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: 

Design a distribution network 
SAQA US ID UNIT STANDARD TITLE
336703  Design a distribution network 
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 replaces: 
US ID Unit Standard Title Pre-2009 NQF Level NQF Level Credits Replacement Status

PURPOSE OF THE UNIT STANDARD 
This Unit Standard will enable learners to design a distribution network. People credited with this unit standard will be able to design the distribution route from sources to customers.

A learner credited with this unit standard will be able to:
  • Establish distribution relationships with different stakeholders.
  • Design a distribution network.
  • Analyse the difference between distribution channels and distribution networks. 

  • LEARNING ASSUMED TO BE IN PLACE AND RECOGNITION OF PRIOR LEARNING 
    The credit calculation is based on the assumption that learners are already competent in terms of the It is assumed that learners are competent in:
  • Communication at NQF Level 5.
  • Mathematical Literacy at NQF Level 4.
  • Understanding of the supply chain philosophy. 

  • UNIT STANDARD RANGE 
    N/A 

    Specific Outcomes and Assessment Criteria: 

    SPECIFIC OUTCOME 1 
    Establish distribution relationships with different stakeholders. 

    ASSESSMENT CRITERIA
     

    ASSESSMENT CRITERION 1 
    The various stakeholders involved in a distribution channel are identified in terms of their role in ensuring the effectiveness of the distribution process. 

    ASSESSMENT CRITERION 2 
    The types of relationships that can exist within the distribution channel are evaluated to determine their purpose in a distribution network. 

    ASSESSMENT CRITERION 3 
    Distribution relationships are established in accordance with the benefits for the organisation. 

    ASSESSMENT CRITERION 4 
    Distribution relationships are linked to specific supply chains within the organisation. 

    SPECIFIC OUTCOME 2 
    Design a distribution network. 

    ASSESSMENT CRITERIA
     

    ASSESSMENT CRITERION 1 
    A distribution network is designed through estimating the impact of the various demand and supply strategies on the distribution network. 
    ASSESSMENT CRITERION RANGE 
    Demand and supply strategies include centralised vs. decentralized.
     

    ASSESSMENT CRITERION 2 
    The design process includes the characteristics of centralised and decentralized distribution through utilising the advantages and addressing the disadvantages of each of these strategies for the organisation. 

    ASSESSMENT CRITERION 3 
    The design process includes other strategies to optimise the effectiveness of the distribution network 
    ASSESSMENT CRITERION RANGE 
    Other strategies include but are not limited to direct shipping, consolidation, bulk breaking.
     

    ASSESSMENT CRITERION 4 
    The financial impact of various distribution alternatives is evaluated to determine their influence on the success of the organisation. 

    ASSESSMENT CRITERION 5 
    Various ownership options in distribution are defined and analysed to reflect how they would contribute to the success of the distribution network 
    ASSESSMENT CRITERION RANGE 
    Options include but not limited to Full ownership, lease, sub contracting, consignment stock.
     

    ASSESSMENT CRITERION 6 
    The design process includes the financial and business advantages and disadvantages of the various ownership options within distribution. 

    ASSESSMENT CRITERION 7 
    The types of distribution centres are selected in accordance with distribution requirements. 

    SPECIFIC OUTCOME 3 
    Analyse the difference between distribution channels and distribution networks. 

    ASSESSMENT CRITERIA
     

    ASSESSMENT CRITERION 1 
    The difference between distribution channels and networks is analysed to indicate how each fits into the distribution process. 

    ASSESSMENT CRITERION 2 
    The analysis process reflects the requirements of a distribution channel and network that is appropriate for specific market conditions. 

    ASSESSMENT CRITERION 3 
    The analysis process is completed in accordance with a given organisational strategy and marketing plans. 

    ASSESSMENT CRITERION 4 
    The results are communicated to all stakeholders within the supply chain management environment. 


    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 
  • Understanding of what a distribution network is.
  • Understanding the trends in distribution channel design.
  • Who the distribution members/stakeholders are.
  • Understanding the role of intermediaries within the distribution channel.
  • Understanding the functions and activities performed by intermediaries.
  • Understanding the implications of distribution structure decisions.
  • Understanding the concepts of franchising and how it impacts on distribution channel design.
  • Understanding how the concept of total cost of ownership will impact on distribution channel design.
  • Understanding the value chain in distribution channels.
  • Understanding the factors that influence the selection of distribution members.
  • Understanding the behavioural process in distribution channels.
  • Understanding the potential conflicts associated with distribution channel design.
  • Understanding the financial implications of various design decisions. 

  • 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:
  • Analysing the difference between a distribution channel and a distribution network. 

  • UNIT STANDARD CCFO WORKING 
    Working effectively with others as a member of a team, group, organisation, and community during:
  • Researching the trends in the distribution environment. 

  • UNIT STANDARD CCFO ORGANISING 
    Organising and managing oneself and one's activities responsibly and effectively through:
  • Effective collaboration with all stakeholders. 

  • UNIT STANDARD CCFO COLLECTING 
    Collecting, analysing, organising and critically evaluating information when:
  • Collect and critically evaluate the organisational strategy, marketing plan and market conditions to develop appropriate distribution networks and channels that will make financial sense for the organisation and contribute towards the optimisation of the supply chain. 

  • UNIT STANDARD CCFO COMMUNICATING 
    Communicating effectively using visual, mathematical and/or language skills in the modes of oral and/or written persuasion when:
  • Communicating finings to all 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 to senior management. 

  • 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:
  • Relate the distribution network and channel design to the rest of the supply chain taking into consideration the cause and effect relationships of decisions made. 

  • 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 
    This Unit Standard replaces Unit Standard 256418, "Do distribution network design", NQF Level 6, 12 Credits. 

    QUALIFICATIONS UTILISING THIS UNIT STANDARD: 
      ID QUALIFICATION TITLE PRE-2009 NQF LEVEL NQF LEVEL STATUS END DATE PRIMARY OR DELEGATED QA FUNCTIONARY
    Elective  74149   National Certificate: Supply Chain Management  Level 5  NQF Level 05  Reregistered  2023-06-30  TETA 


    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. Global Maritime Legal Solutions Pty Ltd 
    11. Innovative Shared Services 
    12. KVR TRAINING AND BUSINESS SOLUTIONS PTY LTD 
    13. Metro Minds 
    14. Phephani Learnerships cc 
    15. Pro-Active Assessment and RPL College (Pty) Ltd 
    16. School of Shipping 
    17. Skills Development Specialists 
    18. UKWAKHILE TRAINING 
    19. 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.