SAQA All qualifications and part qualifications registered on the National Qualifications Framework are public property. Thus the only payment that can be made for them is for service and reproduction. It is illegal to sell this material for profit. If the material is reproduced or quoted, the South African Qualifications Authority (SAQA) should be acknowledged as the source.
SOUTH AFRICAN QUALIFICATIONS AUTHORITY 
REGISTERED UNIT STANDARD: 

Outline the philosophy of Supply Chain Management 
SAQA US ID UNIT STANDARD TITLE
336712  Outline the philosophy of Supply Chain Management 
ORIGINATOR
SGB Procurement, Logistics and Supply Chain Mngt 
PRIMARY OR DELEGATED QUALITY ASSURANCE FUNCTIONARY
-  
FIELD SUBFIELD
Field 03 - Business, Commerce and Management Studies Procurement 
ABET BAND UNIT STANDARD TYPE PRE-2009 NQF LEVEL NQF LEVEL CREDITS
Undefined  Regular  Level 6  Level TBA: Pre-2009 was L6 
REGISTRATION STATUS REGISTRATION START DATE REGISTRATION END DATE SAQA DECISION NUMBER
Reregistered  2018-07-01  2023-06-30  SAQA 06120/18 
LAST DATE FOR ENROLMENT LAST DATE FOR ACHIEVEMENT
2024-06-30   2027-06-30  

In all of the tables in this document, both the pre-2009 NQF Level and the NQF Level is shown. In the text (purpose statements, qualification rules, etc), any references to NQF Levels are to the pre-2009 levels unless specifically stated otherwise.  

This unit standard does not replace any other unit standard and is not replaced by any other unit standard. 

PURPOSE OF THE UNIT STANDARD 
Purpose:

This unit standard will enable learners to outline and discuss the philosophy of Supply Chain Management. The person accredited with this unit standard will demonstrate a clear understanding of the concepts of Supply Chain, Supply Chain Management, Supply Management, Procurement, Operations, Distribution and Logistics. They will be able to debate these concepts and compare the philosophy of Supply Chain Management with traditional business models giving practical examples of the advantages and disadvantages of adhering to a Supply Chain Philosophy. Competent learners will also demonstrate understanding of the challenges facing organisations when they attempt to implement a Supply Chain Based business model and give some recommendations on a possible change process that could lead organisations towards reaping the benefits of implementing the Supply Chain approach to work.

A learner credited with this unit standard will be able to:
  • Interrogate the inter-relationship between the concept of Supply Chain Management and Demand, Acquisitions, Distribution and Logistics.
  • Map the Supply Chain and describe the benefits of applying the philosophy.
  • Identify areas within a supply chain that require improvements.

    Range:

    This unit standard covers the following:
  • The definitions of Supply Chain, Supply Chain Management and other related concepts.
  • The typical problems and challenges facing organisations when they try to improve the effectiveness of the supply chain.
  • The inter-relationships of all supply chain processes.

    The intention is to expose the learners to a range of thinking around the concepts of Supply Chain Management and to enable them to freely debate these issues indicating the inter-relationships of the various processes and clearly distinguishing between procurement, supply management, operations, distribution and logistics. 

  • LEARNING ASSUMED TO BE IN PLACE AND RECOGNITION OF PRIOR LEARNING 
  • Communication at NQF Level 4.
  • The execution of supervisory tasks.
  • Mathematical Literacy at NQF Level 4.
  • Basic understanding of the Supply Chain Philosophy. 

  • UNIT STANDARD RANGE 
    N/A 

    Specific Outcomes and Assessment Criteria: 

    SPECIFIC OUTCOME 1 
    Interrogate the inter-relationship between the concept of Supply Chain Management and Demand, Acquisitions, Distribution and Logistics. 

    ASSESSMENT CRITERIA
     

    ASSESSMENT CRITERION 1 
    The definition of Supply Chain Management is analysed in order to demonstrate an understanding of the challenges facing organisations when they attempt to implement a supply chain. 

    ASSESSMENT CRITERION 2 
    The evolution of the concept of supply chain management is analysed to inform recommendations on a possible change process that would benefit organisations. 

    ASSESSMENT CRITERION 3 
    The concepts of demand, acquisition, distribution and disposal are analysed. 

    ASSESSMENT CRITERION 4 
    The logistics function is analysed in order to demonstrate an understanding of change processes facing organisations. 

    ASSESSMENT CRITERION 5 
    Supply chain management is evaluated to determine its impact on organisational objectives. 

    SPECIFIC OUTCOME 2 
    Map the Supply Chain and describe the benefits of applying the philosophy. 

    ASSESSMENT CRITERIA
     

    ASSESSMENT CRITERION 1 
    The strategic, tactical and operational issues in supply chain management are identified to describe the relationship of each to the philosophy. 

    ASSESSMENT CRITERION 2 
    The importance of information exchange across the supply chain is discussed to highlight its impact on reaching strategic business imperatives. 

    ASSESSMENT CRITERION 3 
    Key steps are outlined to determine potential challenges in creating an effective supply chain. 

    ASSESSMENT CRITERION 4 
    The purchasing function in organisations is analysed to reflect its importance for the supply chain. 

    ASSESSMENT CRITERION 5 
    A value analysis is conducted to provide guidelines for ethical behaviour in purchasing. 

    ASSESSMENT CRITERION 6 
    Supplier partnerships are examined to reflect how they are advantageous to an organisation. 

    ASSESSMENT CRITERION 7 
    A map of a supply chain is produced to indicate its location within a specific organisation. 

    ASSESSMENT CRITERION 8 
    Relationships between the various processes in the supply chain are evaluated in order to reflect ways of applying the supply chain philosophy. 

    SPECIFIC OUTCOME 3 
    Identify areas within a supply chain that require improvements. 

    ASSESSMENT CRITERIA
     

    ASSESSMENT CRITERION 1 
    Improvements are measured against their benefits and possible drawbacks to the supply chain. 

    ASSESSMENT CRITERION 2 
    The typical challenges facing each of the supply chain processes are examined to determine improvement requirements. 

    ASSESSMENT CRITERION 3 
    Possible ways in which the process challenges can be addressed are identified through the application of the supply chain philosophy. 

    ASSESSMENT CRITERION 4 
    The application of a Supply Chain Management Philosophy is assessed to determine how it contributes to addressing specific challenges faced by demand, acquisition, distribution and disposal. 


    UNIT STANDARD ACCREDITATION AND MODERATION OPTIONS 
  • Any institution offering learning that will enable achievement of this unit standard must be accredited by the relevant ETQA.
  • Moderation of assessment will be overseen by the relevant ETQA at its discretion.
  • Moderation should encompass achievement of competence described in both individual unit standards as well as the integrated competence described in the qualification. 

  • UNIT STANDARD ESSENTIAL EMBEDDED KNOWLEDGE 
  • What is meant by Supply Chain.
  • What is meant by inbound and outbound logistics.
  • The evolution of the concept of Supply Chain Management.
  • The factors impacting on the Supply Chain {Reduced number of suppliers, Increased Competition, Shorter Product Life Cycle, Increased Supplier Managed inventories, Increased consignment inventories, advances in technology (Quick Response and Efficient Consumer response) , shared/reduced risk}.
  • The requirements of a successful supply chain.
  • The role of logistics in the supply chain.
  • The concept of "disinter mediation".
  • The need for supply chain management.
  • The benefits of effective supply chain management.
  • The elements of Supply Chain Management.
  • The typical issues that supply chain management must deal with.
  • What it means to optimise the supply chain.
  • The challenges facing the implementation of a supply chain management philosophy.
  • The interface between supply chain management and purchasing.
  • The impact of SCM on supplier management.
  • The impact of e-business on SCM.
  • The concept of (CPFR) Collaborative Planning, forecasting and Replenishment).
  • The concept and importance of strategic partnering.
  • The importance of the performance drivers (Quality, cost, flexibility, velocity and customer service).
  • Who all the stakeholders are within the supply chain.
  • The roles and expectations of each of these stakeholders.
  • What the various supply chain processes are.
  • The relationship between the various processes.
  • The different interface areas and interactions of procurement with the other processes in the supply chain.
  • The different purchasing methods (tendering, quotations and e-purchasing).
  • How the different purchasing processes are applicable in different situations.
  • The types and use of contracts in the procurement process.
  • The basic ordering processes.
  • The need for expediting and how it influences the supply chain processes.
  • The possible causes for schedule changes and how this impacts on the supply chain.
  • What courses of action can be taken to deal with schedule changes.
  • Why supplier performance evaluation is important.
  • What good supplier performance evaluation criteria are.
  • The difference between deal making and negotiations and how this impacts on Supply Chain management.
  • The negotiation process and the steps in ensuring successful negotiations. 

  • UNIT STANDARD DEVELOPMENTAL OUTCOME 
    N/A 

    UNIT STANDARD LINKAGES 
    N/A 


    Critical Cross-field Outcomes (CCFO): 

    UNIT STANDARD CCFO IDENTIFYING 
    Identifying and solving problems in which responses display that responsible decisions using critical and creative thinking have been made when:
  • Demonstrate their ability to solve problems associated with the various components of the supply chain through the application of the Supply Chain Management philosophy. 

  • UNIT STANDARD CCFO WORKING 
    Working effectively with others as a member of a team, group, organisation, and community during:
  • The development of the philosophy of the Supply Chain Management Function in line with identified market, industry and business requirements. 

  • UNIT STANDARD CCFO ORGANISING 
    Organising and managing oneself and one's activities responsibly and effectively through:
  • Identifying the typical issues that supply chain management must deal with. 

  • UNIT STANDARD CCFO COLLECTING 
    Collecting, analysing, organising and critically evaluating information when:
  • Collecting information on the supply chain management environment and the elements of supply chain management. 

  • UNIT STANDARD CCFO COMMUNICATING 
    Communicating effectively using visual, mathematical and/or language skills in the modes of oral and/or written persuasion when:
  • Clarifying interrelatedness with relevant stakeholders. 

  • UNIT STANDARD CCFO SCIENCE 
    Using science, technology and indigenous knowledge effectively and critically, showing responsibility towards the environment and health of others through:
  • Presenting findings to relevant stakeholders. 

  • UNIT STANDARD CCFO DEMONSTRATING 
    Demonstrating an understanding of the world as a set of related systems by recognising that problem-solving contexts do not exist in isolation when:
  • Demonstrate that they see the world as a set of related systems by indicating what the cause and effect relationships are between the various components of the supply chain and how the basic supply chain processes interact with each other. 

  • UNIT STANDARD ASSESSOR CRITERIA 
    N/A 

    REREGISTRATION HISTORY 
    As per the SAQA Board decision/s at that time, this unit standard was Reregistered in 2012; 2015. 

    UNIT STANDARD NOTES 
    N/A 

    QUALIFICATIONS UTILISING THIS UNIT STANDARD: 
      ID QUALIFICATION TITLE PRE-2009 NQF LEVEL NQF LEVEL STATUS END DATE PRIMARY OR DELEGATED QA FUNCTIONARY
    Core  74149   National Certificate: Supply Chain Management  Level 5  NQF Level 05  Reregistered  2023-06-30  TETA 
    Elective  67460   National Diploma: Public Administration  Level 6  NQF Level 06  Reregistered  2023-06-30  As per Learning Programmes recorded against this Qual 


    PROVIDERS CURRENTLY ACCREDITED TO OFFER THIS UNIT STANDARD: 
    This information shows the current accreditations (i.e. those not past their accreditation end dates), and is the most complete record available to SAQA as of today. Some Primary or Delegated Quality Assurance Functionaries have a lag in their recording systems for provider accreditation, in turn leading to a lag in notifying SAQA of all the providers that they have accredited to offer qualifications and unit standards, as well as any extensions to accreditation end dates. The relevant Primary or Delegated Quality Assurance Functionary should be notified if a record appears to be missing from here.
     
    1. Academics Dynamics (Pty) Ltd 
    2. Aldabri 106 Institute for Quality Pty Ltd 
    3. Andebe Training and Skills Development 
    4. BPL Academy 
    5. Brilliant Skills Development & Training Solutions 
    6. Centre for Logistics Excellence (Pty) Ltd 
    7. College for Business and Maritime Studies 
    8. College of Production Technology 
    9. COMMERCE EDGE SOUTH AFRICA PTY LTD 
    10. D AND D LWAZI RENAISSANCE RESEARCH DEVELOPMENT INSTITUTE 
    11. Global Maritime Legal Solutions Pty Ltd 
    12. Innovative Shared Services 
    13. KVR TRAINING AND BUSINESS SOLUTIONS PTY LTD 
    14. Makwedeng Training 
    15. Metro Minds 
    16. Phephani Learnerships cc 
    17. Pro-Active Assessment and RPL College (Pty) Ltd 
    18. School of Shipping 
    19. Skills Development Specialists 
    20. UKWAKHILE TRAINING 
    21. Y2K College 



    All qualifications and part qualifications registered on the National Qualifications Framework are public property. Thus the only payment that can be made for them is for service and reproduction. It is illegal to sell this material for profit. If the material is reproduced or quoted, the South African Qualifications Authority (SAQA) should be acknowledged as the source.