Solution Learning Outcome 3: Be able to apply learning to enhance personal effectiveness.   Assessment criterion 9 – Plan continuing

In this report, an evaluation of various sourcing approaches used in sourcing has been pursued. Through a focus on Saudi Downtown Company (SDC), sourcing of Information Technology (IT) systems post COVID due to popularity of remote working in the different departments has been identified as the spend area. In the evaluation process, different tools including Mendelow Matrix, Kraljic Matrix, SWOT analysis, Hierarchy of need, and Peter Block Grid have been adopted in the analysis. The different sourcing approaches have been identified and their influence for the organisation best practice noted. At the end, by using Cater’s 10C’s tool, supplier appraisal has been carried out for the identified spend area. The findings in this assessment evidence that SDC adopts various sourcing approaches for their different spend categories. There is nevertheless a challenge in embracing strategic sourcing in their operations. Further, the organisation use different sourcing approaches including multiple sourcing, single sourcing, sole sourcing and dual sourcing. All these sourcing approaches are distinct and involved in engagement of different suppliers, only one supplier involved, monopolistic suppliers engaged and suppliers with demands which conflict respectively. In line with the findings and conclusions obtained in this assessment, various recommendations have been suggested for SDC. They include;

• To select best sourcing approach informed by the characteristics of their spend categories
• Ensure various legislations and policies are initiated to aid use of technologies and innovation in their sourcing process
• Implement a fully streamlined PS&M strategy with entire stakeholders interests prioritised
• Improve information flow and supporting their sourcing strategy by leverage on different approaches (RFQ, RFP and e-Auction) integrated to product lifecycle

 

Solution UNIVERSITY OF NORTHAMPTON FACULTY OF BUSINESS AND LAW FINANCIAL DECISION MAKING FINM036 ASSIGNMENT REPORT ANALYZING THE PERFORMANCE AND OPERATIONS

Executive Summary

This assignment talks about the effective negotiation of procurement and supply. It includes at the beginning a brief about ROSHN company and its commercial department and what each function’s role. It also talked about the importance of procurement planning that assists in securing the best deals for the company. In addition to a specific category of spend that is commonly procured within the procurement function. Then it referred to the definition of the negotiation and what are the skills that any negotiator must have. It talked in details about the stages of negotiation and the importance of having a preparation stage, negotiation stage, and a post-contracting stage and what each of these stages include from activities need to be fulfilled in order to have a successful project. Moreover, there has been some information regarding the negotiation process within the approval cycle of procurement and how the negotiation is crucial prior approaching the market with a request for a quotation/proposal and what might impact any negotiation process such as PESTLE and Porter’s Five Forces elements. At the end, there has been some recommendations to enhance the knowledge of the current procurement officer at ROSHN along with nominating CIPS courses for any employee works in the procurement department. This report findings identify negotiation plan in procurement and supply management as essential for achieving value for money outcomes and leveraging in property sector where the organisation has based their operations. Also, this report has found that the Post-COVID global economic recession has elicited a reduction in overall performance of the property sector specifically in the real estate. Therefore, for ROSHN, limited resources have been identified as an issue impacting on the organisation success. This inform on the need for a detailed negotiation amongst the organisation different stakeholders to guarantee their continuity in business. The negotiation plan identified in this report is in alignment with various sourcing strategies, terms and conditions and stakeholder relationship. As part of this integrated report, the obtained findings and conclusions inform on the best practice of developing the negotiation plan. This is by following the phases of preparation, test, propose, bargain, agree and close. In all these identified stages, different tools and techniques can be used with all stakeholders relationships enhanced. Further, for achieving an optimum success in negotiation for design services, ROSHN would manage to achieve BATNA and MLA for best resources to be attained. From the findings and conclusions presented, there are different gaps noted affecting success of the negotiation plan. In order to fill the identified gaps, ROSHN can pursue various recommendations. These recommendations include implementing detailed plans with all stakeholders involved. Also, innovation and technology need to be introduced to be part of their negotiation process and successfully merged. An elaborate documentation is also important to be part of the negotiation plan with any conflict of interest mitigated. Also, depending on ROSHN target in terms of stakeholders, it is important to customise their negotiation plan.