Problem 1: Negotiation is an important area of the procurement Managers roles, as they need to reach agreement on the terms and deliverables of the contract.
The Procurement Manger so aim for a fair and sustainable agreement that improves both parties' relationship.
Describe the two (2) primary objective of the supplier contract negotiations from the procurement team's perspective, and explain why supplier negotiations should not focus solely on cost reduction.
Problem 2: Generally there are three (3) of contracts are used in the procurement role for the procurement of goods or services in a business.
Generally each contract is will be used in specific situations or circumstances.
Name each of the three (3) contracts and the situation or circumstances for using each contract
Problem 3: There are different roles within the Procurement which range from Buyers to Procurement Managers. Many roles had clearly defined skills and specific functions, however when it comes to Purchasing, Sourcing and Procurement, it can be confusing as these roles can be difficult to define for many people.
Discuss the difference between Purchasing and Sourcing roles are how they are linked to Procurement.