Certified Purchasing Manager Exam Review

 

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About This Course

This 5-day course will review the topics upon which applicants will be tested by the Certified Purchasing Manager (C.P.M.) Examination.  You will learn the topic contents of the exam as well as how best to prepare yourself to maximize your performance. Through review of the subject matter followed by sample testing, you will gain a good understanding of your areas of strengths and weaknesses and be prepared to develop a follow-up self-study program on any areas in which you want more depth.  This course is also an excellent learning experience for participants in basic purchasing principles, and attendees will leave this seminar with enhanced understanding of purchasing techniques that can be applied immediately when you return to work. This course, as well as the examination, is geared towards the manufacturing, service, institutional and government procurement sectors.

 

Participants will learn not only major portions of the content of the exam but also how the exam is constructed, how questions are written and how best to read them, and how to prepare to take the exam. Often knowing how to approach the exam is the difference between passing and failing. At the end of each module's content review, participants will take a full-scale practice examination to test their knowledge in the subject area and to sharpen test-taking skills.

 

The Program Agenda

 

Day 1.   C.P.M. Exam Overview  +  Module 1 - The Purchasing Process

Background of the C.P.M. examination: 

The process for determining exam content.  Types of questions and how to approach them.  (Who writes those questions anyway?)  Test-taking tips.  How to maximize your chances for success.  Criteria for certification.  

Module 1: 

The requisition process:  forms of requisitions, applicable laws, budgetary considerations. 

Purchasing procedures:  make or buy decisions, cost issues, competition, leasing. 

Source evaluation and selection:  minority suppliers, finding sources, performance issues. 

The process of determining price:  specifications review, price vs value, cost justification.  Competitive bidding:  bidders lists, late bids, types of RFQs, bid evaluation, regulations. 

 

Day 2.  Module 1 (continued) - The Purchasing Process

Negotiations:  appropriateness, strategies, tactics, preparation. 

Purchasing's role in obtaining quality:  definition of quality, UCC provisions. 

Contract administration:  work plans, progress payments, contract compliance. 

Legal considerations in purchasing:  anti-trust laws, contract elements, UCC, Robinson-Patman, bankruptcy, contract problems, FOB issues. 

Sample exam for Module 1.

 

Day 3.  Module 2 - The  Supply  Environment

Negotiations:  Developing strategies and tactics;  conducting negotiations to obtain maximum value.

Information technology:  Developing and utilizing purchasing systems, from basic systems to electronic commerce;  maintaining data bases for specifications, suppliers, products and services;  inventory and capital equipment tracking systems.

Quality:  Resolving quality problems with suppliers and users;  developing measurements for quality improvement and target-setting;  benchmarking.

Internal relationships:  Developing and managing internal relationships;  cross-functional teams; supply management and material usage policies and procedures;  internal training.

External relationships:  Supplier partnerships, strategic alliances, supply chain management, supplier training;  reviewing information with suppliers and relations with sales personnel;  inquiries, protests and appeals;  disadvantaged supplier development;  representing the organization.

Sample exam for Module 2.

 

Day 4.  Module 3 - Value Enhancement Strategies

Sourcing analysis:  Make / buy decisions, privatization and outsourcing;  leasing;  financing and leverage strategies.

Supply and inventory management:  Material storage concepts;  inventory and restocking levels, just-in-time strategies;  inventory accuracy and error reconciliation;  obsolete, surplus and scrap.

Value-enhancing processes:  Standardization; process improvement; cost reduction, cost avoidance and containment strategies;  new product introduction.

Forecasting and strategies:  Using forecasted data to plan purchasing strategies;  forecasting to suppliers;  market awareness;  forecasting to internal users.

Sample exam for Module 3.

 

Day 5.  Module 4 - Management

Management and organization:  Strategic plans and objectives;  goal alignment;  operating policies, guidelines and procedures;  management reporting;  audits;  departmental performance evaluation;  budgets;  forms management.

Human resource management:  Supervision;  hiring, promotion and dismissal;  performance evaluation;  training;  resolving performance problems;  dealing with discrimination or harrassment.

Sample exam for Module 4.

 

The Key Benefits of Attending 

1.  Learn the major content areas that represent the core of purchasing.

2.  Assess your readiness to take the Certified Purchasing Manager Exam.

3.  Learn proven skills to maximize your performance on the exam.

4.  Identify any areas needing follow-up study.

5.  Develop a follow-up self-study program to enhance those skill areas.

 

Bonus!

Each attendee will receive a copy of  The C.P.M. Study Guide, 7th ed. Revised, the C.P.M. Diagnostic Kit and a copy of the Hardings' book Purchasing  (an exam reference text)

a total value of $100.00 in texts.

  

Who Should Attend?

-  Candidates preparing for the C.P.M. exam.

-  Purchasers determining whether to attempt certification.

-  Professionals preparing for recertification by retaking exam modules.

 

About Your Program Leader

Mary Lu Harding is a principal of Harding & Associates, specializing in manufacturing and materials related consulting and education.  Mary Lu is a contributing author to the C.P.M. Study Guide, 6th ed. (revised).  She has written and reviewed questions for the C.P.M. exam.  Mary Lu co-authored the book Purchasing published by Barron's Press which is an exam reference text and co-authored a video film on Systems Contracting. She has over 20 years experience in manufacturing, as a practitioner and as a coach and trainer of others.  Her primary areas of expertise include materials management, especially MRP II and Purchasing, Just-In-Time, Team Development and Total Quality Management.  She is certified by NAPM (C.P.M.) and APICS (CPIM & CIRM).  She is also an officer in the local chapters of both societies.  She is a frequent speaker for APICS and NAPM chapter and national meetings on the subjects of  People Empowerment, Purchasing and Ethics, MRP II, Inventory Management and Total Quality Management.

 

Certified Purchasing Manager Exam Review

 

About This Course

This 5-day course will review the topics upon which applicants will be tested by the Certified Purchasing Manager (C.P.M.) Certification Examination.  You will learn the topic content of the exam as well as how best to prepare yourself to maximize your performance. Through review of the subject matter followed by sample testing, you will gain a good understanding of your areas of strengths and weaknesses and be prepared to develop a follow-up self study program on any areas needing more depth.  This course is also an excellent immediate learning experience for participants in basic purchasing principles, and all attendees will leave this seminar with enhanced understanding of purchasing techniques that can be applied immediately when you return to work. This course, as well as the examination, is geared towards the manufacturing, service, institutional and government procurement sectors.

 

Participants will learn not only major portions of the content of the exam but also how the exam is constructed, how questions are structured and how best to read them, and how to prepare to take the exam. Often knowing how to take the exam is the difference between passing and failing.

 

At the end of each module's presentation, participants will take a full-scale practice examination to test their knowledge in the subject area and to sharpen their test-taking skills.

 

The Program Agenda

Day 1 & 2.   Module 1 - The Purchasing Process

The requisition process:  forms of requisitions, applicable laws, budgetary considerations. 

Purchasing procedures:  make or buy decisions, cost issues, competition, leasing. 

Source evaluation and selection:  minority suppliers, finding sources, performance issues.

The process of determining price:  specifications review, price vs value, cost justification. 

Competitive bidding:  bidders lists, late bids, types of RFQs, bid evaluation, regulations.

Negotiations:  appropriateness, strategies, tactics, preparation.

Purchasing's role in obtaining quality:  definition of quality, UCC provisions. 

Contract administration:  work plans, progress payments, contract compliance. 

Legal considerations in purchasing:  anti-trust laws, contract elements, UCC, Robinson-

        Patman, bankruptcy, contract problems, FOB issues (U.S. commercial law).

 

Day 3.  Module 2 - Administration of the Purchasing Function

Purchasing department organization:  structure, responsibilities, issues.

Purchasing goals, objectives and policies:  priorities and measurements. 

Departmental procedures and controls:  work assignment, responsibility vs authority,

     release systems. 

Administration of budgets:  constructing budgets, capital budgets, direct/indirect costs. 

Forms development and control:  operational forms, costs, objectives, record retention.

Departmental performance evaluation:  what to evaluate, rating systems. 

Management systems:  motivational theories, MBO, span of control.

Management of personnel:  motivation & supervision, training, performance evaluations,

     hiring, promotion & discipline.           

 

Day 4.  Module 3 - Management of the Supply Process

Traffic and transportation management:  carriers & transportation costs, expediting & tracing, Types of carriers:  advantages / disadvantages. 

Inventory management:  analysis of inventory & carrying costs. EOQ, FOQ, ABC classes.

Inventory management systems:  MRP, JIT and order point systems. 

Stores and receiving systems:  material segregation, inspection, documentation, disposal.

Managing individual materials:  private inventories, separation. 

Purchase price standards:  performance measurements, cost targeting. 

Cost reduction and cost avoidance programs:  implementation and documentation.

Managing surplus materials:  control, disposal, hazardous waste. 

MRP, MRP II and JIT as business operating systems.

 

Day 5.  Module 4 - Current Issues in Purchasing

Demand forecasting:  elements, types of  forecasts, quantity / timing issues. 

Economic trends and their implications:  economic indicators, sources & methods, inflation.  

Strategic planning and objectives:  buying strategies, hedging, futures.  

Purchasing strategies and their analysis:  international buying, cycles, and trends. 

Relationships with suppliers:  partnerships, early supplier involvement. 

Relationships with other internal departments:  communications, roles, trust. 

Use of computers:  computerized purchasing systems and EDI (Electronic Data Interchange). 

Environmental issues:  how to manage hazardous and/or regulated materials.

 

 

The Key Benefits of Attending 

1.  Learn the major issues that represent the core of purchasing.

2.  Assess your readiness to take the Certified Purchasing Manager Certification Exam.

3.  Learn proven skills to maximize your performance on the exam.

4.  Identify any areas needing follow-up study.

5.  Develop a follow-up self-study program to enhance those skill areas.

 

Bonus!

Each attendee will receive a copy of  The C.P.M. Study Guide, 6th ed., the C.P.M. Diagnostic Kit and a copy of the Hardings' book Purchasing  (an exam reference text)

a total value of $100.00 in texts.

  

Who Should Attend?

-  Candidates preparing for the C.P.M. exam.

-  Purchasers determining whether to attempt certification.

-  Buyers

-  Purchasing Managers

-  Those desiring an intensive overview of the purchasing profession.

 

About Your Program Leaders

Michael and Mary Lu Harding are principals of Harding & Associates, a firm specializing in JIT manufacturing and materials related consulting and education.   Their clients include many of the Fortune 500 companies.

 

Michael Harding is the former Corporate Manager of JIT Education & Training for Digital Equipment Corporation.  He is the author of  Profitable Purchasing (Industrial Press) and Service Velocity.  Mr. Harding consults and lectures on World Class Manufacturing throughout North and South America, Europe, Russia, the Ukraine and the Far East.  He is a frequent speaker at APICS and NAPM  chapter and national meetings on the subjects of Manufacturing and Service Velocity, Just-In-Time, Inventory Management, Quality, People Empowerment and Purchasing.  Mr. Harding holds degrees in Business, Purchasing and Law.  He is on the board of directors of the Association for Manufacturing Excellence and is certified by NAPM (C.P.M.) and APICS (CPIM).

 

Mary Lu Harding is a contributing author to the C.P.M. Study Guide, 6th ed. and co-author of a video film on Systems Contracting.  She is a writer and reviewer of questions for the C.P.M. exam.  She is a frequent speaker for APICS and NAPM chapter and national meetings on the subjects of  Just-In-Time, People Empowerment, Purchasing and Ethics, MRP II and Inventory Management.  She has over 20 years experience in manufacturing, as a practitioner and as a coach and trainer of others.  Her primary areas of expertise include materials management, especially MRP II and Purchasing, Just-In-Time, Team Development and Total Quality Management.  She is certified by NAPM (C.P.M.) and APICS (CPIM and CIRM).  She is also an officer in the local chapters of both societies. 

 

Michael and Mary Lu co-authored the book Purchasing published by Barron's Press which is an exam reference text.

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