Course Title: Manage suppliers

Part B: Course Detail

Teaching Period: Term2 2017

Course Code: BUSM8002C

Course Title: Manage suppliers

School: 650T Vocational Business Education

Campus: City Campus

Program: C5369 - Diploma of Logistics

Course Contact: Suzanne Maugeri

Course Contact Phone: +61 3 9925 1466

Course Contact Email:

Name and Contact Details of All Other Relevant Staff

Nominal Hours: 60

Regardless of the mode of delivery, represent a guide to the relative teaching time and student effort required to successfully achieve a particular competency/module. This may include not only scheduled classes or workplace visits but also the amount of effort required to undertake, evaluate and complete all assessment requirements, including any non-classroom activities.

Pre-requisites and Co-requisites


Course Description

This unit involves the skills and knowledge required to manage suppliers in various contexts within the transport and logistics industry.

It includes assessing and building productive relationships with suppliers, and evaluating the delivery of goods/services against agreements. It also includes negotiating arrangements, resolving disagreements with suppliers and reviewing supplier performance.

The unit generally applies to those who lead individuals or teams.

No licensing, legislative or certification requirements apply to this unit at the time of publication.

National Codes, Titles, Elements and Performance Criteria

National Element Code & Title:

TLIR5014 Manage suppliers


1 Assess suppliers and build productive relationships

Performance Criteria:

1.1 Criteria to effectively evaluate supplier services are developed and documented

1.2 Existing suppliers are assessed against criteria

1.3 Availability and suitability of alternate suppliers who can meet the service support requirements within legislative requirements are identified

1.4 Terms and conditions of suppliers to achieve service requirements are established and communicated

1.5 Cooperative relationships are developed with suppliers in accordance with organisational policies and procedures


2 Evaluate delivery of goods and/or services against agreements

Performance Criteria:

2.1 Quality of goods and services supplied is assessed against criteria

2.2 Non-compliance is identified, documented and corrective action is implemented within the terms of contractual arrangements

2.3 Contingency plans are developed should suppliers fail to deliver

2.4 Relationships with suppliers are managed to support effective delivery


3 Negotiate arrangements with suppliers

Performance Criteria:

3.1 Arrangements with suppliers are negotiated and implemented in accordance with organisational policies and procedures

3.2 Market factors that may affect the supply of goods and services are identified and communicated to relevant personnel

3.3 Immediate corrective action is taken in consultation with suppliers where potential or actual problems are indicated


4 Resolve disagreements with suppliers

Performance Criteria:

4.1 Disagreements with suppliers are investigated to identify validity and causes

4.2 Disagreements are negotiated and resolved

4.3 Amendments to agreements, as a consequence of the resolution of disagreements, are documented

4.4 Approval is sought and obtained for amendments

4.5 Approved amendments are communicated to suppliers and relevant personnel


5 Review performance of suppliers

Performance Criteria:

5.1 Suppliers are continuously reviewed for quality, profitability, service, delivery status and other relevant performance indicators

5.2 Supplier performance is evaluated against purchasing agreement requirements

5.3 Suppliers are informed of evaluation outcomes as required

5.4 Recommendations about future use of suppliers are made to relevant personnel 5.5 Suppliers are deleted from supplier shortlist according to criteria

Learning Outcomes

This course is structured to provide students with the optimum learning experience in order to demonstrate the skills and knowledge required to manage suppliers in various contexts within the transport and logistics industry.

Details of Learning Activities

A range of in class activities, case studies and face to face delivery will provide a range of learning and teaching experiences for students.

Teaching Schedule

This course is co-delivered and co-assessed with BUSM8001C Manage Customer Service

The Teaching Schedule for this course is as follows but please note that it is subject to change.


Week Commencing




3 July

 (1) Course Induction
• Course delivery and assessment details  • Course support documents
• Online learning environment  • Grading  • Plagiarism  • Appeals
• Extensions  • Feedback  • Privacy  • Submission requirements
• Resubmission policy  • Where to get support  • Student responsibilities
(2) Pre-Training Review
• Includes skills analysis and Recognition of Prior Learning and Credit Transfers
(3) Introduction to the course

Assessment 1 & Assessment 2 handed out.


10 July

 Managing Customer Service



17 July

 Understanding What Motivates People



24 July

 Continuous Improvement for Customer Service



31 July

 Levels of customer service



7 Aug

 Customer feedback



14 Aug

 Managing Suppliers



21 Aug

 Quality Assurance Procedures


Mid Semester Break ( 28th Aug to 1 Sept )


4 Sep

 Assessing Potential Suppliers and Building Productive Relationships.

Assessment 1 due


11 Sep

 Service Level Agreements



18 Sep

 Negotiating Arrangements with Suppliers



25 Sep

 Resolving Disagreements with Suppliers ( Presentations )



2 Oct

 Reviewing  Performance of Suppliers



9 Oct

 Ending supplier contracts

Assessment 2 due


16 Oct

 Revision and Review



23 Oct

 Resits and Resubmissions


The nominal hours associated with this are a guide only and represent the total teaching time and student effort required to successfully complete the course. This may include not only scheduled classes but also the amount of effort required to undertake, evaluate and complete all assessment requirements, including any non-classroom activities


Learning Resources

Prescribed Texts


Other Resources

Overview of Assessment

Assessment Methods

Assessment methods have been designed to measure achievement of the requirements in a flexible manner over a range of assessment tasks, for example:

  • direct questioning combined with review of portfolios of evidence and third party workplace reports of on-the-job performance by the candidate
  • review of final printed documents
  • demonstration of techniques
  • observation of presentations
  • oral or written questioning to assess knowledge of software applications

You are advised that you are likely to be asked to personally demonstrate your assessment work to your teacher to ensure that the relevant competency standards are being met.

Performance  Evidence

You will be required to provide evidence of the following skills:

  • applying relevant legislation and workplace procedures
  • communicating and working effectively with others when managing suppliers
  • completing documentation related to work activities
  • implementing contingency plans
  • modifying activities depending on operational contingencies, risk situations and environments
  • monitoring and prioritising work activities in terms of planned schedule
  • operating electronic communications equipment to required protocol
  • reading and interpreting instructions, procedures, information and signs relevant to managing suppliers
  • reporting and/or rectifying identified problems, faults or malfunctions promptly, in accordance with regulatory requirements and workplace procedures
  • sourcing, managing, evaluating and reviewing suppliers.

Knowledge Evidence

You are required to provide evidence of the following:

  • code of practice for working collaboratively with others
  • common use arrangements
  • contract performance and dispute policies and procedures
  • financial accountability requirements
  • operation of recording, reporting and statistical analysis systems and resources
  • organisational policies, procedures, plans, guidelines and code of conduct relevant to procurement and supply contracts
  • organisational procedures for monitoring the performance of suppliers
  • probity requirements and ethical issues
  • procedures for operating electronic communications equipment
  • procedures for receipt and payment of goods and services
  • procurement approval procedures
  • relevant sections of national and state/territory regulatory requirements and codes of practice related to procurement
  • requirements for completing relevant documentation
  • steps involved in planning the work activities
  • suppliers in the marketplace.


Feedback will be provided throughout the semester in class and/or online discussions. You are encouraged to ask and answer questions during class time and online sessions so that you can obtain feedback on your understanding of the concepts and issues being discussed. Finally, you can email or arrange an appointment with your teacher to gain more feedback on your progress.

You should take note of all feedback received and use this information to improve your learning outcomes and final performance in the course.

Assessment Tasks

Assessment Outline:

This course is co-assessed with BUSM8002C Manage Supplies.

Students are required to complete 2 tasks. You must successfully complete both tasks to be deemed competent in this unit.Students are required to complete 2 tasks. You must successfully complete bothtasks to be deemed competent in this unit.

Assessment Task 1 – Customer Service Management Report

Date handed out:  Week 1
Date and time due: Week 9 Friday 8th Sep 5.00pm
Group or Individual: This is an Individual Assessment ( Max 3000 words )

Understanding the requirements of your customers and planning to meet these is crucial to the success of any organisation.  Without customers you don’t have a business.  However, everyone can easily cite numerous examples of very bad customer service and while most companies think they have good customer service sometimes the reality is very different.

In this assessment task you will be required to investigate the customer service system in your organisation, or an organisation as agreed by you and your instructor.  You need to explain its key features and explore strategies for monitoring and continuously improving customer service. 

Customer Service Management System - Section 1 Customer Needs
You will be required to investigate your own organisation and how it incorporates relevant legislation into its customer service policies and procedures.  You will also be asked to critically analyse how your organisation gathers information about customer needs and uses this is their planning.

Examine the client business unit to clarify your understanding of internal and external customer requirements and how they work, look for:

  • How the needs of customers are researched, understood and assessed, and included in the planning process?
  • How is provision made in plans to achieve the quality, time and cost specifications agreed with customers?

Customer Service Management System -Section 2 Customer Service Provision
In this section you will prepare information on the key elements of your organisations customer service system.  We require you to present this information in a variety of ways suitable for easy understanding by a new customer service team member.

Examine the client business unit to clarify your understanding of delivery of quality products / services and how they work, look for:

  • What products and services are delivered to customer specifications within the team's / organisation's business plan?
  • How do they ensure individual and team performance consistently meets quality, safety, resource and delivery standards?
  • What coaching and mentoring is available to assist staff to overcome difficulty in meeting customer service standards?
  • How are their resources used to effectively and efficiently provide quality products/services to customers?

Customer Service Management System -Section 3 Continuous Improvement of customer service
In this section you will be looking at how technology can be used to monitor customer service delivery and how to use the data collected to review/amend the provision of services/products to customers.

Examine the client business unit to clarify your understanding of monitoring, adjusting and reporting of customer service standards and how they work, look for;

  • What systems or technology are used to monitor progress in achieving product/service targets and standards?
  • How is Customer feedback sought and used to improve the provision of products/services?
  • How are decisions to overcome problems and make improvements to products/services taken in consultation with designated individuals/groups?
  • What is the procedure for adjustments to be made to products and services?
  • How are these changes communicated to those who have a role in their planning and delivery?

Assessment Task 2 – Supplier Management Portfolio

Date handed out:  Week 1
Date and time due: Week 14 Friday 13th Oct 5.00pm
Group or Individual: This assignment is to be completed individually ( Max 3000 Words )                                        

In the T&L industry much of the supply chain relies on having good suppliers who meet deadlines and provide the appropriate products as requested. Because this is such an important part of the supply chain it is incumbent on managers in the industry to build excellent relationships with these suppliers and to have strict procedures in place to ensure quality services. In order for you to be able to build those relationships and have the appropriate documentation in order you will require a set of tools to assist you.

For this unit you will need to create a portfolio of tools that can assist you in effectively managing suppliers. Completion of this task has been broken down into 3 sections so that you build your portfolio of documents as you progress through the unit.

Supplier Management Portfolio Section 1

  • A list of Key Performance Indicators (KPIs) for suppliers
  • Strategies (2-3) for effectively building good relationships with suppliers
  • Draft terms and conditions template for agreements with suppliers that complies with organisational policies and procedures
  • An evaluation template for suppliers
  • An assessment of current/future suppliers for your business using the template

 Supplier Management Portfolio Section 2

  • A template for assessing goods/services delivered, with details on how you will deal with non-compliance to agreements, and contingency plans for supplies not delivered
  • Copies of letters/emails to suppliers negotiating new agreements
  • A checklist for resolving disputes with suppliers including steps about how disagreements with suppliers are investigated to establish validity and cause
  • 2-3 examples of how specific disputes with suppliers were successfully resolved

Supplier Management Portfolio Section 3

  • An outline of how suppliers who perform well are rewarded
  • Draft letter to a supplier to advise of review outcomes
  • Draft letter to management recommending a new supplier based on review outcomes 

Submission Requirements: You are required to meet the following criteria for all assessments.  Failure to do so may result in you being deemed not-yet-competent.

  • Submit all assessment tasks online through blackboard, and include the RMIT e-submission declaration (see below).
  • Ensure that you submit assessments on or before the due date.
  • Retain a copy of your assessment tasks.
  • Each page of your assessment you should include footer with your name(s), student number(s), the title of the assessment, unit code and title and page numbers. For example, Julie Macpherson, 324567, Task 2, OHS2345C Ensure safe workplace, Page 1 of 10.

Electronic Submission

When submitting work online, you do not need to include a cover sheet.  However you must include the following text on the title page of your assessment:

Assessment Matrix

Submission Requirements

You should:

  • Ensure that you submit assessments on or before the due date
  • Always retain a copy of your assessment tasks. (Hard copy and soft copy)
  • When you submit work for assessment at RMIT University you need to use a cover sheet that includes a declaration and statement of authorship. You must complete, sign and submit a cover sheet with all work you submit for assessment, whether individual or group work. On the cover sheet you declare that the work you are presenting for assessment is your own work. An assignment cover sheet for submission of each assessment task is available on blackboard.
  • Each page of your assessment should include footer with your name, student number, the title of the assessment, unit code and title and page numbers. For example, Julie Macpherson, s34567, Task 2 – Safety Induction Assessment, OHTH5872C Ensure a Safe Workplace, Page 1.

 Late Submission Procedures

You are required to submit assessment items and/or ensure performance based assessment is completed by the due dates.

If you are prevented from submitting an assessment item on time, by circumstances outside your control, you may apply in advance to your teacher for an extension to the due date of up to seven calendar days.

More Information: 

Form to use:

Where an extension of greater than seven days is needed, you must apply for special consideration.
Applications for special consideration must be submitted no later than two working days after the assessment task deadline or scheduled examination.


More Information:;ID=g43abm17hc9w (unresolved)

Form to use:


Re-submissions (VE Programs)
If you are found to be unsuccessful in a particular Course Assessment Task (or you do not submit/attend) you will be allowed one re-submission.  Your teacher will provide feedback regarding what you need to do to improve and will set a new deadline for the re-submission. 

 If you are still not meeting the assessment requirements you must apply to your Program Manager in writing outlining the steps you will take to demonstrate competence in your course. Your submission will be considered by the Program Team and you will be advised of the outcome as soon as possible.

Grading & re-submissions
Re-submissions are not graded and do not contribute to your overall grade for the course.

Adjustments to Assessment
In certain circumstances students may be eligible for an assessment adjustment. For more information about the circumstances under which the assessment arrangements might be granted please access the following website:

More Information:;ID=7usdbki1fjf31


Marking Guide (Competency)

You must demonstrate that you have all the required skills/knowledge/elements in the unit of competency you are studying. 

You will receive feedback on each assessment task that will inform you about your progress and how well you are performing.


Marking Guide (Grading)

After achieving competency we then grade your performance in the unit and you will achieve one of the following grades:


Final Grades table

CHD Competent with High Distinction
CDI Competent with Distinction
CC Competent with Credit
CAG Competency Achieved – Graded
NYC Not Yet Competent
DNS Did Not Submit for assessment


Further information regarding the application of the grading criteria will be provided by your teacher.

Other Information

Academic Integrity

Plagiarism is a form of cheating in assessment and may occur in oral, written or visual presentations. It is the presentation of the work, idea or creation of another person, without appropriate referencing, as though it is your own.

The penalties for cheating in assessment are severe, whether the cheating involves plagiarism, fabrication, falsification of data, copyright infringement or some other method. Penalties can include charges of academic misconduct, cancellation of results and exclusion from your course. It is also a disciplinary offence for you to allow your work to be plagiarised by another student.


RMIT Business produce their own referencing guidelines entitled written reports and essays: guidelines for referencing and presentation in RMIT Business which all Business students should use.

RMIT Business referencing guidelines (RTF, 1,286 KB, 52 pages); A supporting Referencing website has been developed for the RMIT Business guidelines.You can find out more about Academic Integrity at RMIT’s Academic Integrity webpage.


Group Assessment
A number of your assessments will rely upon group work. This is a critical part of your program as in the workplace you will be regularly required to work in a team environment. Teamwork is also one of the key employability skills for this qualification.


The key to being successful in group work is getting to know your classmates and finding out what they want to achieve. You should seek to find a team which shares your key interests and drivers.

If you are facing issues with your group, the key is to resolve them quickly well before assessments are due. If you need to you can seek support from your teacher.



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