Supply Chain Lesson

NOS Supply Chain Management
National Occupational Standards
®
Contents
Supply Chain Management National Occupational Standards 01-04
Unit Technical
T1 Maintain operational relationships within the supply chain 05
T2 Analyse information on the supply chain 06
T3 Apply improvements to the supply chain 07
T4 Monitor the achievement of project tasks 08
T5 Control supplies at storage locations and facilities 09
T6 Complete export procedures and requirements 10
T7 Complete import procedures and requirements 11
T8 Administer contracts 12
T9 Analyse information on the procurement of supplies in the supply chain 13
T10 Verify the capability of suppliers to meet supply specifications 14
T11 Analyse the performance of suppliers 15
T12 Identify potential suppliers for the supply chain 16
T13 Place orders with suppliers 17
T14 Monitor and progress the delivery of orders 18
T15 Monitor the flow of supplies in the supply chain 19
T16 Obtain information on storage locations and facilities 20
T17 Obtain information on distribution requirements 21
T18 Monitor the distribution of supplies 22
T19 Monitor the flow of returned supplies 23
T20 Monitor the transportation of supplies 24
T21 Contribute to operational relationships within the supply chain 25
T22 Obtain information on the supply chain 26
KT Application of knowledge - Technical Units 27
Unit Management
M1 Develop operational relationships within the supply chain 28
M2 Evaluate information on the supply chain 29
M3 Propose improvements to the supply chain 30
M4 Introduce improvements to the supply chain 31
M5 Plan projects to develop the supply chain 32
M6 Manage projects to develop the supply chain 33
M7 Negotiate for supplies 34
M8 Contract with other organisations 35
M9 Review the outcomes of contracts 36
M10 Evaluate information on the procurement of supplies in the supply chain 37
M11 Select suppliers for the supply chain 38
M12 Produce specifications for supplies 39
M13 Evaluate the capability of suppliers to meet supply specifications 40
M14 Schedule and approve the placing of orders 41
M15 Evaluate the performance of suppliers 42
M16 Schedule the flow of supplies in the supply chain 43
M17 Specify the requirements for the storage of supplies 44
M18 Select locations and facilities for storing supplies 45
M19 Evaluate information on the storage of supplies 46
M20 Specify the requirements for the distribution of supplies 47
Contents continue on the next page

M21 Select distribution methods for supplies 48
M22 Schedule the distribution of supplies 49
M23 Select methods to receive returned supplies 50
M24 Select transportation methods for supplies 51
M25 Schedule the transportation of supplies 52
M26 Select methods for exporting supplies 53
M27 Select methods for importing supplies 54
KM Application of knowledge - Management Units 55
Unit Strategy
S1 Develop a supply chain strategy for the organisation 56
S2 Establish strategic relationships within the supply chain 57
S3 Improve the performance of the supply chain 58
S4 Commission projects to develop the supply chain 59
S5 Plan the flow of supplies through the supply chain 60
S6 Plan the procurement of supplies 61
S7 Plan the storage of supplies in the supply chain 62
S8 Plan the distribution of supplies 63
S9 Plan the transportation of supplies 64
S10 Plan the export and import of supplies 65
KS Application of knowledge - Strategy Units 66
Supply Chain Management National Occupational Standards 1
Supply Chain Management

National Occupational Standards
About the SCM occupational standards

This suite of Supply Chain Management National Occupational Standards is one of
the many suites of such NOS, each covering a specific occupation in the UK. A feature
of all suites of NOS is that they are developed and maintained by sector experts in each
industry. The Supply Chain Management standards were developed by a group of supply
chain and logistics industry experts and are now managed by the ‘Supply Chain
Management NOS Board’ which comprises:
• The Chartered Institute of Purchasing & Supply (CIPS)

• The Chartered Institute of Logistics & Transport in the UK, (CILT(UK))
• Skills for Logistics
The SCM NOS Management Board is responsible for ensuring that the standards are
kept up to date with changing industry practice and are used appropriately by those
developing qualifications.
About National Occupational Standards

If you are new to NOS, the paragraphs below give some more information about what
NOS are and how to use them most effectively in workforce planning and development.
National Occupational Standards (NOS) define the competences which apply to job roles
or occupations. These take the form of statements of performance, knowledge and the
evidence required to confirm competence. They cover the key activities undertaken within
the occupation in question, under typical workplace circumstances the job holder is likely
to encounter.
They can therefore be used to:

• describe good practice in particular areas of work
• set out a statement of competence which bring together the skills, knowledge and
understanding necessary to do the work
• provide managers with a tool for a wide variety of workforce management and
quality control
• offer a framework for training and development
• form the basis of nationally recognised and accredited qualifications; for example
the Supply Chain Management National Vocational Qualifications (NVQs) and
Scottish Vocational Qualifications (SVQs)
Using National Occupational Standards

NOS can be used by both employers and employees as a way to explain and understand
what a job is about and the knowledge and skills needed to carry it out successfully.
Set out below are just some examples of the many ways NOS can be used.
1. Employers and businesses

Employers use Occupational Standards (NOS) to assist with a range of activities in
the workplace:
a) Business Planning
Managers use NOS to:
• describe the skills they need in their workforce
• assess the skills already in the workforce
• develop training and recruitment plans to fill any identified gaps and shortages.
• form the basis of job descriptions
b) Staff Development
NOS contain descriptions of good practice and are used as the basis for setting objectives
in performance and appraisal.
c) Developing and Evaluating Training

Training plans and training courses can be developed to meet both organisational and
individual learning needs. NOS can be used to inform the content of training as they
specify in detail what constitutes good practice. They can also be used to evaluate training
by defining the expected outcomes.
d) Benchmarking
The NOS provide an excellent basis from which to develop bench marking exercises
either internally or to compare with other similar organisations.
2. Employees and Individuals

Individuals and employees use Occupational Standards (NOS) to improve their own
career development in the following ways:
a) Self Assessment
Employees use NOS to undertake a self-assessment of their competences against their
own or other jobs. This can be helpful for someone considering a career move or simply
for their own professional development.
b) Professional development and career development

Individuals and employees use NOS as:
• a foundation for continual professional development and associated career
development
• a base point for qualifications that relate to work needs
c) Motivation to learn
Individuals and employees use NOS to:
• motivate them to learn and develop new and existing skills
• help them develop their own knowledge and skills, improve their own performance
and to gain credit for their achievements
d) Job satisfaction
Individuals and employees use NOS to achieve greater job satisfaction through improved
personal achievement.
The Supply Chain Management National Occupational Standards

The remainder of this document contains the SCM NOS themselves. These were first
approved by the UK regulatory authorities in July 2005. The Standards follow the format
required by the UK regulatory bodies and the notes below provide guidance to those
using the standards.
Levels of units
The units of competence have been designed for use at three main levels of competence.
This has important implications for the way units are used when developing qualifications
and also helps employers and employees relate their job role/s to the most appropriate units.
Technical Level: units coded with a “T”, e.g. Unit T1 Maintain operational relationships
within the supply chain. These units are designed for supply chain practitioners who
provide mainly technical or support roles within the supply chain. It is recommended
that these technical level units are used only in NVQ or SVQ Level 3 and 2 qualifications.
Management Level: units coded with an “M”, e.g. Unit M1 Develop operational
relationships within the supply chain. These units are designed for supply chain
practitioners who are managers or specialists, providing management roles within the
supply chain. It is recommended that these management level units are used only in
NVQ or SVQ Level 4 qualifications.
Strategic Level: units coded with an “S”, e.g. Unit S1 Develop a supply chain strategy
for the organisation. These units are designed for supply chain practitioners who are
senior managers or senior specialists, providing strategic leadership roles within the
supply chain. It is recommended that these strategic units are used only in NVQ or SVQ
Level 5 qualifications.
Definitions of key words used in the standards

Throughout the standards, a number of key words are used. These have a specific and
consistent definition across all the standards. This particularly ensures that any use of
the NOS for assessment is appropriate and fair.
Colleagues any people who are directly employed or under contract by the same
organisation.
Contracts (noun) usually comprise of formal legally binding agreements, but can be
informal agreements: both can be enforced through civil law.
Organisation any type of private or public body, e.g. a private limited company or a
local government body, regardless of size. Because of the complexity
of ownership and control systems, each person will have to decide
what their organisation is.
Resources the facilities, equipment, materials, and finances that are required to
sustain the supply chain.
Stakeholders all organisations or individuals who have a vested interest in the
organisation.
Supplies any combination of goods or services that are procured, delivered, or
stored in the supply chain.
Supply chain management covers the application of procurement, purchasing and supply,
logistics, transport, and operations management, within and between
international boundaries.
Assessment Strategy
If the supply chain management units are incorporated into NVQs or SVQs, the
Assessment Strategy which was approved with the NOS must be implemented.
This document accompanies the Standards.
Key Skills and Core Skills

If the NOS are being used in a wider training or development programme, it is often necessary
to show how the units relate to the generic national qualifications for literacy, numeracy and
other supporting skills such as communication. At the time the units were developed they
were mapped against the current Key Skills (England and Wales) and Core Skills (Scotland).
The key skills and core skills that are relevant to the supply chain management units have
been identified, and this information is available in a separate document.
T1
Maintain operational relationships
within the supply chain
Summary
This unit deals with the maintenance and improvement of relationships within the supply
chain. It looks at options to improve communications and supply chain processes and
how to develop and share these ideas with relevant colleagues to ensure maximum
benefit. In addition, the unit considers the importance of monitoring relationships,
communications and process effectiveness, and the need to address problems promptly
to maintain the performance of the supply chain.
Performance requirements
Outcomes Achievement Criteria
01 Maintain and improve current operational a. communications are maintained and improved
relationships within the supply chain b. options to improve supply chain processes are
clearly identified
02 Recommend opportunities to develop c. operational relationships could potentially benefit

operational relationships within the supply chain the supply chain
d. information on opportunities is provided to all
relevant colleagues
03 Identify problems with supply chain e. problems are clearly identified as soon as possible
relationships f. colleagues are informed of problems according to
organisational procedures
04 Ensure operational relationships are suitable for g. supply chain processes are monitored regularly
maintaining the performance of the supply chain h. operational relationships are conducted in ways
that are mutually beneficial
Go to: Application of knowledge (page 27 )
This unit must be used in accompaniment with the Supply Chain Management National Occupational Standards Guidance Notes on pages 1-4
T2
Analyse information
on the supply chain
Summary
This unit is about using data analysis to identify and make recommendations for potential
improvements within the supply chain. It requires a clear purpose for the analysis, careful
collection and preparation of relevant data and a clear set of results, which should
highlight any problem areas. The unit also deals with the importance of presenting the
results of the analysis to colleagues in an appropriate format so that key findings are
immediately clear.
01 Specify the purpose of the analysis a. confirmation is obtained from appropriate

colleagues
02 Collate and prepare data for the analysis b. suitable sources of data are accessed
c. relevant data for the analysis are sorted and
collated
03 Analyse data on the organisation’s supply chain d. appropriate analysis methods and procedures are
used
e. results are discussed with all relevant colleagues
04 Use analysis procedures and techniques that are f. results are provided according to agreed
appropriate to the information required schedules
g. key findings are clearly identified
05 Identify any problems with the supply chain h. problems are clearly identified as soon as possible
i. colleagues are informed of problems according to
06 Provide the results of the analysis to colleagues j. information is provided to all relevant colleagues
T3
Apply improvements
to the supply chain
Summary
The main purpose of this unit is to illustrate the potential to add value by improving a
process, service or activity. It looks at collating and analysing information, drawing up
results and the need to discuss findings with colleagues to verify their usefulness before
any implementation decisions are taken. The unit also considers any impact that may arise
from applying the improvements and the importance of sharing this information with all
relevant stakeholders.
01 Obtain information on the improvements being a. information is obtained from the appropriate
introduced to the supply chain colleagues
02 Apply improvements to the supply chain b. plans are implemented wherever possible
according to the implementation plan c. colleagues are consulted on their views
03 Comply with procedures for monitoring the d. supply chain management systems are used
supply chain e. legal and organisational requirements are
complied with
04 Collate and prepare data on the impact of f. suitable sources of data are accessed
improvements to the supply chain g. relevant data for the analysis are sorted and
collated
05 Analyse data on the impact of improvements to h. appropriate analysis methods and procedures are
the supply chain used
i. results are discussed with all relevant colleagues
06 Identify problems relating to the application of j. problems are clearly identified as soon as possible
the improvements to the supply chain k. colleagues are informed of problems according to
07 Provide feedback on the application of the l. information is provided to all relevant colleagues
improvements to the supply chain m. issues that have an impact on the organisation’s
effectiveness are clearly expressed
T4
Monitor the achievement
of project tasks
Summary
This unit looks at the project tasks and the need for them to be monitored effectively
so that any problems are identified and addressed promptly to avoid the overall
outcome being jeopardised. It covers information requirements and the importance
of this being passed efficiently between the relevant colleagues according to
organisational procedures.
01 Clarify information on the requirements of the a. clarification is obtained from appropriate

project colleagues
02 Confirm the project tasks to be achieved b. colleagues responsible for project tasks are
identified
03 Obtain information from colleagues on the c. information is obtained from the appropriate
achievement of project tasks and milestones colleagues
d. information is relevant to the project being
monitored
04 Monitor the achievement of project tasks e. project tasks are monitored regularly
05 Provide information on the progress of project f. information is provided to all relevant colleagues
tasks
06 Identify any problems in delivering project tasks g. problems are clearly identified as soon as possible
h. colleagues are informed of problems according to
T5
Control supplies at storage locations
and facilities
Summary
The main purpose of this unit is to consider the storage of supplies. It covers what
information is required, the need for the information to be sorted and collated correctly,
for supplies to be monitored regularly and for any problems to be identified and possible
resolutions discussed with colleagues promptly. The unit also considers compliance with
procedures for controlling the supplies being stored.
01 Confirm information on the supplies being a. specifications and quality of supplies are clearly
stored identified
b. quantity and delivery schedules of supplies are
clearly identified
02 Obtain information on the supplies being stored c. suitable sources of data are accessed
d. information is obtained from the appropriate
colleagues
03 Collate and prepare data for the analysis e. relevant data for the analysis are sorted and
collated
04 Analyse information on the storage locations f. appropriate analysis methods and procedures are
and facilities used
05 Monitor the location and condition of the g. supplies being stored are monitored at regular
supplies being stored intervals
06 Identify any problems with the supplies being h. problems are clearly identified as soon as possible
stored i. colleagues are informed of problems according to
07 Provide the results of the monitoring to j. results are discussed with all relevant colleagues
colleagues k. results are provided according to agreed
schedules
08 Comply with procedures for controlling the l. supply chain management systems are used
supplies being stored m. legal and organisational requirements are
complied with
T6
Complete export procedures
and requirements
Summary
This unit deals with the provision of support for export procedures and looks at the
financial, legal and transportation compliance requirements as well as the need for
complete export documentation to be made available. It also highlights the need for
monitoring of export procedures so that problems can be shared with the relevant
colleagues and resolved promptly.
01 Identify export requirements for the supplies a. position and movement of supplies is clearly
identified
b. specifications and quality of supplies required is
clearly identified
c. financial, legal, and transportation requirements
are clearly identified
02 Obtain information on the exporting of supplies d. suitable sources of data are accessed
e. information is obtained from the appropriate
colleagues
03 Complete export documentation for the supplies f. financial and insurance details are finalised
g. customs documentation is completed correctly
h. transportation details are complete
04 Monitor the completion of export procedures i. export procedures are monitored at all key stages
05 Identify any problems with the export j. problems are clearly identified as soon as possible
procedures and requirements k. colleagues are informed of problems according to
06 Provide information on the export of supplies l. information is provided to all relevant colleagues
m. confidentiality of information is maintained
07 Comply with export procedures and n. supply chain management systems are used
requirements o. legal and organisational requirements are
complied with
T7
Complete import procedures
and requirements
Summary
This unit considers the process of importing supplies and the procedures and
requirements that are associated with it. It looks at accessing data, the completion of
financial, insurance and financial details and effective information monitoring. Finally,
the unit highlights the importance of using supply chain management systems and of
the need for compliance with legal, regulatory and organisational requirements.
01 Identify import requirements for the supplies a. position and movement of supplies is clearly
identified
clearly identified
c. financial, legal, and transportation requirements
are clearly identified
02 Obtain information on the importing of supplies d. suitable sources of data are accessed
colleagues
03 Complete import documentation for the supplies f. financial and insurance details are finalised
g. customs documentation is completed correctly
h. transportation details are complete
04 Monitor the completion of import procedures i. import procedures are monitored at all key stages
05 Identify any problems with the import j. problems are clearly identified as soon as possible
procedures and requirements k. colleagues are informed of problems according to
06 Provide information on the import of supplies l. information is provided to all relevant colleagues
m. confidentiality of information is maintained
07 Comply with import procedures and n. supply chain management systems are used
requirements o. legal and organisational requirements are
complied with
T8
Administer contracts
Summary
The main purpose of this unit is to illustrate the key considerations for managing
contracts. It looks at obtaining authorisation to administer the contracts, the need for
analysing and exchanging information on contract outcomes with appropriate colleagues
and the express need for confidentiality at all times. The unit also deals with the
importance of compliance with organisational, legal and regulatory requirements.
01 Obtain authorisations to administer the a. the authorisation of appropriate colleagues is

contracts obtained
02 Obtain and clarify instructions and information b. information is obtained from the appropriate
required to negotiate contracts colleagues
c. clarification is obtained from appropriate
colleagues
03 Provide documents specified in the contract d. all pages and parts of the contract are compiled
correctly
04 Analyse information on contract outcomes e. relevant data for the analysis are sorted and
collated
f. appropriate analysis methods and procedures are
used
05 Identify any problems relating to the content g. problems are clearly identified as soon as possible
and outcomes of contracts h. colleagues are informed of problems according to
06 Exchange information on the content and i. information is provided to all relevant colleagues
outcomes of contracts j. confidentiality of information is maintained
07 Confirm the contract complies with all relevant k. legal and regulatory requirements are complied
requirements with
l. organisational requirements are complied with
T9
Analyse information on the
procurement of supplies
in the supply chain
Summary
This unit covers the purpose and process of analysing data on the procurement of
supplies within the supply chain. It looks at the most appropriate sources of data, what
analysis methods are appropriate and the need for involving colleagues to ensure
potential problems are dealt with efficiently. The unit also outlines the need for providing
analysis results according to agreed schedules with key findings clearly identified.
01 Specify the purpose of the analysis a. confirmation is obtained from appropriate

colleagues
02 Collate and prepare data for the analysis b. suitable sources of data are accessed
c. relevant data for the analysis are sorted and
collated
03 Analyse data on the procurement of supplies in d. appropriate analysis methods and procedures are
the supply chain used
e. results are discussed with all relevant colleagues
04 Identify any problems with the procurement of f. problems are clearly identified as soon as possible
supplies in the supply chain g. colleagues are informed of problems according to
05 Provide the results of the analysis to colleagues h. results are provided according to agreed
schedules
i. key findings are clearly identified
j. information is provided to all relevant colleagues
T10
Verify the capability of suppliers
to meet supply specifications
Summary
This unit covers the evaluation of suppliers to ensure that they are able to meet the
supply needs of the business. The focus is on identifying supply needs, analysing
information on the capability of suppliers to meet those needs and sharing results
with the relevant colleagues according to organisational procedures. It also highlights
the importance of compliance with supply chain management systems and legal,
regulatory and organisational requirements to ensure suppliers are verified effectively.
01 Confirm the type of supplies that are required a. specifications and quality of supplies required is
clearly identified
b. quantity and rate of supplies required is clearly
identified
c. delivery schedules and other requirements are
clearly specified
02 Obtain information from suppliers on their d. suitable sources of information are accessed
capability to provide supplies e. all relevant information is considered
03 Analyse information on the capability of f. appropriate analysis methods and procedures are
suppliers used
04 Verify the information provided by suppliers g. information is checked using organisationally

specified methods
h. suppliers are suitable for being used
05 Identify any problems in using the suppliers i. problems are clearly identified as soon as possible
j. colleagues are informed of problems according to
06 Provide the results to colleagues k. results are discussed with all relevant colleagues
l. results are provided according to agreed
schedules
07 Comply with procedures for verifying suppliers m. supply chain management systems are used
n. legal and organisational requirements are
complied with
T11
Analyse the performance
of suppliers
Summary
The purpose of this unit is to provide a robust set of guidelines for analysing the
effectiveness of suppliers. It focuses on the need to specify the organisation’s
requirements from suppliers, the quantity and rate of the goods that they supply and
any associated delivery schedules. It also covers the process of analysis and evaluation
and the need for recommending options for improving the performance of suppliers.
clearly identified
identified
clearly specified
02 Obtain information on the performance of d. suitable sources of information are accessed

suppliers e. all relevant information is considered
03 Collate and prepare data for the analysis f. relevant data for the analysis are sorted and
collated
04 Analyse data on the performance of suppliers g. appropriate analysis methods and procedures are
used
05 Identify any problems in using the suppliers h. problems are clearly identified as soon as possible
i. colleagues are informed of problems according to
06 Provide the results of the analysis to colleagues j. results are discussed with all relevant colleagues
k. results are provided according to agreed
schedules
07 Recommend options for improving the l. appropriate options for improving the supply
performance of suppliers chain are identified
m. alternative sources of supply are identified
T12
Identify potential suppliers
for the supply chain
Summary
This unit is about helping to ensure that the best possible suppliers are identified to
support the activities of the organisation. Beginning with the need for a precise outline
of the supplies that are required, it also covers the importance of analysing the choice of
suppliers and their specific capabilities and debating the various findings with colleagues
to gain a rounded view of the best options to take.
01 Obtain information on the supplies that are a. information is obtained from the appropriate
required colleagues
b. information is clarified if necessary
02 Confirm the type of supplies that are required c. specifications and quality of supplies required is
clearly identified
d. quantity and rate of supplies required is clearly
identified
e. delivery schedules and other requirements are
clearly specified
03 Obtain information on suppliers in the market f. suitable sources of data are accessed
g. colleagues are consulted on their views
04 Identify potential suppliers h. suppliers are capable of providing supplies

i. suppliers are available to provide the supplies
05 Identify any problems in using the suppliers j. problems are clearly identified as soon as possible
k. colleagues are informed of problems according to
06 Provide the results to colleagues l. results are discussed with all relevant colleagues
m. results are provided according to agreed
schedules
07 Comply with procedures for identifying potential n. supply chain management systems are used
suppliers o. legal and organisational requirements are
complied with
T13
Place orders with suppliers
Summary
This unit sets our the clear steps required for placing orders effectively and begins with
the need to obtain precise information about the nature of the supplies that are required;
quantity, quality, rate of supply and delivery schedules. It also covers the important
aspects of confirming details with the relevant colleagues, agreeing price and any other
delivery instructions, and stresses the importance of compliance with existing supply
management systems and legal, regulatory and organisational requirements.
01 Obtain information on the supplies that need to a. specifications and quality of supplies required is
be ordered clearly identified
identified
clearly specified
02 Confirm the specifications with colleagues d. information is provided to all relevant colleagues
e. colleagues are consulted on their views
03 Place orders with suppliers f. orders are placed according to the specified
schedule
g. orders are placed according to procedures agreed
with the supplier
04 Confirm the orders with suppliers h. price and specifications are confirmed
i. delivery instructions are agreed
05 Identify any problems in placing orders j. problems are clearly identified as soon as possible
k. colleagues are informed of problems according to
06 Comply with procedures for placing orders l. supply chain management systems are used
m. legal and organisational requirements are
complied with
T14
Monitor and progress
the delivery of orders
Summary
This unit covers the steps necessary to ensure that deliveries are made in a timely and
efficient manner. It begins by looking at the information required to establish exactly
what has been order and when delivery is due. It then considers how to monitor actual
deliveries and progress those that are still to be made. It also looks at identifying
problems, sharing the relevant information with colleagues and the need for sourcing
alternative suppliers should this become necessary. Finally, the unit reinforces the
importance of the supply chain management system and compliance with legal,
regulatory and organisational requirements.
01 Confirm information on the supplies that need a. specifications and quality of supplies required is
to be ordered clearly identified
identified
clearly specified
02 Monitor the delivery of orders d. supplies are monitored against delivery times and
specifications
e. cost and quality of supplies is monitored
03 Progress orders with suppliers f. orders are progressed according to the specified
schedule
g. orders are progressed according to procedures
agreed with the supplier
04 Identify any problems with the delivery of h. problems are clearly identified as soon as possible
orders i. colleagues are informed of problems according to
05 Recommend options for progressing the j. additional support is provided to suppliers

delivery of orders k. alternative sources of supply are identified
06 Comply with procedures for progressing orders l. supply chain management systems are used
m. legal and organisational requirements are
complied with
T15
Monitor the flow of supplies
in the supply chain
Summary
This unit illustrates the steps that are necessary to help ensure that supplies flow
through the supply chain in an efficient and effective manner. It begins with a look at
what information is needed as a start point; clear specifications in terms of quality,
quantity and delivery schedules. It then outlines the process for monitoring the actual
flow of goods, what to do should a problem arise, and concludes with the need to
share key findings and all relevant information with colleagues.
01 Confirm information on the supplies that are a. specifications and quality of supplies are clearly
flowing through the supply chain identified
clearly identified
02 Collate and prepare data to monitor the flow of c. suitable sources of data are accessed
supplies d. relevant data for the analysis are sorted and
collated
03 Analyse data on the flow of supplies e. appropriate analysis methods and procedures are
used
f. results are discussed with all relevant colleagues
04 Identify any problems with the flow of supplies g. problems are clearly identified as soon as possible
h. colleagues are informed of problems according to
05 Provide the results of the analysis to colleagues i. results are provided according to agreed
schedules
j. key findings are clearly identified
k. information is provided to all relevant colleagues
06 Comply with procedures for monitoring the flow l. supply chain management systems are used
of resources m. legal and organisational requirements are
complied with
T16
Obtain information on storage
locations and facilities
Summary
The important issue of storage is central to this unit, which aims to provide guidance on
how to identify and secure the best possible facilities in the most appropriate locations to
meet the organisation’s needs. It covers the need to clarify information about the supplies
that need to be stored and looks at the process of analysing data on the facilities and
location options. The unit also covers the need to discuss the results of the analysis with
colleagues and concludes with the final step of making storage recommendations.
01 Confirm information on the supplies being a. specifications and quality of supplies are clearly
stored identified
clearly identified
02 Obtain information on storage locations and c. suitable sources of data are accessed
facilities d. information is obtained from the appropriate
colleagues
collated
04 Analyse information on the storage locations f. appropriate analysis methods and procedures are
and facilities used
05 Identify any problems in using the storage g. problems are clearly identified as soon as possible
locations and facilities h. colleagues are informed of problems according to
06 Provide the results of the analysis to colleagues i. results are discussed with all relevant colleagues
j. results are provided according to agreed
schedules
07 Recommend options for using storage locations k. appropriate options for the supply chain are
and facilities identified
l. alternative storage locations and facilities are
identified
T17
Obtain information on
distribution requirements
Summary
This unit considers the aspect of distribution and begins with the importance of sourcing
reliable and detailed information about the supplies themselves, the role of suppliers and
customers within the distribution system and the distribution requirements for each set of
supplies. It looks at the steps to gather and analyse data, how to approach potential
problems and the need for recommending options for storage locations and facilities.
01 Confirm information on the supplies being a. positioning and movement of supplies is clearly
distributed identified
b. role of suppliers and customers within the
distribution system are clearly identified
c. distribution requirements of different types of
supplies are identified
02 Obtain information on distribution requirements d. suitable sources of data are accessed

colleagues
03 Collate and prepare data for the analysis f. relevant data for the analysis are sorted and
collated
04 Analyse information on the distribution g. appropriate analysis methods and procedures are
requirements used
05 Identify any problems in the distribution h. problems are clearly identified as soon as possible
requirements i. colleagues are informed of problems according to
06 Provide the results of the analysis to colleagues j. results are discussed with all relevant colleagues
k. results are provided according to agreed
schedules
07 Recommend options for using storage locations l. appropriate options for the supply chain are
m. alternative storage locations and facilities are
identified
T18
Monitor the distribution
of supplies
Summary
Ensuring supplies reach an agreed destination on time and in full is a critical function of
the supply chain. This unit outlines the steps that are required to monitor the process of
distribution and begins with the information necessary at the start of the process, goes
through collecting data, analysis and the need to identify and share potential problems
with colleagues. Results and conclusions from the monitoring process must then be
discussed with the relevant colleagues.
clearly identified
02 Obtain information on the distribution of c. suitable sources of data are accessed

supplies d. information is obtained from the appropriate
colleagues
collated
04 Analyse information on the distribution of f. appropriate analysis methods and procedures are
supplies used
05 Monitor the distribution of supplies g. supply distribution is monitored at regular

intervals
06 Identify any problems with the distribution of h. problems are clearly identified as soon as possible
supplies i. colleagues are informed of problems according to
schedules
08 Comply with procedures for monitoring the l. supply chain management systems are used
distribution of supplies m. legal and organisational requirements are
complied with
T19
Monitor the flow of
returned supplies
Summary
This unit illustrates the steps that are necessary to ensure that any returned supplies are
dealt with in an efficient and effective manner. It begins with a look at what information
is needed as a start point, the need to track the flow of returned goods, for the efficiency
of the processes to be measured, and the results discussed with colleagues. It concludes
with the importance of making recommendations for improving the flow of returned
supplies, which should include the provision of alternative options.
01 Confirm information on the supplies being a. information on quantity and type of returns is
returned obtained
02 Collate and prepare data on the flow of returned b. suitable sources of data are accessed
supplies c. information is obtained from the appropriate
colleagues
03 Analyse information on the flow of returned d. appropriate analysis methods and procedures are
supplies used
04 Identify any problems with the flow of returned e. problems are clearly identified as soon as possible
supplies f. colleagues are informed of problems according to
05 Provide the results of the analysis to colleagues g. results are discussed with all relevant colleagues
h. results are provided according to agreed
schedules
06 Recommend options for improving the flow of i. appropriate options for the supply chain are
returned supplies identified
j. alternative methods for returning supplies are
identified
07 Comply with procedures for monitoring the flow k. supply chain management systems are used
of returned supplies l. legal and organisational requirements are
complied with
T20
Monitor the transportation
of supplies
Summary
Ensuring reliable on time, in full delivery of supplies is a critical part of the supply chain’s
activity. This unit outlines the steps that are required to monitor the process of delivery
and starts with the detailed information needed to begin with. It also covers collecting
data, analysis and the need to identify and share potential problems with colleagues.
Results and conclusions from the monitoring process must then be discussed with the
relevant colleagues in accordance with the supply chain management systems.
transported identified
b. transportation requirements of different types of
02 Obtain information on the transportation of c. suitable sources of data are accessed

supplies d. information is obtained from the appropriate
colleagues
collated
04 Analyse information on the transportation of f. appropriate analysis methods and procedures are
supplies used
05 Monitor the transportation of supplies g. supply transportation is monitored at regular

intervals
06 Identify any problems with the transportation of h. problems are clearly identified as soon as possible
supplies i. colleagues are informed of problems according to
schedules
08 Comply with procedures for monitoring the l. supply chain management systems are used
transportation of supplies m. legal and organisational requirements are
complied with
T21
Contribute to operational
relationships within the
supply chain
Summary
This unit focuses on the importance of ensuring that operational relationships are
contributing all that is possible to support a high performing supply chain. It considers
the critical role of communications in maintaining and improving existing relationships,
the opportunities that can be grasped to improve supply chain processes by leveraging
strong operational relationships and concludes with the need to monitor the whole so
that problems are identified and dealt with promptly.
01 Contribute to the maintenance and improvement a. communications are maintained effectively

of current operational relationships within the b. possibilities for improving supply chain processes
supply chain are clearly identified
02 Provide information on opportunities to develop c. operational relationships could potentially benefit

operational relationships within the supply chain the supply chain
d. information on opportunities is provided to all
relevant colleagues
03 Identify problems with supply chain e. problems are clearly identified as soon as possible
relationships f. colleagues are informed of problems according to
04 Assist colleagues to ensure that operational g. supply chain processes are monitored regularly
relationships are suitable for maintaining the h. operational relationships are conducted in ways
performance of the supply chain that are mutually beneficial
T22
Obtain information
on the supply chain
Summary
Having easy and reliable access to information about the supply chain is important,
particularly for monitoring purposes. This unit outlines the need to identify the processes
that comprise the supply chain and the detail of the supplies that flow through the supply
chain. It also looks at recording and analysing data and the importance of clearly
identifying potential problems and sharing these with colleagues according to agreed
schedules. Finally the unit covers the requirement to recommend options for using
storage locations and facilities.
01 Identify the processes that comprise the supply a. procurement, logistics, operations management,
chain transportation, and export and import systems are
identified
02 Identify the supplies flowing through the supply b. specifications and quality of supplies are clearly
chain identified
03 Obtain information on the supplies flowing c. suitable sources of data are accessed
through the supply chain d. information is obtained from the appropriate
colleagues
04 Sort information on the supply chain e. appropriate sorting methods and procedures are
used
05 Record information ready for analysis f. relevant information for analysis is recorded in
appropriate systems
06 Identify any problems in obtaining information g. problems are clearly identified as soon as possible
on the supply chain h. colleagues are informed of problems according to
07 Provide the information to colleagues when i. information is provided in the appropriate formats
required for analysis j. information is provided according to agreed
schedules
08 Recommend options for using storage locations k. appropriate options for the supply chain are
l. alternative storage locations and facilities are
identified
KT
Application of Knowledge
Technical Units
Technical Units
Knowledge T1 T2 T3 T4 T5 T6 T7 T8 T9 T10 T11 T12 T13 T14 T15 T16 T17 T18 T19 T20 T21 T22
K1 Analysis methods and procedures ● ● ● ● ● ● ● ● ● ● ● ●

K2 Change management theories, models, and practices ●
K3 Communication methods and procedures ● ● ● ● ●
K4 Contract administration methods and procedures ●
K5 Contract law and drafting methods and procedures
K6 Cost and benefit analysis methods and procedures ● ● ● ● ● ● ● ● ●
K7 Database management and monitoring methods and procedures ● ●
K8 Evaluation methods and procedures
K9 Export and import methods and procedures
K10 Export methods and procedures ●
K11 Financial analysis methods and procedures
K12 Import methods and procedures ●
K13 Industry-specific networks and sources of information
K14 Information sources on supply chain processes ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ●
K15 International trade issues
K16 Legal and regulatory requirements ●
K17 Logistics theories, models and practices ● ● ● ● ● ●
K18 Market research methods and procedures
K19 Negotiation strategies, methods and procedures
K20 Networking methods and procedures
K21 Operations management, theories, models and practices ●
K22 Organisational objectives and activities ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ●
K23 Organisational strategic aims and objectives
K24 Performance measurement and benchmarking theories, models, and practices ● ● ● ● ● ● ● ● ● ●
K25 Planning methods and procedures ●
K26 Presentation theories, models, and practices ● ● ● ● ● ●
K27 Procurement theories, models and practices ● ● ● ● ● ● ●
K28 Project Management and administration methods and procedures ●
K29 Quality management theories, models, and practices ●
K30 Risk analysis methods and procedures
K31 Stakeholder management methods and procedures
K32 Supplier evaluation methods and procedures ● ● ● ●
K33 Supply chain management theories, models, and practices ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ●
K34 Transportation methods and procedures ●
M1
Develop operational relationships
Summary
This unit covers the requirements needed to evaluate and maintain existing supply
chain relationships effectively. It illustrates the risks and benefits of developing
these supply chain relationships and provides guidance on how potential problems
or issues may be resolved. The unit also deals with the need to maintain operational
relationships successfully.
01 Evaluate current operational relationships within a. suitable sources of information are accessed
the supply chain b. all relevant information is considered
c. appropriate evaluation processes are used
d. colleagues are consulted on their views
02 Maintain and improve current operational e. communications are maintained and improved
relationships within the supply chain f. supply chain processes are conducted in ways that
are mutually beneficial to all stakeholders
03 Explore the benefits and risks of developing g. factors affecting the supply chain are clearly
operational relationships within the supply chain identified
h. benefits and risks are fully analysed
04 Develop operational relationships that improve i. improvements to the supply chain are clearly
the performance of the supply chain identified
j. organisational objectives can be achieved more
effectively
05 Resolve problems with operational relationships k. problems are clearly identified as soon as possible
l. problems are resolved in a way that minimises
disruption to the supply chain
06 Ensure operational relationships are maintained m. supply chain relationships are monitored regularly
n. communication methods are used effectively
M2
Evaluate information
on the supply chain
Summary
This unit covers the evaluation of supply chain information to achieve meaningful
performance improvements. The focus is on identifying critical success factors, gathering
and evaluating information from relevant sources and establishing potential problems
that require immediate action. The unit highlights the importance of ensuring that results
of the analysis are shared and discussed with colleagues before being considered for use
to help improve the effectiveness of the supply chain.
01 Obtain information on the supply chain a. suitable sources of information are accessed
b. colleagues are consulted on their views
02 Identify the critical factors that affect the supply c. benefits and risks are fully analysed
chain d. resource implications are clearly identified
03 Evaluate information on the supply chain e. all relevant information is considered

f. appropriate evaluation processes are used
04 Identify any problems that require immediate g. problems are clearly identified as soon as possible
action h. problems are resolved in a way that minimises
05 Ensure the results of the evaluation are provided i. results of the evaluation are relevant to the
in a way that helps to improve the performance organisation and the supply chain
of the supply chain
06 Provide the results of the evaluation to j. results are effectively presented at the appropriate
colleagues time and place
k. results are discussed with all relevant colleagues
M3
Propose improvements
to the supply chain
Summary
The purpose of this unit is to instigate improvements in the effectiveness of the supply
chain and focuses on a thorough examination of the current operation and practices to
identify opportunities for enhancement. It highlights the need for the review to cover an
evaluation of each potential improvement area in terms of its practicality, feasibility and
the level of enhanced performance that might be achieved. Before implementation, all
suggested improvements must undergo a cost/benefit and risk assessment.
01 Review the current performance of the supply a. suitable sources of information are accessed
chain b. all relevant information is considered
c. colleagues are consulted on their views
02 Identify potential improvements to the supply d. improvements to the supply chain are clearly
chain identified
e. organisational objectives can be achieved more
effectively
f. improvements to costs, service levels, quality, and
timescales are identified
03 Explore methods to improve the supply chain g. methods are capable of delivering the
improvements
h. methods are feasible and practicable
04 Assess the costs, benefits, and risks in i. costs and timescales are clearly identified
introducing improvements to the supply chain j. benefits and risks are fully analysed
k. risks that are identified are realistic and significant
to the organisation
05 Recommend improvements to the supply chain l. recommendations contain clear indications of the
actions that are required
m. recommendations are feasible
M4
Introduce improvements to the
supply chain
Summary
This unit is about introducing improvements in a way that ensures the best possible
chance of them being a success. It covers the implementation plan and the need for it to
identify details about the rationale, timescales and all relevant costs implications. In
addition, the unit outlines the importance of engaging colleagues in the whole
implementation process, monitoring progress and achieving the agreed timescales to
meet the objectives of the organisation.
01 Confirm the improvements to the supply chain a. improvements achieve the requirements of the
that need to be introduced supply chain strategy of the organisation
02 Establish an implementation plan to introduce b. plans are feasible

improvements to the supply chain c. plans contain a sufficient level of detail on
timescale and costs
03 Inform colleagues about the improvements to d. information is provided to all relevant colleagues
the supply chain e. a rationale for the improvements is provided to
colleagues
04 Ensure the improvements to the supply chain f. improvements are monitored appropriately
are effective g. organisational objectives can be achieved more
effectively
05 Resolve problems relating to the introduction of h. problems are clearly identified as soon as possible
the improvements to the supply chain i. problems are resolved in a way that minimises
j. difficulties in resolving problems are discussed
with colleagues
06 Gain the commitment of colleagues to k. colleagues are consulted on their views

implementing the improvements to the l. concerns and issues raised by colleagues are
supply chain discussed
M5
Plan projects to develop
the supply chain
Summary
The purpose of this unit is to outline the key steps required in planning a project
designed to improve the performance of the supply chain. It sets out the need for
identifying aims and objectives, project tasks and milestones, the resources required
to fulfill the project plus any associated costs that might be incurred. The unit also
highlights the importance of assessing risk and factors that may affect the success of
the project, as well as the need to work in close conjunction with colleagues to ensure
that they feel involved in the process.
01 Obtain information on the requirements of the a. all relevant information is considered

project b. suitable sources of information are accessed
02 Specify the aims and objectives of the project c. aims and objectives are clearly specified
d. aims and objectives are feasible
03 Identify the project tasks and milestones e. tasks and milestones are clearly specified
04 Identify the scheduling and duration of tasks, f. timescales and durations take account of lead and
and the overall timescale for the project lag times
g. scheduling takes account of all key factors during
the course of the project
05 Determine the suitability of resources available h. specific resources required to achieve the project
to undertake the project objectives are clearly identified
i. alternative resources are identified if necessary
06 Calculate the costs of undertaking the project j. costs are calculated using appropriate financial
analysis methods
07 Assess all relevant factors and risks that could k. risks are assessed for their impact on the
affect the success of the project organisation
l. risks that are identified are realistic and significant
to the organisation
08 Identify and resolve any problems in planning m. problems are clearly identified as soon as possible
the project n. difficulties in resolving problems are discussed
with colleagues
09 Inform all relevant colleagues of the project o. colleagues are consulted on their views
plans p. concerns and issues raised by colleagues are
discussed
M6
Manage projects to develop the
supply chain
Summary
This unit moves from planning to the actual management of a live project. It covers the
steps involved in clarifying the aims, objectives and plans of the project, allocation of
tasks, setting of milestones and monitoring progress. It also considers the control of
costs and timescales and the need to identify and resolve problems promptly alongside
relevant colleagues. The unit finally highlights the importance of creating a report on the
results and outcomes of the project that should be shared with the relevant people using
the most appropriate media.
01 Obtain information on the requirements of the a. all relevant information is considered

project b. suitable sources of information are accessed
02 Clarify the aims, objectives, and plans of the c. aims and objectives are clear and achievable
project d. plans are feasible
e. plans contain a sufficient level of detail on
timescale and costs
03 Allocate project tasks to self and colleagues f. colleagues capable of undertaking tasks are
identified
g. availability of colleagues is confirmed
04 Support colleagues to achieve project tasks and h. information is provided to all relevant colleagues
milestones i. support is provided whenever required
05 Monitor the achievement of objectives j. systems are implemented for monitoring progress
k. activities and outcomes are monitored regularly
06 Control the costs and timescales of the project l. systems are implemented to monitor costs and
timescales
07 Provide information on the progress of the m. information is provided to all relevant colleagues
project
08 Identify and resolve any problems in n. problems are clearly identified as soon as possible
implementing the project plan o. difficulties in resolving problems are discussed
with colleagues
09 Present reports on the results and outcomes of p. reports are presented using appropriate media
the project q. reports are distributed to the relevant people
r. confidentiality of information is maintained
M7
Negotiate for supplies
Summary
Obtaining supplies that meet the specifications of the organisation is key to its ongoing
success. In this unit a clear outline of the steps involved in an effective negotiation
process are covered. The unit highlights the need for establishing the requirements of
all parties, parameters and guidelines for negotiations and the importance of being able
to adapt strategies to cope with new circumstances. Finally, it gives guidance on sharing
the results of negotiations and ensuring that these results comply with all the relevant
legal, regulatory and organisational requirements.
01 Obtain the information required to complete a. suitable sources of information are accessed
negotiations b. all relevant information is considered
c. colleagues are consulted on their views
02 Explore what is required by all parties to the d. requirements of all parties to the negotiation are
negotiation identified and understood
03 Establish the parameters for negotiating the e. limits of authority are clearly specified
terms and conditions for the supplies f. the authorisation of appropriate colleagues is
obtained
04 Conduct negotiations to achieve the objectives g. negotiations are conducted according to the
of the organisation agreed negotiation strategy
h. negotiations maintain goodwill wherever possible
05 Adapt negotiation strategies to cope with new i. new circumstances or issues are discussed with all
circumstances or issues relevant people
j. negotiation strategies are sufficiently flexible to
deal with new situations
06 Ensure the supplies meet the supply chain k. improvements to the supply chain are clearly
requirements of the organisation identified
l. organisational objectives can be achieved more
effectively
07 Provide information on the results of the m. information is provided to all relevant colleagues
negotiation
08 Ensure the results of the negotiation comply n. legal and regulatory requirements are complied
with all relevant requirements with
o. organisational requirements are complied with
M8
Contract with other organisations
Summary
The purpose of this unit is to ensure that all contracts meet the needs of the organisation.
It provides a checklist of steps, which must be completed in order to guarantee that
contracts contain the necessary information to protect the interests of the organisation
while helping it to achieve its objectives in an effective way. The unit also covers the need
to obtain the relevant authorisations and to ensure that legal, regulatory and
organisational requirements are complied with.
01 Specify the details needed to be included in the a. terms and conditions are clearly identified
contract b. costs and timescales are clearly identified
02 Exchange information on the contracts c. suitable sources of information are accessed

d. information is provided to all relevant colleagues
e. confidentiality of information is maintained
03 Ensure the contract contains the correct details f. contracts are complete with all relevant details of
terms and conditions
g. all pages and parts are contained in the contract
04 Ensure the contract meets the needs of the h. the interests of the organisation are protected
organisation i. organisational objectives can be achieved more
effectively
j. improvements to the supply chain are clearly
identified
05 Resolve any problems relating to the completion k. problems are clearly identified as soon as possible
of contracts l. problems are resolved in a way that minimises
06 Obtain authorisations and signatures to m. limits of authority are clearly specified

complete contracts n. the authorisation of appropriate colleagues is
obtained
07 Provide information on the content of contracts o. information is provided to all relevant colleagues
08 Ensure the contract complies with all relevant p. legal and regulatory requirements are complied
requirements with
q. organisational requirements are complied with
M9
Review the outcomes of contracts
Summary
This unit is designed to help the process of improving the outcomes of contracts and
begins with guidance on what information needs to be collected and analysed in order to
gain a view of current performance. It also highlights the need to identify problems that
need immediate action to minimise disruption to the supply chain and concludes with the
importance of making clear recommendations for improvement actions that will have a
positive impact on the contracting process.
01 Obtain information on the outcomes of contracts a. suitable sources of information are accessed
b. colleagues are consulted on their views
02 Evaluate information on the outcomes of c. all relevant information is considered

contracts d. appropriate evaluation processes are used
03 Decide what to do to improve the outcomes of e. improvements to the supply chain are clearly
contracts identified
f. organisational objectives can be achieved more
effectively
g. the interests of the organisation are protected
04 Identify any problems that require immediate h. problems are clearly identified as soon as possible
action i. problems are resolved in a way that minimises
05 Provide results of the review to the appropriate j. results are discussed with all relevant colleagues
colleagues k. results are effectively presented at the appropriate
time and place
06 Recommend improvements to contracting l. recommendations contain clear indications of the

processes actions that are required
m. recommendations are feasible
M10
Evaluate information on the
procurement of supplies
in the supply chain
Summary
This unit considers the information that is needed to improve the effectiveness of
procurement within the supply chain function. It begins with outlining the need to obtain
information on the existing procurement of supplies and the importance of carrying out a
thorough analysis of this data. The unit also covers the need to provide the results of the
evaluation to relevant colleagues in a way that allows them to feedback their views.
01 Obtain information on the procurement of a. suitable sources of information are accessed

supplies in the supply chain b. colleagues are consulted on their views
02 Identify the critical factors that affect the c. benefits and risks are fully analysed
procurement of supplies in the supply chain d. resource implications are clearly identified
03 Identify the demand for supplies in the supply e. quantity and rate of supplies demanded is clearly
chain identified
f. specifications and quality of supplies demanded is
clearly identified
04 Evaluate information on the procurement of g. all relevant information is considered

supplies in the supply chain h. appropriate evaluation processes are used
05 Ensure the results of the evaluation are provided i. results of the evaluation are relevant to the
in a way that helps to improve the performance organisation and the supply chain
of the supply chain
06 Provide the results of the evaluation to j. results are effectively presented at the appropriate
colleagues time and place
k. results are discussed with all relevant colleagues
l. colleagues are consulted on their views
M11
Select suppliers for
the supply chain
Summary
The ability to source suppliers that are able to provide goods and services that meet a
precise set of criteria is critically important to the success of an organisation. This unit
looks at the process of selecting effective suppliers and begins with the need to forecast
and establish requirements. It also looks at selection criteria, the need to assess all the
risk factors that could affect the selection of suppliers and the need to share this
information with the relevant colleagues so that the best appointments can be made.
01 Forecast the demand for supplies by the supply a. forecasts take account of all relevant factors
chain b. demand for supplies is clearly identified
02 Obtain information on sources of supply c. suitable sources of information are accessed

d. all relevant information is considered
03 Establish criteria for selecting suppliers e. type of criteria for selecting suppliers is
determined
f. overall requirements of the supply chain are taken
into account
04 Ensure supply specifications are provided to g. specifications for supplies are detailed and
suppliers complete
h. specifications are drawn up using the appropriate
formats and media
i. specifications are delivered to suppliers using the
appropriate methods
05 Select the suppliers that are capable of meeting j. suppliers are capable of providing the required
the specifications supplies and effectively working in the supply
chain
k. suppliers are measured against the evaluation
criteria
06 Assess all relevant factors and risks that could l. benefits and risks are fully analysed
affect the procurement of supplies m. resource implications are clearly identified
07 Identify and resolve any problems with the n. problems are clearly identified as soon as possible
selection of suppliers o. problems are resolved in a way that improves the
effectiveness of the organisation
p. difficulties in resolving problems are discussed
with colleagues
08 Provide information on the selection of suppliers q. information is provided to all relevant colleagues
to colleagues r. colleagues are consulted on their views
M12
Produce specifications
for supplies
Summary
Clarity and precision of information are the focus for this unit, which looks at the
important task of providing specifications, quality, quantity and rate of supply data
to the supplier. Specifications must be drawn up and made available to suppliers in
accordance with organisational guidelines and legal and regulatory requirements.
The unit also highlights the importance of maintaining confidentiality and security
with respect to the specifications.
01 Obtain information on the supplies that are a. suitable sources of information are accessed
required b. all relevant information is considered
02 Produce information on the supplies that are c. specifications and quality of supplies required is
required clearly identified
d. quantity and rate of supplies required is clearly
identified
e. delivery schedules and other requirements are
clearly specified
03 Confirm the specifications with colleagues f. information is provided to all relevant colleagues
g. colleagues are consulted on their views
04 Present the specifications clearly h. specifications are drawn up using the appropriate
formats and media
i. specifications contain all relevant details
05 Comply with procedures for producing j. specifications are drawn up according to

specifications organisational guidelines
k. specifications are made available to suppliers
according to legal requirements
l. confidentiality and security of specifications is
maintained
06 Deliver specifications to suppliers m. specifications are delivered using the appropriate

methods
n. confirmation of receipt of specifications is sought
when necessary
M13
Evaluate the capability of suppliers to
meet supply specifications
Summary
This unit looks at the process of evaluating the ability of suppliers to satisfy the supply
specifications of the organisation. It begins with confirming the supplies that are required
by the organisation and then looks at ways to assess a supplier’s ability to deliver against
an agreed set of parameters, taking into consideration all the relevant risk factors that
may impact on the process. The unit concludes with the need to share evaluations with
colleagues to ensure that their views are considered.
clearly identified
identified
clearly specified
02 Obtain information from suppliers on their d. suitable sources of information are accessed
capability to provide supplies e. all relevant information on costs, timescales, and
quality is considered
03 Evaluate information on the capability of f. appropriate evaluation processes are used

suppliers g. evaluation criteria are established
04 Identify the suppliers that are capable of h. costs, timescales, and quality are evaluated
meeting the specifications i. suppliers are capable of providing the required
supplies
j. suppliers are measured against the evaluation
criteria
05 Assess all relevant factors and risks of using k. factors affecting the supply chain are clearly
suppliers identified
l. risks are assessed for their impact on the supply
chain
06 Provide the results of the evaluation to m. information is provided to all relevant colleagues
colleagues n. colleagues are consulted on their views
07 Comply with procedures for evaluating the o. legal and regulatory requirements are complied
capability of suppliers with
p. organisational requirements are complied with
M14
Schedule and approve
the placing of orders
Summary
On time, in specification and full delivery of orders required by the supply chain is vital
for the smooth running of the organisation. This unit covers the steps to ensure that the
relevant information is made available to suppliers in a timely and appropriate way to
ensure that they have the best possible chance of meeting the organisation’s delivery
requirements. It also highlights the need to identify and resolve problems quickly to
minimise any potential disruption to the supply chain.
01 Specify information on the supplies that need to a. specifications and quality of supplies required is
be ordered clearly identified
identified
clearly specified
02 Confirm the specifications with colleagues d. information is provided to all relevant colleagues
e. colleagues are consulted on their views
03 Schedule orders to meet the requirements of the f. timing of orders is appropriate to the needs of the
supply chain supply chain
g. orders are placed within sufficient time for them to
be fulfilled by suppliers
04 Ensure orders are placed with suppliers h. orders are drawn up according to organisational
guidelines
i. orders are delivered using the appropriate
methods
05 Identify and resolve problems with orders j. problems are clearly identified as soon as possible
k. problems are resolved in a way that minimises
06 Ensure the placing of orders complies with all l. legal and regulatory requirements are complied
relevant requirements with
m. organisational requirements are complied with
M15
Evaluate the performance
of suppliers
Summary
The purpose of this unit is to provide a robust set of guidelines for evaluating the
effectiveness of suppliers. It focuses on the need to obtain information on the supplies
that have been ordered and provided, and covers the steps to evaluate the supplier’s
performance against agreed criteria. Finally, the unit illustrates the importance of
assessing potential risks involved in continuing to use a given supplier and any impact
this may have on the supply chain.
01 Confirm the supplies that have been ordered a. specifications and quality of supplies required is
clearly identified
identified
clearly specified
02 Obtain information on the supplies provided by d. suitable sources of information are accessed
suppliers e. all relevant information on costs, timescales, and
03 Evaluate information on the performance of f. appropriate evaluation processes are used

suppliers g. evaluation criteria are established
04 Identify the suppliers that have achieved the h. suppliers are capable of providing the required
specifications supplies
i. suppliers are measured against the evaluation
criteria
j. costs, timescales, and quality are evaluated
05 Assess the risk to the supply chain of continuing k. factors affecting the supply chain are clearly
to use suppliers identified
l. risks are assessed for their impact on the supply
chain
06 Provide the results of the evaluation to m. information is provided to all relevant colleagues
colleagues n. colleagues are consulted on their views
07 Comply with procedures for evaluating the o. legal and regulatory requirements are complied
performance of suppliers with
p. organisational requirements are complied with
M16
Schedule the flow of supplies
in the supply chain
Summary
This unit looks at the efficient movement of supplies in the supply chain and begins by
outlining the specific information required about each supply item and the resources
required to ensure they flow through the system. The unit also covers the need to assess
all relevant factors and risks that could affect the scheduling of supplies, including any
potential problems that may arise. Finally, it confirms the importance of ensuring that
scheduling complies with all relevant legal, regulatory and organisational requirements.
01 Obtain information on the supplies that need to a. specifications and quality of supplies are clearly
be moved identified
clearly identified
02 Confirm the availability of resources to ensure c. specific resources required to ensure the flow of
the flow of supplies supplies are clearly identified
d. alternative resources are identified if necessary
03 Schedule the flow of supplies to meet the e. use of resources is sequenced in the correct order
requirements of the supply chain to maintain the flow of supplies
f. timescales and durations take account of lead and
lag times
04 Assess all relevant factors and risks that could g. factors affecting the supply chain are clearly
affect the scheduling of supplies identified
h. risks are assessed for their impact on the supply
chain
05 Identify and resolve any problems with the i. problems are clearly identified as soon as possible
scheduling of supplies j. problems are resolved in a way that improves the
k. difficulties in resolving problems are discussed
with colleagues
06 Inform all relevant colleagues of the schedules l. colleagues are consulted on their views
m. concerns and issues raised by colleagues are
discussed
07 Ensure the scheduling complies with all relevant n. legal and regulatory requirements are complied
requirements with
o. organisational requirements are complied with
M17
Specify the requirements for
the storage of supplies
Summary
Effective storage of supplies is an important aspect of the supply chain. This unit is
concerned with identifying the requirements to achieve the storage specifications of the
organisation. It covers the provision of storage locations and facilities, the assessment of
relevant factors and risks that could affect the storage of supplies and sets out the need to
inform relevant colleagues of the storage specifications so that they have a chance to
input and raise concerns.
01 Obtain information on the supplies being stored a. specifications and quality of supplies are clearly
identified
clearly identified
02 Confirm the availability of resources to ensure c. specific resources required to ensure the storage
the storage of supplies of supplies are clearly identified
03 Provide specifications for storage locations and e. size and location of storage locations and facilities
facilities is clearly specified
f. site position and access for storage locations and
g. cost and condition of storage locations and
04 Assess all relevant factors and risks that could h. factors affecting the supply chain are clearly
affect the storage of supplies identified
i. risks are assessed for their impact on the supply
chain
05 Inform all relevant colleagues of the storage j. colleagues are consulted on their views
specifications k. concerns and issues raised by colleagues are
discussed
06 Ensure the storage specifications comply with l. legal and regulatory requirements are complied
all relevant requirements with
M18
Select locations and facilities
for storing supplies
Summary
Once storage specifications have been drawn up and agreed, the next step is to identify
facilities and locations to meet the organisation’s storage requirements. This unit outlines
the stages to select the most appropriate storage resources and begins with an analysis
and evaluation of available locations and facilities. It covers the need to measure storage
options against the evaluation criteria, paying particular attention to the benefits and risks
associated with each. Finally, the unit highlights the importance of identifying and resolving
problems and sharing the results of the selection process to colleagues so that they can
contribute to the final decision.
01 Confirm the type of storage locations and a. size and location of storage locations and facilities
facilities that are required is clearly specified
b. site position and access for storage locations and
c. cost and condition of storage locations and
02 Obtain information on storage locations and d. suitable sources of information are accessed
facilities e. all relevant information on costs, timescales, and
03 Evaluate information on the suitability of f. appropriate evaluation processes are used

storage locations and facilities g. evaluation criteria are established
04 Identify the storage locations and facilities that h. storage locations and facilities are measured
are capable of meeting the specifications against the evaluation criteria
i. storage is considered alongside procurement,
transportation, and distribution systems
05 Assess the benefits and risks of using storage j. benefits to the organisation and the supply chain
locations and facilities are clearly identified
to the organisation
06 Identify and resolve any problems with the l. problems are clearly identified as soon as possible
locations and facilities m. problems are resolved in a way that improves the
n. difficulties in resolving problems are discussed
with colleagues
07 Provide the results of the selection to colleagues o. information is provided to all relevant colleagues
p. colleagues are consulted on their views
08 Ensure the locations and facilities comply with q. legal and regulatory requirements are complied
r. organisational requirements are complied with
M19
Evaluate information on
the storage of supplies
Summary
The focus of this unit is to ensure that supplies are stored in a way that meets the
requirements of the supply chain. It deals with detailed information of the supplies that
are being stored, an evaluation of this information so that potential problems, risks or
other relevant factors are identified and resolved promptly. The unit also confirms the
importance of providing the results of the evaluation to colleagues so that they are able
to share their views and the need to comply with the legal, regulatory and organisational
requirements for evaluating information.
01 Confirm the supplies that are being stored a. specifications and quality of supplies required is
clearly identified
identified
clearly specified
02 Obtain information on the storage of supplies d. suitable sources of information are accessed
e. all relevant information is considered
03 Evaluate information on the storage of supplies f. appropriate evaluation processes are used
g. evaluation criteria are established
04 Identify the supplies available in the supply h. supply levels are clearly identified
chain i. location and condition of supplies is clearly
identified
05 Ensure supplies are stored to meet the j. use of resources is sequenced in the correct order
requirements of the supply chain to maintain the storage of supplies
k. timescales and durations take account of lead and
lag times
storage of supplies m. problems are resolved in a way that improves the
with colleagues
07 Assess all relevant factors and risks of storing o. factors affecting the supply chain are clearly
supplies identified
p. risks are assessed for their impact on the supply
chain
08 Provide the results of the evaluation to q. information is provided to all relevant colleagues
colleagues r. colleagues are consulted on their views
09 Comply with procedures for evaluating s. legal and regulatory requirements are complied
information on the storage of supplies with
t. organisational requirements are complied with
M20
Specify the requirements
for the distribution
of supplies
Summary
This unit is concerned with the effective and efficient distribution of supplies within the
organisation. It covers the need to identify potential resources to distribute supplies, the
need to provide specifications for the distribution of supplies, the importance of assessing
all the relevant factors and risks that may impact distribution and the need to consult
colleagues during the process of establishing the best options. Finally, the unit confirms
the need to ensure that the distribution requirements meet all relevant legal, regulatory
and organisational requirements.
01 Obtain information on the supplies being a. specifications and quality of supplies are clearly
clearly identified
02 Confirm the availability of resources to ensure c. specific resources required to ensure the
the distribution of supplies distribution of supplies are clearly identified
03 Provide specifications for the distribution of e. positioning and movement of supplies is clearly
supplies identified
f. role of suppliers and customers within the
g. distribution requirements of different types of
04 Assess all relevant factors and risks that could h. factors affecting the supply chain are clearly
affect the distribution of supplies identified
i. risks are assessed for their impact on the supply
chain
05 Inform all relevant colleagues of the distribution j. colleagues are consulted on their views
requirements k. concerns and issues raised by colleagues are
discussed
06 Ensure the distribution requirements comply l. legal and regulatory requirements are complied
with all relevant requirements with
M21
Select distribution methods
for supplies
Summary
Methods of distribution are the focus of this unit, which begins by outlining the need to
confirm precise details about the supplies for onward distribution. It then looks at
evaluating the different methods of distribution, selection of those that are capable of
meeting the specifications and then assessing benefits and risk for each option. The unit
concludes by highlighting the need to identify and resolve problems and issues promptly
and the need to involve colleagues in the selection process to ensure a balanced view.
c. distriution requirements of different types of
02 Obtain information on the distribution methods d. suitable sources of information are accessed
that are available e. all relevant information on costs, timescales, and
03 Evaluate information on the suitability of f. appropriate evaluation processes are used

distribution methods g. evaluation criteria are established
04 Select the distribution methods that are capable h. distribution methods are measured against the
of meeting the specifications evaluation criteria
i. distribution is considered alongside procurement,
storage, and transportation systems
05 Assess the benefits and risks of using j. benefits to the organisation and the supply chain
distribution methods are clearly identified
to the organisation
distribution methods m. problems are resolved in a way that improves the
with colleagues
08 Ensure the distribution methods comply with all q. legal and regulatory requirements are complied
M22
Schedule the distribution
of supplies
Summary
This unit deals with the effective distribution of supplies to meet the requirements of the
supply chain. It covers the need to obtain information on the supplies that are required
and for a schedule of distribution to then be drawn up. All relevant risks and factors must
be assesses, problems identified and resolved and colleagues consulted to ensure the
best possible outcome of the scheduling process.
01 Confirm the supplies that are being distributed a. positioning and movement of supplies is clearly
identified
clearly identified
02 Obtain information on the supplies that need to c. suitable sources of information are accessed
be distributed d. all relevant information is considered
03 Confirm the distribution of supplies with e. information is provided to all relevant colleagues
colleagues f. colleagues are consulted on their views
04 Schedule the distribution of supplies to meet the g. distribution methods are available at the
requirements of the supply chain appropriate time
h. use of distribution methods is sequenced in the
correct order
i. scheduling takes account of all key factors
05 Assess all relevant factors and risks that could j. risks are assessed for their impact on the
affect the distribution schedule organisation
to the organisation
distribution schedule m. problems are resolved in a way that improves the
with colleagues
07 Inform all relevant colleagues of the schedules o. colleagues are consulted on their views
p. concerns and issues raised by colleagues are
discussed
08 Ensure the scheduling complies with all relevant q. legal and regulatory requirements are complied
requirements with
M23
Select methods to receive
returned supplies
Summary
This unit is concerned with identifying, evaluating and finally selecting the most effective
methods to receive returned supplies. It looks at the role of suppliers and customers
within the distribution system as well as the information that is required on the supplies,
such as costs, timescales and quality to allow a fair evaluation of the return options
according to a set of agreed criteria. The unit also confirms the need to consult with
colleagues during the process and to ensure that the chosen supply return methods
comply with all legal, regulatory and organisational requirements.
returned identified
c. distribution requirements of different types of
02 Obtain information on the supply return d. suitable sources of information are accessed
methods that are available e. all relevant information on costs, timescales, and
03 Evaluate information on the suitability of supply f. appropriate evaluation processes are used
return methods g. evaluation criteria are established
04 Identify the supply return methods that are h. supply return methods are measured against the
capable of meeting the specifications evaluation criteria
i. return of supplies is considered alongside
procurement, storage, distribution, and
transportation systems
05 Assess the benefits and risks of using supply j. benefits to the organisation and the supply chain
return methods are clearly identified
to the organisation
supply return methods m. problems are resolved in a way that improves the
with colleagues
08 Ensure the supply return methods comply with q. legal and regulatory requirements are complied
M24
Select transportation methods
for supplies
Summary
Selecting the most appropriate forms of transport for supplies is key to the success
of an effective distribution system. This unit deals with the selection of the best possible
transportation methods and looks at obtaining information on supplies themselves,
evaluating the transportation methods that are available and assessing the benefits and
risks of each against the organisation’s agreed specifications. The unit also highlights the
need for collaboration with colleagues so that problems are resolved promptly and their
opinions and ideas are taken into consideration before the final selection is made.
transported identified
02 Obtain information on the transportation c. suitable sources of information are accessed

methods that are available d. all relevant information on costs, timescales, and
03 Evaluate information on the suitability of e. appropriate evaluation processes are used

transportation methods f. evaluation criteria are established
04 Identify the transportation methods that are g. transportation methods are measured against the
capable of meeting the specifications evaluation criteria
h. transportation is considered alongside
procurement, storage, and distribution systems
05 Assess the benefits and risks of using i. benefits to the organisation and the supply chain
transportation methods are clearly identified
j. risks that are identified are realistic and significant
to the organisation
06 Identify and resolve any problems with the k. problems are clearly identified as soon as possible
transportation methods l. problems are resolved in a way that improves the
m. difficulties in resolving problems are discussed
with colleagues
07 Provide the results of the selection to colleagues n. information is provided to all relevant colleagues
o. colleagues are consulted on their views
08 Ensure the transportation methods comply with p. legal and regulatory requirements are complied
M25
Schedule the transportation
of supplies
Summary
This unit focuses on the importance of having specific supplies in the right place at the
right time and in the right quantity. It sets out the need for having the correct information
on supplies available, the need to confirm the transportation schedule with colleagues,
the importance of assessing all relevant factors, including risks, to ensure that the
transportation schedule is effective. Finally, the unit confirms the need to ensure that the
transportation scheduling process complies with all the relevant legal, regulatory and
organisational requirements.
01 Confirm the supplies that are being transported a. positioning and movement of supplies is clearly
identified
02 Obtain information on the supplies that need to c. suitable sources of information are accessed
be transported d. all relevant information is considered
03 Confirm the transportation of supplies with e. information is provided to all relevant colleagues
colleagues f. colleagues are consulted on their views
04 Schedule the transportation of supplies to meet g. transportation methods are available at the
the requirements of the supply chain appropriate time
h. use of transportation methods is sequenced in the
correct order
i. scheduling takes account of all key factors
05 Assess all relevant factors and risks that could j. risks are assessed for their impact on the
affect the transportation schedule organisation
to the organisation
transportation schedule m. problems are resolved in a way that improves the
with colleagues
07 Inform all relevant colleagues of the schedules o. colleagues are consulted on their views
p. concerns and issues raised by colleagues are
discussed
08 Ensure the scheduling complies with all relevant q. legal and regulatory requirements are complied
requirements with
M26
Select methods for
exporting supplies
Summary
Identifying and then establishing the most effective and efficient means of exporting
supplies is the focus of this unit. It looks at obtaining information on the options
available, the evaluation process, the need to assess the benefits and risks associated
with each of the options and the need to identify and resolve any problems promptly.
The unit concludes with the need to provide colleagues with the results of the selection
so that their views can be considered.
exported identified
b. export requirements of different types of supplies
are identified
02 Obtain information on the export methods that c. suitable sources of information are accessed
are available d. all relevant information on costs, timescales, and
03 Evaluate information on the suitability of export e. appropriate evaluation processes are used
methods f. evaluation criteria are established
04 Identify the export methods that are capable of g. export methods are measured against the
meeting the specifications evaluation criteria
h. export is considered alongside procurement,
storage, distribution, and transportation systems
05 Assess the benefits and risks of using export i. benefits to the organisation and the supply chain
methods are clearly identified
to the organisation
export methods l. problems are resolved in a way that improves the
with colleagues
08 Ensure the export methods comply with all p. legal and regulatory requirements are complied
M27
Select methods for
importing supplies
Summary
The focus of this unit is the identification and establishment of the most effective and
efficient means of importing supplies. It looks at obtaining information on the import
method options available, the evaluation process, the need to assess the benefits and
risks associated with each different method and the need to identify and resolve any
problems in conjunction with relevant colleagues. The unit concludes with the need to
provide colleagues with the results of the selection so that they can raise any issues.
It also draws attention to the need to ensure import methods comply with all relevant
requirements; legal, regulatory and organisational.
imported identified
b. import requirements of different types of supplies
are identified
02 Obtain information on the import methods that c. suitable sources of information are accessed
are available d. all relevant information on costs, timescales, and
03 Evaluate information on the suitability of import e. appropriate evaluation processes are used
methods f. evaluation criteria are established
04 Identify the import methods that are capable of g. import methods are measured against the
meeting the specifications evaluation criteria
h. import is considered alongside procurement,
storage, distribution, and transportation systems
05 Assess the benefits and risks of using import i. benefits to the organisation and the supply chain
methods are clearly identified
to the organisation
import methods l. problems are resolved in a way that improves the
with colleagues
08 Ensure the import methods comply with all p. legal and regulatory requirements are complied
KM
Management Units
Management Units
Knowledge M1 M2 M3 M4 M5 M6 M7 M8 M9 M10 M11 M12 M13 M14 M15 M16 M17 M18 M19 M20 M21 M22 M23 M24 M25 M26 M27
K1 Analysis methods and procedures ●

K2 Change management theories, models, and practices ● ● ● ● ●
K3 Communication methods and procedures
K4 Contract administration methods and procedures
K5 Contract law and drafting methods and procedures ● ● ●
K6 Cost and benefit analysis methods and procedures ● ●
K7 Database management and monitoring methods and procedures ●
K8 Evaluation methods and procedures ● ● ● ● ● ● ● ● ● ● ● ● ● ●
K9 Export and import methods and procedures
K10 Export methods and procedures ●
K11 Financial analysis methods and procedures ● ● ● ● ● ● ●
K12 Import methods and procedures ●
K13 Industry-specific networks and sources of information ●
K14 Information sources on supply chain processes ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ●
K15 International trade issues
K16 Legal and regulatory requirements ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ●
K17 Logistics theories, models and practices ● ● ● ● ● ● ● ● ● ●
K18 Market research methods and procedures ●
K19 Negotiation strategies, methods and procedures ● ●
K20 Networking methods and procedures
K22 Organisational objectives and activities ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ●
K23 Organisational strategic aims and objectives ●
K24 Performance measurement and benchmarking theories, models, and practices ● ● ●
K25 Planning methods and procedures ● ● ● ● ● ● ●
K26 Presentation theories, models, and practices ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ●
K27 Procurement theories, models and practices ● ● ● ● ● ● ● ● ●
K28 Project Management and administration methods and procedures ● ●
K29 Quality management theories, models, and practices ● ● ● ● ●
K30 Risk analysis methods and procedures ● ●
K31 Stakeholder management methods and procedures
K32 Supplier evaluation methods and procedures ● ● ● ● ● ● ●
K33 Supply chain management theories, models, and practices ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ●
K34 Transportation methods and procedures ● ●
S1
Develop a supply chain strategy
for the organisation
Summary
This unit examines the development of supply chain strategy and begins with identifying
the organisation’s overall objectives and strategies. It provides steps to review current
supply chain strategy, how it impacts on other organisational strategies and considers
external factors that may have an effect. This review forms a basis from which value-adding
improvements can be identified and tested with other stakeholders.
01 Identify the organisation’s objectives and its a. colleagues are consulted on the organisation’s
strategies for achieving them objectives and strategies
02 Review the current supply chain strategy and b. relevant evaluations are undertaken
how it helps to deliver other organisational c. results of the evaluations are considered
strategies d. views of all relevant colleagues and stakeholders
are obtained
03 Review all factors that are relevant to the e. market, economic, social, and political
development of the supply chain strategy environments are taken into account
f. realistic forecasts of conditions and trends
are produced
04 Explore opportunities that will add value to the g. opportunities are identified and fully investigated
organisation h. benefits and risks are fully evaluated
05 Establish a supply chain strategy that will make i. improvements to the supply chain are clearly
the organisation more effective in achieving its identified
objectives j. supply chain strategy is feasible and capable of
being implemented by the organisation
k. organisational strategic objectives can be achieved
more effectively
06 Identify obstacles to the development of the l. obstacles are clearly identified as soon as possible
supply chain strategy and explore methods for m. methods for overcoming obstacles are explored
overcoming them with all relevant people
07 Provide a rationale for the supply chain strategy n. stakeholders are provided with sufficient
information to understand the reasoning behind
the supply chain strategy
o. supply chain strategy can be promoted and
defended by others
08 Gain the commitment of stakeholders and p. stakeholders and colleagues are consulted on
colleagues to implement the supply chain their views
strategy q. presentations are made to all relevant
stakeholders and colleagues
09 Implement appropriate communication methods r. communication methods within the organisation

to provide the organisation with information on are used effectively
the supply chain strategy s. all relevant people are kept informed of
developments in the supply chain strategy
S2
Establish strategic relationships
Summary
This unit examines the relationships that exist with the supply chain function and
provides guidance on how to establish more strategic associations that will improve its
performance. It beings with an analysis of the effectiveness of current strategic relations,
explores opportunities for establishing new connections – including a thorough benefit
and risk assessments for each – and then deals with both the establishment of new, and
maintenance and development of existing strategic supply chain relationships.
01 Review the effectiveness of current strategic a. results of all relevant evaluations are considered
relationships within the supply chain b. views of all relevant colleagues and stakeholders
are obtained
02 Identify opportunities for establishing new c. networks are utilised to provide opportunities
strategic relationships within the supply chain d. opportunities are identified and fully investigated
03 Explore the benefits and risks of establishing e. market, economic, social, and political
new strategic relationships within the supply environments are taken into account
chain f. benefits and risks are fully evaluated
04 Assess the impact of new relationships on g. views of stakeholders are taken fully into account
existing strategic relationships within the supply h. colleagues are consulted on their views
chain
05 Establish strategic relationships that improve i. improvements to the supply chain are clearly
the performance of the supply chain identified
j. organisational strategic objectives can be achieved
more effectively
06 Ensure existing strategic relationships are k. stakeholders and colleagues are encouraged to
developed and maintained develop and maintain supply chain relationships
l. problems affecting existing supply chain
relationships are clearly identified and resolved
m. communication methods within the organisation
are used effectively
S3
Improve the performance
of the supply chain
Summary
This unit explores ways to improve the performance of the supply chain and leads with
an evaluation of its current performance. The unit features a step-by-step approach to
identifying areas for improvement, the best methods to achieve improvements, how they
might be introduced, reviewed and then modified before implementation within the
organisation. It also highlights the importance of gaining the commitment of stakeholders
and colleagues as they play a significant role in embedding new ways of working into the
organisation. The unit draws attention to the need for performance improvements to comply
with all relevant legal, regulatory and organisational requirements.
01 Review the current performance of the supply a. results of all relevant evaluations are considered
chain b. views of all relevant colleagues and stakeholders
are obtained
02 Identify improvements to the performance of c. market, economic, social, and political

the supply chain environments are taken into account
d. benefits and risks are fully evaluated
e. improvements to costs, service levels, quality, and
timescales are identified
03 Decide methods to improve the performance of f. decisions are in line with the supply chain strategy
the supply chain of the organisation
g. key decisions are made at the appropriate time
04 Introduce improvements to the performance of h. introduction of improvements is carefully planned

the supply chain i. organisational strategic objectives can be achieved
more effectively
j. systems, resources, and people are used
effectively
05 Review the results of introducing improvements k. improvements to the supply chain are clearly
to the supply chain identified
l. improvements to the overall effectiveness of the
organisation are clearly identified
06 Identify and resolve any problems relating to the m. problems are clearly identified as soon as possible
introduction of improvements n. problems are resolved in a way that improves the
07 Gain the commitment of stakeholders and o. stakeholders and colleagues are consulted on
colleagues for implementing improvements their views
p. presentations are made to all relevant
08 Ensure the improvements to the supply chain q. legal and regulatory requirements are complied
comply with all relevant requirements with
S4
Commission projects to develop
the supply chain
Summary
This unit is designed to support the process of identifying, establishing and managing
projects aimed at delivering positive changes and improvements to the supply chain.
It details a step-by-step guide covering the identification of possible projects, defining
aims and objectives, deciding how projects should be managed and the costs that are
involved. It also highlights the need to regularly monitor progress to ensure that specific
aims are being met and the importance of presenting the results and outcomes of the
project in a clear and persuasive way to colleagues and stakeholders.
01 Identify potential projects to deliver changes and a. organisational strategic objectives can be achieved
improvements to the supply chain more effectively
b. improvements to the supply chain are clearly
identified
02 Decide the aims and objectives of the project c. aims and objectives are feasible
d. benefits and risks are fully evaluated
03 Determine the way the project should be e. options for undertaking the work are identified and
managed assessed
04 Establish the costs of undertaking the project f. costs are calculated using appropriate financial
analysis methods
05 Assign a project manager g. project manager is committed to the project’s aims

and objectives
h. project manager is capable of planning and
managing the project
06 Support colleagues to achieve project aims and i. information is provided to all relevant colleagues
objectives j. support is provided whenever required
07 Monitor the achievement of project aims and k. systems are implemented for monitoring progress
objectives l. activities and outcomes are monitored regularly
08 Identify and resolve any major obstacles in m. major obstacles are clearly identified as soon as
achieving the aims and objectives of the project possible
09 Present reports on the results and outcomes of n. presentations are clear and persuasive
the project o. presentations are made to all relevant
p. confidentiality of information is maintained
S5
Plan the flow of supplies
through the supply chain
Summary
Identifying methods to improve the flow of supplies through the supply chain so that they
meet the strategy of the organisation more effectively is at the core of this unit. It covers
the need to review how current supplies are flowing, the need to identify and resolve any
immediate problems, the need to review benefits and risks that may impact the flow of
supplies and the importance of identifying methods that use resources more efficiently to
improve the overall process. Finally, the unit deals with the importance of gaining the
commitment of stakeholders and colleagues to ensure that the implementation plan has
the best possible chance of success.
01 Identify the current demand for supplies in the a. results of all relevant evaluations are considered
supply chain b. views of all relevant colleagues and stakeholders
are obtained
02 Review how current supplies flow through the c. procurement, storage, transportation, and
supply chain distribution systems are identified
03 Identify and resolve any problems with the flow d. problems are clearly identified as soon as possible
of supplies through the supply chain e. problems are resolved in a way that improves the
04 Review the benefits and risks to the flow of f. market, economic, social, and political
supplies through the supply chain environments are taken into account
g. benefits and risks are fully evaluated
05 Decide methods to improve the flow of supplies h. decisions are in line with the supply chain strategy
through the supply chain of the organisation
i. key decisions are made at the appropriate time
06 Plan the flow of supplies in the supply chain j. plans are capable of meeting the requirements of
the supply chain strategy
k. plans are feasible
l. resources are used efficiently
07 Gain the commitment of stakeholders and m. stakeholders and colleagues are consulted on
colleagues for implementing the plan their views
n. presentations are made to all relevant
S6
Plan the procurement
of supplies
Summary
This unit deals with identifying improvements in the procurement of supplies, which
must be in line with the organisation’s supply chain strategy. It covers the need to
review current procurement procedures, the need to identify and resolve any immediate
problems, the need to review benefits and risks that may impact the procurement of
supplies and the importance of identifying methods that use resources more efficiently
to improve the overall process. The unit also deals with the important aspect of gaining
the commitment of stakeholders and colleagues to ensure that the implementation plan
has the best possible chance of success.
01 Identify the current demand for supplies in the a. results of all relevant evaluations are considered
supply chain b. views of all relevant colleagues and stakeholders
are obtained
02 Review how current supplies are procured in the c. procurement systems are identified
supply chain d. procurement is considered alongside storage,
03 Identify and resolve any problems with the e. problems are clearly identified as soon as possible
procurement of supplies in the supply chain f. problems are resolved in a way that improves the
04 Review the benefits and risks to the g. market, economic, social, and political
procurement of supplies through the supply environments are taken into account
chain h. risks and effects of market trends and conditions
are clearly specified
05 Decide methods to improve the procurement of i. decisions are in line with the supply chain strategy
supplies in the supply chain of the organisation
j. key decisions are made at the appropriate time
06 Plan the procurement of supplies in the supply k. plans are capable of meeting the requirements of
chain the supply chain strategy
l. plans are feasible
m. resources are used efficiently
07 Gain the commitment of stakeholders and n. stakeholders and colleagues are consulted on
o. presentations are made to all relevant
S7
Plan the storage of supplies
in the supply chain
Summary
Identifying ways of improving the storage of supplies so that it makes a greater
contribution towards the organisation’s success is the focus of this unit. It covers
the need to review and evaluate current storage arrangements, the need to identify
and resolve immediate problems, the need to review benefits and risks that may have
an effect on the storage of supplies and the importance of identifying storage options
that provide a better fit with the supply chain strategy. Finally, the unit highlights the
importance of gaining stakeholders’ and colleagues’ commitment to the new ideas to
help ensure that the implementation phase is a success.
01 Identify the current storage requirements of a. results of all relevant evaluations are considered
supplies in the supply chain b. views of all relevant colleagues and stakeholders
are obtained
02 Review how current supplies are stored in the c. storage systems are identified
supply chain d. storage is considered alongside procurement,
storage of supplies in the supply chain f. problems are resolved in a way that improves the
04 Review the benefits and risks to the storage of g. market, economic, social, and political
supplies through the supply chain environments are taken into account
h. risks and effects of market trends and conditions
05 Decide methods to improve the storage of i. decisions are in line with the supply chain strategy
06 Plan the storage of supplies in the supply chain k. plans are capable of meeting the requirements of
the supply chain
S8
Plan the distribution
of supplies
Summary
This unit considers the potential for improving the distribution of supplies so that the
organisation can operate even more effectively. It covers the need to review how current
supplies are distributed, the importance of identifying and resolving all immediate
problems, the need to review benefits and risks that may impact upon the distribution of
supplies and the importance of identifying methods that use resources more efficiently to
improve the overall distribution process. The unit also highlights the need to engage with
stakeholders and colleagues to ensure that their views are taken into consideration and
that they are willing partners in the implementation plan.
01 Identify the current distribution requirements of a. results of all relevant evaluations are considered
supplies in the supply chain b. views of all relevant colleagues and stakeholders
are obtained
02 Review how current supplies are distributed in c. distribution systems are identified
the supply chain d. distribution is considered alongside procurement,
storage, and transportation systems
distribution of supplies in the supply chain f. problems are resolved in a way that improves the
04 Review the benefits and risks to the distribution g. market, economic, social, and political
of supplies through the supply chain environments are taken into account
05 Decide methods to improve the distribution of i. decisions are in line with the supply chain strategy
06 Plan the distribution of supplies in the supply k. plans are capable of meeting the requirements of
chain the supply chain
S9
Plan the transportation
of supplies
Summary
Identifying methods to improve the transportation of supplies in line with the organisation’s
supply chain strategy is the focus of this unit. It deals with the need to review how current
supplies are being transported, the need to identify and resolve any immediate problems,
the need to review benefits and risks that may impact the transportation of supplies and
the importance of identifying methods that use resources more efficiently to improve the
overall transportation process. The unit also provides a checklist to help ensure that the new
plans are checked for feasibility and highlights the important step of gaining stakeholder
and colleague support for the implementation phase.
01 Identify the current transportation requirements a. results of all relevant evaluations are considered
of supplies in the supply chain b. views of all relevant colleagues and stakeholders
are obtained
02 Review how current supplies are transported in c. transportation systems are identified
the supply chain d. transportation is considered alongside
procurement, storage, and distribution systems
transportation of supplies in the supply chain f. problems are resolved in a way that improves the
04 Review the benefits and risks to the g. market, economic, social, and political
transportation of supplies through the supply environments are taken into account
chain h. risks and effects of market trends and conditions
05 Decide methods to improve the transportation i. decisions are in line with the supply chain strategy
of supplies in the supply chain of the organisation
06 Plan the transportation of supplies in the supply k. plans are capable of meeting the requirements of
chain the supply chain
S10
Plan the export and import
of supplies
Summary
This unit looks at the process of making improvements to the way in which supply imports
and exports are handled within the organisation to achieve beneficial efficiencies. It covers
the need to review how current supplies are imported and exported, the need to resolve
any immediate problems, the need to review benefits and risks that may impact the import
and export of supplies and the importance of finding ways to use resources more
effectively to improve the overall process. The unit also deals with the key aspect of gaining
the commitment of stakeholders and colleagues throughout the process, particularly
during the implementation phase, to ensure its has the best chance of success.
01 Identify the current export and import a. results of all relevant evaluations are considered
requirements of supplies in the supply chain b. views of all relevant colleagues and stakeholders
are obtained
02 Review how current supplies are exported or c. export and import systems are identified
imported in the supply chain d. export and import is considered alongside
procurement, storage, distribution, and
transportation systems
export or import of supplies in the supply chain f. problems are resolved in a way that improves the
04 Review the benefits and risks to the export or g. market, economic, social, and political
import of supplies through the supply chain environments are taken into account
05 Decide methods to improve the export or import i. decisions are in line with the supply chain strategy
of supplies in the supply chain of the organisation
06 Plan the export or import of supplies in the k. plans are capable of meeting the requirements of
supply chain the supply chain
KS
Strategy Units
Strategy Units
Knowledge S1 S2 S3 S4 S5 S6 S7 S8 S9 S10
K1 Analysis methods and procedures ●

K2 Change management theories, models, and practices ● ●
K3 Communication methods and procedures ● ●
K4 Contract administration methods and procedures
K5 Contract law and drafting methods and procedures
K6 Cost and benefit analysis methods and procedures ● ● ●
K7 Database management and monitoring methods and procedures
K8 Evaluation methods and procedures ●
K9 Export and import methods and procedures ●
K10 Export methods and procedures
K11 Financial analysis methods and procedures ● ● ● ● ● ● ● ●
K12 Import methods and procedures
K13 Industry-specific networks and sources of information ● ●
K14 Information sources on supply chain processes
K15 International trade issues ●
K16 Legal and regulatory requirements ● ● ● ● ● ●
K17 Logistics theories, models and practices ● ● ●
K18 Market research methods and procedures
K19 Negotiation strategies, methods and procedures
K20 Networking methods and procedures ●
K22 Organisational objectives and activities ● ● ● ● ● ● ● ● ●
K23 Organisational strategic aims and objectives ● ● ● ● ● ● ● ● ● ●
K24 Performance measurement and benchmarking theories, models, and practices ● ● ● ● ● ● ● ●
K25 Planning methods and procedures ● ● ● ● ● ● ● ●
K26 Presentation theories, models, and practices ● ● ● ● ● ●
K27 Procurement theories, models and practices ●
K28 Project Management and administration methods and procedures
K29 Quality management theories, models, and practices ● ●
K30 Risk analysis methods and procedures ● ● ●
K31 Stakeholder management methods and procedures ● ● ● ● ● ● ● ● ●
K32 Supplier evaluation methods and procedures
K33 Supply chain management theories, models, and practices ● ● ● ● ● ● ● ● ● ●
K34 Transportation methods and procedures ●

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NOS Supply Chain Management

National Occupational Standards

Supply Chain Management National Occupational Standards 01-04

Contents continue on the next page

Supply Chain Management

About the SCM occupational standards

• The Chartered Institute of Purchasing & Supply (CIPS)

About National Occupational Standards

They can therefore be used to:

Using National Occupational Standards

1. Employers and businesses

c) Developing and Evaluating Training

2. Employees and Individuals

b) Professional development and career development

The Supply Chain Management National Occupational Standards

Definitions of key words used in the standards

Key Skills and Core Skills

02 Recommend opportunities to develop c. operational relationships could potentially benefit

Go to: Application of knowledge (page 27 )

01 Specify the purpose of the analysis a. confirmation is obtained from appropriate

Go to: Application of knowledge (page 27 )

Go to: Application of knowledge (page 27 )

01 Clarify information on the requirements of the a. clarification is obtained from appropriate

Go to: Application of knowledge (page 27 )

Go to: Application of knowledge (page 27 )

Go to: Application of knowledge (page 27 )

Go to: Application of knowledge (page 27 )

01 Obtain authorisations to administer the a. the authorisation of appropriate colleagues is

Go to: Application of knowledge (page 27 )

01 Specify the purpose of the analysis a. confirmation is obtained from appropriate

Go to: Application of knowledge (page 27 )

04 Verify the information provided by suppliers g. information is checked using organisationally

Go to: Application of knowledge (page 27 )

02 Obtain information on the performance of d. suitable sources of information are accessed

Go to: Application of knowledge (page 27 )

04 Identify potential suppliers h. suppliers are capable of providing supplies

Go to: Application of knowledge (page 27 )

Go to: Application of knowledge (page 27 )

05 Recommend options for progressing the j. additional support is provided to suppliers

Go to: Application of knowledge (page 27 )

Go to: Application of knowledge (page 27 )

Go to: Application of knowledge (page 27 )

02 Obtain information on distribution requirements d. suitable sources of data are accessed

Go to: Application of knowledge (page 27 )

02 Obtain information on the distribution of c. suitable sources of data are accessed

05 Monitor the distribution of supplies g. supply distribution is monitored at regular

Go to: Application of knowledge (page 27 )

Go to: Application of knowledge (page 27 )

02 Obtain information on the transportation of c. suitable sources of data are accessed

05 Monitor the transportation of supplies g. supply transportation is monitored at regular

Go to: Application of knowledge (page 27 )

01 Contribute to the maintenance and improvement a. communications are maintained effectively

02 Provide information on opportunities to develop c. operational relationships could potentially benefit

Go to: Application of knowledge (page 27 )

Go to: Application of knowledge (page 27 )

K1 Analysis methods and procedures ● ● ● ● ● ● ● ● ● ● ● ●

Go to: Application of knowledge (page 55 )

03 Evaluate information on the supply chain e. all relevant information is considered

Go to: Application of knowledge (page 55 )

Go to: Application of knowledge (page 55 )

02 Establish an implementation plan to introduce b. plans are feasible

06 Gain the commitment of colleagues to k. colleagues are consulted on their views

Go to: Application of knowledge (page 55 )

01 Obtain information on the requirements of the a. all relevant information is considered