Advanced Diploma in Strategic Purchasing & Supply Management

  • An advanced course in Purchasing & Supply Management Strategies.
  • Concentrates on the total approach to procurement, supply and materials management.
  • The course also emphasizes the importance of local and international procurement, an efficient supply line to production, legal aspects of purchasing and the development of negotiation skills.
  • Instruction is highly participative, with the emphasis on case studies and group work.
  • Our Training Facilitators are experienced senior managers within the purchasing profession.


5 days full-time (week days) or 12 weeks part-time (Saturday mornings) or 2-12 months by correspondence. The average learner will need approximately 145 hours (15 notional credits), consisting of 48 hours of tuition and 96 hours for readings and assignments, to successfully complete the programme.


12 written assignments (one following the completion of each learning module) and 1 final written examination.


MERseta accreditation number 17-QA/ACC/0724/12. The abovementioned course is aligned with SAQA Qualification ID number 79286 NLRD Number 57712 with qualification title: Process Manufacturing.  The learning sub-field is Procurement and the minimum no of credits is 120.

Course Objectives

  1. Provide the experienced purchasing and materials manager with a more professional insight into this subject.
  2. Illustrate how purchasing and supply management interface professional in a complex business enterprise.
  3. Emphasize new management tools and procedures, which can be used to improve the effectiveness of purchasing.

Course Content

  1. Advanced Purchasing Techniques: Purchasing systems; Operating systems; operations management; information systems & decision making; auditing systems; computerised procurement management systems.
  2. The Role of Purchasing & Materials Management: Functions of purchasing & materials management; management expectations, organisation of materials management in the public & private sectors.
  3. Production & Operations Management Concepts: Definitions; functions of production; design of the product; value analysis; layout facilities; ergonomics; human factors; physical environment; job design.
  4. Inventory Management & Supply: Definitions; functions of production; design of the product; value stores function; purpose; organisation; responsibility; position identification, coding systems; cataloguing; inspection procedures; stock records; control & checking obsolescence; redundancy; inflation.
  5. Transport & Traffic Management: The need for transportation & traffic management relationship; in-company material handling; concepts & Scope; national traffic management; surface rail; road transportation; international traffic management; importer finance; terms of purchase; international transportation; insurance; transport & traffic, evaluation techniques & control.
  6. Systems Management: Purchasing systems; concepts: definition; forms; records; computer orientated & management reporting systems; inventory management; output; input; strategies & cost of inventory; materials requirements planning; information systems; auditing systems & procedures; expenditure cycles; authorisation; accounting & asset safe guarding.
  7. Materials Accounting & Evaluation Concepts: Budgeting: Cost Control, budgeting inputs; accuracy priorities; contribution to course centres; accounting; capital equipment; fixed asset valuation; replacements; costing methods; average price; market & standards price; accounts payable; documentations and procedures; creditors reconciliation & procedures; variance analysis; overview; pricing & cost reduction techniques.
  8. Cost Analysis & Pricing Principles: Direct & indirect cost; tooling costs; activity-based costing; target costing; profit; cash flow price analysis; variable margin pricing; competitive pricing; trade/quantity discounts; seasonal/cash discounts; legal implication of pricing.
  9. International Sourcing: International procurement function: International contracts of purchase & sale; financing & international procurement; sourcing of international procurement department.
  10. Outsourcing & Make- Or-Buy Decision: Strategic decision; tactical decisions; factors influencing make-or-buy decision; unreliable suppliers; multiple sourcing policy; managerial & procurement considerations.
  11. Legal Aspects Of Purchasing: Definitions; essential elements of the purchase contract; offer & acceptance; formalities; incomplete contracts; statements of intent; breach of contract; termination; obliteration; capacity & authority to contract; latent defects; warranties & guarantees; fine print; examples of contacts; leases; securities.
  12. Negotiation Techniques & Suppliers Sales Tactics: Major phases; skills & tactics; resolving deadlocks; influences; agendas; bargaining; communication; interaction; closing a deal; documentation; characteristics of a successful negotiator.

Further information regarding latest course dates for full-time and part-time enrolment, course fees, enrolment forms and any other queries, please contact:

Cape Town: 021 855 2693

Johannesburg : 011 865 5443

The content of this brochure, accurate at time of going to print, is subject to change without notification due to legislation, market requirements or any other reason. Due to legislative action pending at the time of print, the terms “Programme”, “Diploma” and “Advanced Diploma” may require alternation due to Government requirement. PSM College reserves the right to change course content without notice.