Elements and Performance Criteria

public private partnerships

leasing

buying

short-term or long-term arrangements

sole or multiple suppliers

maintenance and support arrangements

incentive contracting

firm or variable pricing regimes

franchising

research and development

pre-qualification of suppliers

standing orders and deeds of standing orders

standard form agreements

common use contracts

facilities management

prime contractor/sub-contractor

gain sharing/open book


value/market share of the business involved

complexity of the marketplace

degree of dependency of organisation programs on the procurement

extent of competition

capture and assessment of identified risks

protection of both parties

value for money

basis of due performance

broader governmental policies that may affect the market/industry sector

competitive neutrality


local

national

international

regional


commercial companies

other public sector organisations

other governments (Commonwealth, State/Territory, Local or foreign)

non-profit organisations

in-house


financial viability/capacity including insurances

past performance/infrastructure

skills and experience of key personnel

quality accreditations

earned value performance management

adequacy of proposed methodology and approach

technical merit of the proposed good or service

industrial relations record

willingness to work towards common goals

observance and promotion of occupational health and safety requirements

technical and contractual compliance

past performance

compliance with Commonwealth/State/Territory policies regarding discrimination, workplace relations and code of conduct for the construction industry


market management, including development of key supply markets where these markets are not meeting the organisation's needs

supplier development, including identification of new local suppliers, development of the capabilities of existing suppliers and development of new products

reverse marketing - a strategy that actively encourages new entrants into the supply market, when the existing market appears incapable of delivering requirements in an economic manner

tactics to increase skill levels of suppliers, particularly in dealing with government

creating the supplier environment

communicating changes

procurement strategies including splitting contracts, short-term development contracts, inviting companies to work together where each has skills


end users, customers or clients and sponsors

potential providers or suppliers

current providers/suppliers

technical or functional experts or advisers

Federal, State/Territory and/or Local Government

the organisation

other public sector organisations

employees, unions or staff associations

industry bodies

local communities and society as a whole

lobby groups, special user groups


benchmarks of expected financial performance

calculations of discounted cash flows

net present value

return on investment

transition costs in establishing initial contract

transition costs in renewing/extending contract


financial

legal

technical

functional

engineering

scientific and research

human resource

commercial or business practices

consultants


purchase price reduction

cost reduction

value of additional negotiated benefits

improvement in payment terms

improved warranties

cost saving measures

new sources of supply

substitute goods and services

improved supplier performance

reduction of demand

improved access to market information for early identification of supply problems

improved supply chain efficiencies

reduction if risk exposure

improved supplier attitude

eliminating supply monopolies

improved participation of local suppliers


easy to secure supply and high relative expenditure

difficult to secure supply and low relative expenditure

difficult to secure supply and high relative expenditure

Units to be assessed together
PSPETHC601B Maintain and enhance confidence in public service
PSPLEGN601B Manage compliance with legislation in the public sector
PSPGOV601B Apply government systems
PSPMNGT602B Manage resources
PSPMNGT606B Manage quality client service
PSPSMNGT608B Manage risk
PSPPROC604A Plan for strategic procurement
PSPPROC606A Negotiate strategic procurement

Overview of evidence requirements
In addition to integrated demonstration of the elements and their related performance criteria, look for evidence that confirms:
the knowledge requirements of this unit
the skill requirements of this unit
application of the Key Competencies as they relate to this unit (see final table for examples)
strategic procurement activities coordinated in a range of (2 or more) contexts (or occasions, over time)

Resources required to carry out assessment
These resources include:
legislation, policy, procedures and protocols relating to strategic procurement
case studies and workplace scenarios to capture the range of strategic procurement situations likely to be encountered

Where and how to assess evidence
Valid assessment of this unit requires:
a workplace environment or one that closely resembles normal work practice and replicates the range of conditions likely to be encountered when coordinating strategic procurement, including coping with difficulties, irregularities and breakdowns in routine
strategic procurement activities coordinated in a range of (2 or more) contexts (or occasions, over time)
Assessment methods should reflect workplace demands, such as literacy, and the needs of particular groups, such as:
people with disabilities
people from culturally and linguistically diverse backgrounds
Aboriginal and Torres Strait Islander people
women
young people
older people
people in rural and remote locations
Assessment methods suitable for valid and reliable assessment of this competency may include, but are not limited to, a combination of 2 or more of:
case studies
portfolios
projects
questioning
scenarios
authenticated evidence from the workplace and/or training courses

For consistency of assessment
Evidence must be gathered over time in a range of contexts to ensure the person can achieve the unit outcome and apply the competency in different situations or environments