Modification History
The version details of this endorsed unit are in the table below. The latest information is at the top.
Release |
Comments |
Second Release |
Editorial updates |
Unit Descriptor
This unit describes the performance outcomes, skills and knowledge required to identify, evaluate and implement ways to improve supply and distribution chains for a retail or wholesale business.
Application of the Unit
This unit applies to personnel who are responsible for identifying, evaluating and implementing ways to continuously review and improve the supply and distribution of products or services for a retail or wholesale business. It includes maintaining continuity of supply whereby inventory can meet requirements for production, sales, distribution and service commitments provided to another business or directly to the end customer.
Licensing/Regulatory Information
No licensing, legislative, regulatory or certification requirements apply to this unit at the time of endorsement.
Pre-Requisites
Nil
Employability Skills Information
This unit contains employability skills.
Elements and Performance Criteria Pre-Content
Elements and Performance Criteria
Element |
Performance Criteria |
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 required skills and knowledge section and the range statement. Assessment of performance is to be consistent with the evidence guide. |
1. Confirm features of specific supply chains. |
1.1.Determine position of the business in the supply chain. 1.2.Analyse features and impact of business relationships with suppliers to the business. 1.3.Establish benchmarks of supply chain efficiency. |
2. Maintain information on suppliers. |
2.1.Obtain and store information on suppliers of products and services to a retail or wholesale business according to business policy and procedures . 2.2.Update and regularly review information on suppliers of products and services to a business. 2.3.Store information on nature and feature of business relationship with suppliers to a retail or wholesale business and report, according to confidentiality, security, and business requirements. |
3. Review distribution arrangements. |
3.1.Review, compare and analyse sales, customer satisfaction and performance reports. 3.2.Review factors affecting supply of retail or wholesale products and services. |
4. Devise policy and procedures for distribution and supply. |
4.1.Establish policy and procedures for supply and distribution to business customers and end consumers. 4.2.Establish procedures to collect and analyse information on distribution chain management. |
5. Forecast future contingencies affecting supply chain management. |
5.1.Analyse forecasted market demand to confirm future requirements. 5.2.Communicate forward supply needs for the business to suppliers according to policy and contract provisions. 5.3.Confirm factors affecting forward purchasing and supply arrangements. 5.4.Set standards for supply of products and services to the business in qualitative and quantitative terms. 5.5.Communicate procedures for enforcing quality of supply to the business to relevant internal and external personnel. |
6. Improve supply and distribution chain effectiveness. |
6.1.Evaluate supply chain against agreed benchmarks and overall impact on business performance. 6.2.Benchmark comparative performance of supply chain against best in class or competitors. 6.3.Assess factors affecting future distribution and supply of products. 6.4.Make recommendations to relevant personnel to respond to opportunities for improvements in customer supply and distribution relationships. 6.5.Confirm impact of proposed improvements to supply and distribution activities against budget and operational plans. 6.6.Use prevailing trading terms to enhance supply and distribution chain management. 6.7.Generate reports on business relationships with suppliers to the business using available business technology and agreed measures. 6.8.Complete reports to relevant personnel (internal and external to operational unit) to promote recommended implementation of improvement to supply and distribution chain. |
Required Skills and Knowledge
This section describes the essential skills and knowledge and their level, required for this unit. |
Required skills |
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Required knowledge |
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Evidence Guide
The evidence guide provides advice on assessment and must be read in conjunction with the performance criteria, required skills and knowledge, the range statement and the Assessment Guidelines for this Training Package. |
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Critical aspects for assessment and evidence required to demonstrate competency in this unit |
Evidence of the following is essential:
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Context of and specific resources for assessment |
Assessment must ensure access to:
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Methods of assessment |
A range of assessment methods should be used to assess practical skills and knowledge. The following examples are appropriate for this unit:
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Guidance information for assessment |
Holistic assessment with other units relevant to the industry sector, workplace and job role is recommended. |
Range Statement
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 in the performance criteria is detailed below. |
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Business relationships may be influenced by: |
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Suppliers may be: |
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Benchmarks may include: |
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Information on suppliers may include: |
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Business policy and procedures may relate to: |
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Methods used to store information may be: |
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Factors affecting future distribution and supply of retail or wholesale products and services may include: |
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Relevant personnel may include: |
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Reports may be delivered: |
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Unit Sector(s)
Cross-Sector
Competency field
Product Management