UNIVERSITY OF NAIROBI

SCHOOL OF BUSINESS
Department of Management Science

COURSE OUTLINE

DPS 304: PROCUREMENT MANAGEMENT Semester/year: 2015/2016

A. OBJECTIVES:

This course is designed to provide an understanding of the importance of the procurement function in an
organization. Principles of procurement and application of the same in organizations will be covered in depth. The
course is also aimed at making the learner appreciate the relationship between Procurement function and other
corporate functions as well as upstream and downstream players in the overall supply chain.

B. CONTENT:

Introduction to Procurement Management

 Definitions of purchasing and procurement
 The evolution of purchasing
 Perspectives on purchasing
 Purchasing in the future
 The profession of procurement
Purchasing and Procurement
 Overview of purchasing and procurement
 Purchasing/Procurement Objectives
 Purchasing activities
 Procurement activities
 Organization of purchasing/procurement function
Role of Organizational Procurement in a Business System
 Procurement in the context of supply chain management
 Procurement function and other organizational functions
Procurement Procedures
 Traditional purchasing/Procurement procedures
 Inefficiencies of traditional procedures
 Evolution of e-procurement models
 Procurement Manuals
 Supplier Manuals
 Legal aspects of Procurement
Institutional and government procurement
 Introduction
 Comparison between private sector and institutional/government procurement
 Public procurement Regulation in Kenya
Generation of Requirements
 Procurement descriptions and specifications
 Role of standardization in procurement
Sourcing Strategies and Policies
 The importance of source selection
  Development and maintenance of supplier base
 Supplier partnerships and alliances

Outsourcing and Contract Management

 Factors influencing make or buy decisions
 Post contract award activities and the management of supplier relations
 Managing for quality
Global Procurement
 Global issues in procurement
 Challenges of global procurement
 International Commercial Terms (Incoterms)
E-procurement
 Designing e-procurement system
 Capabilities of e-procurement system
 Challenges of e-procurement
Special Issues in Procurement
 Special purchases
 Green procurement
 Ethics & Fraud in procurement

C. SELF STUDY TOPICS

 Managing quality in procurement
 Special issues in procurement

D. COURSE EVALUATION
Assignments/Case Studies 10%
CAT One 20%
Final Exam 70%

E. Assignment

In preparation for an assignment to be done during class time on week 9, Read the Public Procurement and
Asset Disposal Act 2015

Important Dates
CAT ONE Week 8
Assignment One Week 8

Reference Books:
 Purchasing and Supply Chain management by Kenneth Lysons and Brian Farrington
 Integrated Materials Management by R. J. Carter and P. M. Price
 Purchasing and Supply Management by Donald W. Dobler and David N. Burt
 Material Management Procedures, Text & Cases by A.K. Datta
 Any other book on Materials, Supplies and Purchasing Management and journal articles
on purchasing and procurement

Other reference material

Public Procurement & Asset Disposal Act 2015
The Kenya Constitution 2010
Public officer ethics act

Course Instructor:
Name: Munyao-mulwa Sign: ______________ Date: __________
Email: munyao.mulwa@uonbi.ac.ke