Unit of competency details

Elements describe the essential outcomes of a unit of competency.

Performance criteria describe the performance needed to demonstrate achievement of the element. Where bold italicised  text is used, further information is detailed in the range statement. Assessment of performance is to be consistent with the evidence guide.

ELEMENT 

PERFORMANCE CRITERIA 

1. Plan for basic procurement of goods or services 

1.1. Delegation /limit of authority  for basic procurement of goods or services is confirmed.

1.2. Procurement requirements are researched, confirmed and clarified as necessary with relevant personnel .

1.3. Most suitable option for acquiring goods or services  is determined in accordance with legislation, policy and procedures, and value for money considerations.

1.4. Approval processes for procurement options are identified.

1.5. Risk planning  is conducted for the procurement activity in accordance with procedures, delegation and guidelines.

2. Undertake procurement 

2.1. Approvals are obtained as necessary for procurement of goods or services in accordance with organisational policy and procedures.

2.2. Quotations are obtained if necessary in accordance with legislation, policy and procedures, and any conflict of interest is declared and resolved in accordance with organisational policy and procedures.

2.3. Suppliers or service providers are assessed and selected on the basis of best value for money .

2.4. Procurement is initiated or orders are placed in accordance with selected procurement option.

2.5. Procurement is conducted in accordance with the organisation's probity and governance requirements.

2.6. Procurement is conducted in line with the organisation's financial management system .

3. Receive goods or services 

3.1. Goods are received or provision of services is accepted in accordance with procurement requirements.

3.2. Quality assurance processes are implemented to ensure goods or services meet procurement specifications and outcomes required.

3.3. Action is taken to resolve non-compliance with specifications within limits of own authority, or is referred according to organisational policy and procedures.

3.4. Receipt of goods or services is confirmed  and accounts are processed for payment according to organisational procedures.

3.5. Records  are maintained and reporting obligations are met according to organisational and legal requirements to provide an audit trail and for other organisational purposes.

This section describes the skills and knowledge required for this unit.

Required skills 

• communication skills to:

• write and communicate procurement requirements in unambiguous terms
• consult and negotiate with providers
• provide feedback

• teamwork skills to:

• work independently or under direction as appropriate to the situation
• respond to diversity
• refer issues to the correct person

• problem-solving skills to:

• assess procurement options and select the most suitable option
• assess goods and services against specifications

• initiative and enterprise skills to apply OHS and environmental requirements to basic procurement requirements
• planning and organising skills to apply risk-management processes
• self-management skills to apply codes of conduct, codes of practice and standards of individual behaviour
• learning skills to keep up-to-date with relevant procurement legislation, policies and procedures
• technology skills to:

• operate organisational IT systems
• use electronic procurement templates

Required knowledge 

• commonwealth, state or territory, and local government procurement guidelines, including environmental purchasing guidelines
• organisation's code of conduct, codes of practice and standards of individual behaviour relating to procurement of goods and services, in particular identifying and managing conflict of interest, gifts and inappropriate relationships with providers
• procurement options and methods
• probity and ethical issues
• procedures for receipt and payment of goods or services, including credit card procedures
• procurement approval procedures
• financial and government accountability requirements
• equal employment opportunity, equity and diversity principles
• public sector legislation and guidelines, including OHS and environment

The Evidence Guide provides advice on assessment and must be read in conjunction with the performance criteria, required skills and knowledge, range statement and the Assessment Guidelines for the Training Package.

Overview of assessment 

Competency must be demonstrated by undertaking basic procurement of goods or services consistently in accordance with legislative and organisational requirements.

Critical aspects for assessment and evidence required to demonstrate competency in this unit 

Assessment must confirm the ability to:

• produce a procurement plan appropriate to the scale, complexity and risk of the procurement
• implement the procurement plan in a way that reflects organisational policies and approaches
• use relevant template documents
• accept delivered goods and services into use
• operate within own delegations and seek advice when appropriate
• keep records of procurement activities.

Consistency in performance 

Competency should be demonstrated by providing evidence of undertaking a range of relevant work tasks in an actual or simulated procurement environment on at least three separate occasions.

Context of and specific resources for assessment 

The unit of competency is to be assessed in the workplace or a simulated workplace environment.

Access may be required to:

• legislation, policy, procedures and protocols relating to basic procurement of goods and services
• codes of conduct and codes of practice
• workplace scenarios and case studies relating to a range of basic procurement activities
• case studies that incorporate dilemmas, and probity requirements relating to basic procurement of goods and services.

Method of assessment 

The following assessment methods are suggested:

• questions to assess understanding of relevant legislation and procedures
• review of strategies selected for basic procurement
• review of basic procurement plans, requests for quotation, quotation evaluation plans, selection reports, credit card purchase documents, approvals obtained, simple budgets, invoices paid, other financial documents and other documentation prepared by the candidate in a range of contexts
• feedback from peers or supervisors on actions taken to monitor and review contract performance

In all cases, practical assessment should be supported by questions to assess underpinning knowledge and those aspects of competency which are difficult to assess directly. Questioning techniques should suit the language and literacy levels of the candidate.

Guidance information for assessment 

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

Holistic assessment with other units relevant to the industry sector, workplace and job role is recommended, for example:

• PSPETHC301B Uphold the values and principles of public service
• PSPGOV301B Work effectively in the organisation
• PSPGOV305B Access and use resources and financial systems
• PSPGOV309A Address client needs
• PSPGOV312A Use workplace communication strategies
• PSPLEGN301B Comply with legislation in the public sector

The range statement relates to the unit of competency as a whole. It allows for different work environments and situations that may affect performance. Bold italicised wording, if used in the performance criteria, is detailed below. Essential operating conditions that may be present with training and assessment (depending on the work situation, needs of the candidate, accessibility of the item, and local industry and regional contexts) may also be included.

Delegation /limit of authority  may include:

• low value or low risk procurement
• one-off purchases
• expenditure approval limits
• approval processes
• procurement decision making

Relevant personnel  may include:

• internal user of procured goods or services
• supervisor
• specialist procurement personnel
• supplier

Options for acquiring goods or services  may include:

• purchasing off an existing contract, standing offer or multi-use list
• government credit card transactions
• direct purchase from retail or wholesale outlets
• petty cash
• standard electronic commerce or online transactions

Risk planning  may include:

• stakeholder consultation
• confirmation that a procurement process is necessary
• confirmation that funds are available
• confirmation that required approvals have been obtained

Best value for money  includes:

• availability
• ease of disposal
• price
• through life support
• warranty
• quality and suitability of product

Financial management system  may include:

• procurement and contracts' register
• delegations and authorities
• reporting requirements
• record keeping
• receiving and accepting deliverables
• payment approval process
• credit card process

Confirmation  may include:

• verbal and written
• internal and external
• to users
• to management.

Records  may include:

• purchase requests and orders
• invoices and payment requests
• statements and petty cash vouchers
• records of authorised decisions
• corporate credit card transaction statements
• records of supplier performance
• financial statements
• asset registers
• actions taken to manage identified conflict of interest
• records of conversation
• procurement reporting