What is Supply Chain Management?

Almost every organisation will be part of a supply chain and they will vary in size from major multi-national organisations to small SMEs with just a few employees.

Within the Supply Chain Management (SCM) philosophy businesses manage their source materials, information and finances throughout the entirety of the supply chain. Once a particular supply chain is established the various businesses involved in the chain share information with one another in order to synchronise their assets, co-ordinate their production techniques, and ensure the continued synchronisation of supply and demand through the chain. Traditionally SCM has dealt with the maintenance of the flow of products but, with the emergence of the internet, increasing importance is placed on the flow of information through the chain as well.

SCM is a dynamic function that has seen many changes in working practices over the last 20 years. Larger organisations may be the drivers of this change but it is equally important that they, the organisations they supply and the organisations that supply them have employees with the skills and qualifications to maintain their position in the marketplace.

The Supply Chain Management NVQ standards cover the whole range of supply chain activities and reflect a wide range of supply chain jobs including:

• project management
• procurement
• contract management
• inventory management
• warehousing
• distribution and transport
• international trade

The Benefits

Employers

Introducing NVQs can impact positively on your organisation through:

• improved staff performance and motivation
• improvements in quality of service
• the opportunity to establish partnerships rather than supplier-customer relationships
• improvements in performance, more efficient use of resources, reduced costs
• more effective staff development and increased staff morale

Candidates

By gaining an NVQ individuals are likely to benefit from:

• a clearer understanding of their responsibilities within their organisation
• the opportunity to develop new skills
• the recognition of existing skills
• clear description of the work standards they need to meet
• heightened awareness of their job role and responsibilities
• sense of achievement of a job well done
• greater confidence to do their job well

Candidates who complete a Level 4 NVQ are eligible to apply for member to the Chartered Institute of Purchasing and Supply (CIPS).

Who are these NVQs for?

At Level 4 candidates are expected to be in a tactical/managerial role such as analyst, consultant, head of department, manager planner, researcher, senior officer, specialist manager.

The Level 5 qualification is designed for those in strategic roles such as chief executive, director, senior manager or strategic manager.

Qualification Components

Supply Chain Management NVQ at Level 4

To gain the full NVQ candidates must successfully complete five mandatory units and five units from the list of optional units.

Mandatory Units

• Develop operational relationships within the supply chain
• Evaluate information on the supply chain
• Propose improvements to the supply chain
• Introduce improvements to the supply chain
• Provider leadership in your area of responsibility

Optional Units

• Recruit, select and keep colleagues
• Manage finance for your area of responsibility
• Build your organisation's understanding of its market and customers
• Manage projects to develop the supply chain
• Negotiate for supplies
• Contract with other organisations
• Review the outcomes of contracts
• Evaluation information on the procurement of supplies in the supply chain
• Select suppliers for the supply chain
• Produce specifications for supplies
• Evaluate the capability of suppliers to meet supply specifications
• Schedule and approve the placing of orders
• Evaluate the performance of suppliers
• Schedule the flow of supplies in the supply chain
• Specify the requirements for the storage of supplies
• Select locations and facilities for storing supplies
• Specify the requirements for the distribution of supplies
• Select distribution methods for supplies
• Schedule the distribution of supplies
• Select methods to receive returned supplies
• Select transportation methods for supplies
• Select methods for exporting supplies
• Select methods for importing supplies

Supply Chain Management NVQ at Level 5

The full NVQ comprises four mandatory units plus four optional units (either three units from Group 1 and one unit from Group 2 OR two units from Group 1 and two units from Group 2).

Mandatory Units

• Develop a supply chain strategy for the organisation
• Establish strategic relationships within the supply chain
• Improve the performance of the supply chain
• Provide leadership for your organisation

Optional Units: Group 1

• Commission project to develop the supply chain
• Plant he flow of supplies through the supply chain
• Plan the procurement of supplies
• Plan the storage of supplies in the supply chain
• Plan the distribution of supplies
• Plan the transportation of supplies
• Plan the export and import of supplies

Optional Units: Group 2

• Plan the workforce
• Manage finance for your area of responsibility
• Build your organisation's understanding of its markets and customers

Please feel free to contact our marketing department for further information.