;
• discover methods to reduce the overall procurement costs; and
• implement appropriate strategies and tactics to enhance procurement effectiveness.

Course Outline:

Day 1: Developing Strategic Global Sourcing

• Global sourcing today
• The case for a global sourcing strategy
• Major issues to address in your strategy
• Developing the strategy
• Implementing the global sourcing strategy
• Case Study – CIPS sourcing best practice methodology

Day 2: Steps in Global Sourcing Strategy

• Step 1: Preliminary Research – Investigation and Tendering
• Step 2: Market and Supplier Evaluation
• Step 3: Selection of the Supplier (Sourcing Event)
• Step 4: Implementation
• Step 5: Performance Monitoring
• Determining the most appropriate supplier contract

Day 3: Understanding Effective Procurement System

• Understanding the complete procurement cycle
• The complete guide to achieving 100% procurement visibility
• Cost Management Strategies for sustainable procurement
• Effective Procurement: The International dimension
• Negotiation in different countries and

Foreign Trade Zones

Day 4: Procurement Risk Management

(PRM) and Global Supply Chain Risks

• Understanding of the definition and scope of PRM
• Approaches to managing global sourcing risks
• Developing techniques for effective PRM
• Managing risk in the global supply chain
• Six specific risks and how to mitigate them
• Supply Contract types and associated risks

Day 5: Developing Effective and Sustainable Global

Procurement Strategy

• Ethical and sustainable procurement
• Essentials of ethical trade
• Collaboration the way forward
• Benefits of sustainable global sourcing
• Challenges of ethical and sustainable procurement
• Lessons Learnt / Course review

Training Methodology

Lectures, discussions, exercises, case studies, audio-visual aids will be used to reinforce these teaching/learning methods.

Our facilitators are seasoned industry experts with years of experience, working as professional and trainers in these fields.