ELEMENT S 

PERFORMANCE CRITERIA 

Elements describe the essential outcomes.

Performance criteria describe the performance needed to demonstrate achievement of the element.

1 

Implement demand-driven supply chain management strategy 

1.1

Responsibility for supply chain management within the organisation is assigned in accordance with the strategy

1.2

Technology and software for implementing the strategy is accessed and operationalised within the requirements of the strategy and budgetary allocation

1.3

Policies and procedures are designed to guide business relations and operations in accordance with the strategy

1.4

Supporting business processes are designed or re-designed to support implementation of the strategy

1.5

Support is provided to staff, customers and supply chain to assist in implementation of the strategy

2 

Manage supply chain 

2.1

Communication and information exchange with strategic partners and suppliers is managed in accordance with the supply chain management strategy

2.2

Collaboration with supply chain organisations is facilitated to determine demand at each level of the supply chain in accordance with the strategy

2.3

Sales and payments are managed in accordance with supply chain and risk management strategies, and legal and ethical requirements

2.4

Actions to build trust and foster a supply chain culture are implemented in accordance with the strategy

2.5

Opportunities are identified to adjust policies and procedures to respond to the changing needs of customers, supply chain and the organisation

3 

Evaluate and improve supply chain effectiveness 

3.1

Demand chain management and supply chain management are monitored in accordance with the supply chain management strategy

3.2

Effectiveness of the supply chain is reviewed with each level of the supply chain, including staff and customers, and areas are identified for improvement

3.3

Business data and reports are used to compare outcomes, budgets, timelines and forecasts to actual performance

3.4

Technology performance is reviewed and recommendations are made for improvements to hardware, software and/or their use, in accordance with strategy and budget

3.5

Feedback and evaluation results are used to plan and improve future supply chain management strategies

Evidence required to demonstrate competence in this unit must be relevant to and satisfy all of the requirements of the elements and performance criteria on at least one occasion and include:

• applying relevant legislation and workplace procedures
• developing and implementing policies
• focusing on the customer
• implementing, managing and reviewing management strategies
• implementing contingency plans
• negotiating and liaising with suppliers and relevant stakeholders, verbally and in writing
• using appropriate technology, including software
• working collaboratively with others
• working with attention to detail and thoroughness.

Evidence required to demonstrate competence in this unit must be relevant to and satisfy all of the requirements of the elements and performance criteria and include knowledge of:

• business terms and conditions for purchasing, tendering and contracting
• ethical behaviour
• legislation related to importing commodities
• legislation, codes of practice, and national and international standards such as the Trade Practices Act, Sale of Goods Act and contract law
• organisational policies and procedures related to supply chain management, purchasing, contracting and tendering
• procedures for operating electronic communications equipment
• product knowledge related to goods and services required by the organisation
• requirements for completing relevant documentation
• ways to build trust and collaboration as opposed to competition.