Unit of competency Outline

Date retreived
23/07/2026 1:44 AM AWST

Whilst all efforts are made to provide accurate and timely information from the relevant source/documentation, please be aware that the information supplied may not be the most current version. The accuracy of the detail has not been confirmed by the Department and therefore should not be relied upon without first confirming the contents.

Investigate new products and services

Investigate new products and services

Unit of competency
National Code
SIBXRES501A
State Code
D4804
TGA Status
Replaced
DTWD Status
Replaced
Current Release Number
2.00
Current Release Date
12/12/2011
State Implementation and Classification
Approved Date
03/05/2011
Field of Education
089901 - Purchasing, Warehousing And Distribution
Original Release Date
03/05/2011
Nominal Hours
50
Description
This unit describes the performance outcomes, skills and knowledge required to investigate, plan for and introduce new products and services. Personal services managers regularly investigate new products and services in order to change or enhance the business product or service range. They may be required to apply initiative and judgement, using a range of problem-solving and decision-making strategies.
Notes
Elements and Performance Criteria
1 Analyse market.
  • 1.1 Identify workplace marketing and merchandising policies.
  • 1.2 Informally monitor client requirements in order to evaluate market trends and client needs.
  • 1.3 Monitor workplace product and service range to identify the demand for individual items and seasonal variations.
  • 1.4 Identify opportunities to improve sales and services.
  • 1.5 Research and identify potential new products and services, and evaluate supplierclaims, and potential safety risks and benefits for clients.
  • 1.6 Identify market competition.
2 Plan product and service range.
  • 2.1 Assess the salon product and service range against workplace policies andprocedures, market analysis, sales performance, environmental impact and existing workplace skills and knowledge.
  • 2.2 Identify new techniques for sourcing service range based on research conducted.
  • 2.3 Identify workplace space requirements and optimum product or service mix according to the market analysis.
3 Maintain supplier relations.
  • 3.1 Establish and maintain relationships with suppliers.
  • 3.2 Identify new and existing suppliers and update them according to performanceindicators and workplace requirements.
4 Negotiate supply of goods.
  • 4.1 Negotiate and implement arrangements with suppliers according to workplace policies and procedures.
  • 4.2 Monitor stock and supplier records for accuracy and legibility and take appropriate required remedial action.
  • 4.3 Convey records of negotiations and agreements to appropriate personnel within designated time frames.
  • 4.4 Take immediate corrective action where potential or actual problems with supply are indicated.
  • 4.5 Analyse, evaluate and amend product range and source of supply according to management, staff and client feedback.
5 Monitor quality control.
  • 5.1 Establish merchandise quality standards with suppliers according to legalrequirements, minimal environmental impacts, client requirements and workplace policies and procedures.
  • 5.2 Monitor merchandise quality during supply and delivery process.
  • 5.3 Record stock return figures and analyse against target figures.
6 Introduce product range.
  • 6.1 Inform staff of new product ranges and services, and implement relevant staff training.
  • 6.2 Demonstrate, promote and display new products and services to staff according to workplace merchandising plan.
7 Maximise profit.
  • 7.1 Calculate or estimate individual product range contributions against budget targets.
  • 7.2 Develop product range assessment checks and implement against budget targets.
  • 7.3 Maximise profit margins in negotiation with suppliers.
  • 7.4 Determine workplace pricing policies for services and products according to stated net profit margin in workplace merchandising plan.
  • 7.5 Negotiate specifications for terms of trade.
8 Rationalise stock.
  • 8.1 Update product range at regular intervals.
  • 8.2 Identify product lines to be deleted and take action to minimise adverse effects on profit.
  • 8.3 Consolidate stock as required to maximise sales potential.
The range statement relates to the unit of competency as a whole. It allows for different work environments and situations that may affect performance. Bold italicised wording, if used in the performance criteria, is detailed below. Essential operating conditions that may be present with training and assessment (depending on the work situation, needs of the candidate, accessibility of the item, and local industry and regional contexts) may also be included.
Marketing and merchandising policies may include:
current market position
target markets
quality control policies and procedures
pricing, labelling and packaging requirements
net profit margin.
Client requirements may include:
price
quality
range.
Market trends may include:
popularity of new and emerging technologies
popularity of products with minimal environmental impact
increased demand for some products and services
decline of some services.
Product and service range may include:
new or existing stock
new or existing services
new techniques.
Opportunities to improve sales and services may include:
expansion of existing services
introduction of new services
increasing service capability through staff education and training
equipment upgrade
image update.
New products and services may include:
new generation hair reduction equipment, including:
intense pulsed light systems
laser systems
skin care products and equipment
nail care products and equipment
massage services
relaxation services.
Supplier claims must include:
substantiated research, such as:
objective technical methods
clinical testing
sensory analysis by trained panels or by consumers
consumer or market research
published and peer reviewed outcomes.
Market competition may include:
salons
day spas
private operators.
Workplace policies and procedures may include:
pricing/profit margins
product placement
supplier payment
client service
market analysis
planning, procurement and rationalisation of product and service ranges
maintenance of supplier relations
quality control
environmental impact controls.
New techniques may include:
new equipment
new products.
Relationships with suppliers may include:
face-to-face contact
correspondence
telephone or electronic contact.
Performance indicators may include:
price
quality
performance
supply reliability
product range.
Records may include:
hard copy
electronic.
Appropriate personnel may include:
staff
salon/store owner.
Source of supply may include:
local
interstate
overseas.
Legal requirements may include:
consumer law
inclusion or exclusion of goods and services tax (GST).
Merchandise quality may depend on:
damage
expiry date.
Terms of trade may include:
special buys
payment terms
promotional deals with suppliers
partnership promotions.
The evidence guide provides advice on assessment and must be read in conjunction with the performance criteria, required skills and knowledge, range statement and the Assessment Guidelines for the Training Package.
Critical aspects for assessment and evidence required to demonstrate competency in this unit
Evidence of the following is essential:
applying research skills to source, identify and evaluate new products, equipment and services, including:
product performance
organisational capability to use new technology
staff training costs
risks and benefits to clients
risks and benefits to the business
applying workplace policies and procedures in regard to:
market analysis
environmental impact controls
planning
procurement and rationalisation of product and service ranges
maintaining supplier relations, including:
negotiating supply of goods
rationalising stock
monitoring quality control
communicating product range information to team members.
Context of and specific resources for assessment
Assessment must ensure that:
that competency is consistently demonstrated over a period of time and observed by the assessor or the technical expert working in partnership with the assessor as described in the Assessment Guidelines
that competency is demonstrated in the workplace or a simulated workplace environment in a range of real workplace situations which may include client interruptions and involvement in other related activities normally expected in the workplace.
Assessment must ensure access to:
the internet
appropriate text and online resources
information on professional and retail products and suppliers
information regarding new products and equipment from a professional services range
relevant workplace documentation including:
manufacturer's equipment instructions
product instructions
manufacturer safety data sheets
workplace policies and procedures manuals
a range of clients with different product and service requirements.
For further guidance on the use of an appropriate simulated environment, refer to the Assessment Guidelines in this Training Package.
Methods of assessment
A range of assessment methods should be used to assess practical skills and knowledge. The following examples are appropriate for this unit:
observation of learners performing a range of tasks in an actual or simulated work environment, over sufficient time to demonstrate handling of a range of contingencies, including:
performing market analysis
negotiating supply of goods
rationalising stock
research reports, case studies, and written and oral questioning appropriate to the language and literacy level of the learner, to assess knowledge and understanding of investigating new products and services, including:
market analysis
product and equipment evaluation
quality standards
profit margins
completion of workplace documentation relevant to investigating new products and services procedures
third-party reports from technical experts
completion of self-paced learning materials, including personal reflection and feedback from a trainer, coach or supervisor.
Holistic assessment with other units relevant to the industry sector, workplace and job role is recommended, for example:
SIBXPSM502A Manage treatment services and sales delivery.
Replaces
State Code National Code Title Type
S4107 WRBCS513B Investigate new products and services Unit of competency
Replaced By
State Code National Code Title Type
AWX96 SHBXPSM004 Develop a product and service range Unit of competency
State Code National Code Title Type
S781 SIB50110 Diploma of Beauty Therapy Qualification
S782 SIB50210 Diploma of Salon Management Qualification