The java giant closed all stores for racial bias training after tw.docx

The java giant closed all stores for racial bias training after two
black men were arrested in Philadelphia earlier this year.
April 12Two black men are arrested by Philadelphia police after
a Starbucks manager called 911, claiming they were trespassing.
A video of the incident quickly goes viral, leading critics to
question why the men were arrested and whether race played a
factor.
April 14The Philadelphia mayor’s office and police department
launch separate investigations.
Andrew Yaffe, a friend of the arrested men, says he was
meeting them at Starbucks for a business meeting. Yaffe is a
real estate investor.
Starbucks apologizes to the arrested customers, promising
action to shore up in-store practices.
April 16Protesters demonstrate outside the Starbucks location in
Philadelphia. The café manager behind the call eventually
leaves the company.
A video of a black man being denied access to a bathroom in a
California Starbucks after a white man was given access goes
viral.
April 17Starbucks says it will close its 8,000-plus locations on
the afternoon of May 29 to hold training for its almost 175,000
employees.
The curriculum will be developed with a range of experts in
countering racial bias. The company goes into damage control,
releasing a video statement from CEO Kevin Johnson and lining
up interviews with media.
April 18The Philadelphia store manager that called 911 is
identified as Holly Hylton. Her past Facebook posts on Spanish-
speaking customers and treatment of employees attract the
media’s attention.
Audio of the 911 call is released. Hylton reportedly didn’t warn
the two black men she would call the police. Starbucks

executive chairman Howard Schultz is interviewed by CBS’
Gayle King. He says he’s "ashamed" by the incident.
The men arrested are identified as Rashon Nelson and Donte
Robinson.
April 19Nelson and Robinson say they feared for their lives.
They add they met with CEO Johnson.
April 22More than 100 members of Omega Psi Phi protest
outside the Starbucks where former member Nelson was
arrested.
April 26
Johnson says the incident hasn’t hurt sales.
April 30
Starbucks drops the Anti-Defamation League from its racial bias
training, saying it will serve in an advisory capacity.
May 2
Nelson and Robinson settle with Philadelphia for $1 each. City
officials promise to set up a $200,000 program for young
entrepreneurs.
Starbucks also offers to cover full tuition for Nelson and
Robinson’s studies at Arizona State University.
May 29
Starbucks closes nationwide for a four-hour training session
featuring a film by Stanley Nelson. It costs $16.7 million in lost
sales.
Conclusion: Mixed
Starbucks apologized and took action, but may have spread
damage by including, then excluding, the Anti-Defamation
League.Takeaways
The initial apology didn’t sufficiently grasp the severity of the
action. The store closure follow-up was a grand gesture that
went some way to healing the wounds.
The situation was spiraling by the time Starbucks made its
second statement. That three-day delay cost the company some
traction.

Learner Guide: TLIR5014
Manage suppliers
TLIR5014 LEARNER GUIDE 2 | P a g e Version 2.5
Version control
Version No. Date Dept. Change
1.0 06/06/2016 Training Original
2.0 06/06/2016 Training Updated content
2.5 18/11/2016 Training Updated content

Copyright Statement
© Copyright National Training
Disclaimer
All rights reserved. No part of this publication may be
reproduced or
transmitted in any form or by any means, electronic or
mechanical,
including photocopying, scanning, recording, or any
information storage
retrieval system without permission in writing from National
Training. No
patent liability is assumed with respect to the use of information
used
herein.
While every effort has been taken in the preparation of this
publication,
the publisher and authors assume no responsibility for errors or
omissions. Neither is any liability assumed for damages
resulting from the
use of information contained herein.
Contents
TLIR5014 Unit Description

...............................................................................................
....................... 5
Application of Unit
...............................................................................................
................................... 5
Element and Performance Criteria
...............................................................................................
.......... 5
Performance Evidence
...............................................................................................
............................. 6
Knowledge Evidence
...............................................................................................
................................ 6
Manage Suppliers Introduction
...............................................................................................
............... 7
Role of Supply or Contract
Manager..................................................................................
..................... 7
Contract Management Plan
...............................................................................................
..................... 8
Probity
Check.....................................................................................
..................................................... 8
Section 1 Assess Suppliers and Build Productive Relationship

..............................................................9
Be Trustworthy with Suppliers
...............................................................................................
................ 9
Care about the Other Person
...............................................................................................
................... 9
Commit to Excellence in Your Process
...............................................................................................
... 10
Use Adventure to Grow a Relationship
...............................................................................................
. 10
Be Honest and Trustworthy in All Discussions
...................................................................................... 10
Financial Viability Must Be Considered
...............................................................................................
.. 11
Terms and Conditions of Supply
...............................................................................................
............ 11
Policy and Procedures Review
...............................................................................................
............... 11
Have a Firm Knowledge of Your Suppliers
............................................................................................
11

What is
‘KEIRETSU’?.........................................................................
..................................................... 12
Section 2 Evaluate Delivery of Goods and/or Services against
Agreements ........................................ 13
Establish Performance Indicators
...............................................................................................
.......... 13
Possible Numeric Ranking System
............................................................................................. ..
......... 14
Classify Multiple Suppliers and Vendors
...............................................................................................
15
Develop an Evaluation Method
...............................................................................................
............. 15
Maintain Good Relationships
...............................................................................................
................ 16
Decide When to Issue a Warning or Red Flag
....................................................................................... 16
Remove Poor
Suppliers.................................................................................
........................................ 17
Monitoring by Customers a Good Process

...........................................................................................
17
Independent 3rd Party
Monitoring..............................................................................
......................... 17
Section 3 – Negotiate Arrangements with Suppliers
.......................................................................... 18
Manage Your Time in Negotiation
...............................................................................................
......... 18
Prepare Open Questions
...............................................................................................
....................... 18
Design a Strategy Route Map
.................................................................................. .............
................ 19
Consider Style & Personality
...............................................................................................
.................. 19
Define Your Targets
...............................................................................................
............................... 19
List Your Tactics
...............................................................................................

..................................... 20
Rehearse Your Opening Statement
...............................................................................................
....... 20
Section 4 Resolve Disagreements or Conflict with Suppliers
.............................................................. 21
Move from ‘Arm’s length’ deals to Alliance Relationships
................................................................... 21
Trust in the Relationship
...............................................................................................
........................ 22
Fail to Supply
...............................................................................................
......................................... 22
Model of Buyer Supplier Conflict
...............................................................................................
........... 23
Government Legislation
...............................................................................................
........................ 24
Competition and Consumer Act
...............................................................................................
............ 24
Fair Trading Laws in Your State or Territory
......................................................................................... 24
Laws Affecting International Contracts

...............................................................................................
. 24
Code of
Practice.................................................................... ...............
................................................. 25
Section 5 – Review Performance of Suppliers
.................................................................................... 26
The Auto Industry Comments
...............................................................................................
................ 26
TLIR5014 Unit Description

Application of Unit
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.
Element and Performance Criteria
1. Assess
suppliers and
build productive
relationships
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
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
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
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
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
Performance Evidence
Evidence of the ability to:
ectively with others when
managing suppliers
risk situations and environments
ising work activities in terms of
planned schedule
protocol
and signs relevant to managing
suppliers
ying identified problems, faults or
malfunctions promptly, in accordance
with regulatory requirements and workplace procedures

Knowledge Evidence
To complete the unit requirements safely and effectively, the
individual must:
ting and statistical analysis
systems and resources
code of conduct relevant to
procurement and supply contracts
suppliers
bity requirements and ethical issues
equipment
ory
requirements and codes of practice
related to procurement

Manage Suppliers Introduction
It makes no difference what business you are in, suppliers and
vendors play a key role in a company’s
success. Having a formalised system in place to track and
evaluate supplier and vendor performance is
essential to the smooth operation and profitability of the
company.
Successful companies embrace their suppliers and vendors,
viewing them as partners in helping to grow
the business. Making sure that this is a mutually beneficial
partnership will impact the price you are
negotiating today and the quality of service you get in future.
If a supplier/vendor is a key part or
service to your operation invite that supplier or vendor to
strategic meetings that involve the product
they sell. A common mistake companies make is to have a
combative relationship with their suppliers
and vendors.
Who manages suppliers in the organisation?
In a small company the owner of the business will
probably manage and negotiate with all suppliers in
both a formal and informal manner. In a medium sized
business, a nominated person or group of persons will
be responsible for managing all purchasing and supplier

relationships.
In government at all levels, the process could be
handled at multiple levels by multiple departments.
Managers of government departments will have
government credit cards to allow a purchased up to
$25,000 while a government Ministers may have a level
of $50,000 or similar credit card authority levels. All
government departments will have a group of persons
responsible for purchasing and tendering or contracting
purposes. These persons may be referred to as a
purchasing officer, procurement analyst, and supply
officer, item clerk, buying manager, supply manager or
contract manager.
Large mining companies may have a procurement department or
supply department that covers a large
region such as the Asia Pacific basin. With the internet and
reliable communication and lower labour
cost in third level countries, this is becoming a common
occurrence.
Role of Supply or Contract Manager
The supply or contract manager is responsible for ensuring that
the contracted goods and/or services
are delivered in accordance with the specification and the terms
of the contract, that all associated risks
are identified and managed and that effective communication is
maintained between all parties. The
supply or contract manager is also required to make
arrangements for the routine contract with the
supplier, administration functions, such as processing requests
for variation to the contract, handling
bank guarantees and security deposits and processing claims for

payment supported by invoices and
receiving documents. Processes will vary with different
organisations.
Contract Management Plan
A contract management plan contains all of the key information
about how the contract should be
managed. A contract management plan is an
essential tool in the proper management of
contracts. The contract manager should
regularly refer to the contract management plan
and should ensure that the plan is amended if
the circumstances change. Like all plans, it
should be a living document that changes to
reflect any changes in circumstances during the
operation of the contract.
The contract management plan should initially be
developed during the procurement or project
planning phase. It is usually further developed
and refined during contract formation activities
and may continue to be modified throughout the
period of the contract to reflect changes of
circumstances. Contracts may be for short,
medium and long term timeframes.
Probity Check
The buyer of goods or services should perform a probity check
that investigates the background of an

organisation (company or other corporate body) or individual to
determine their fitness to undertake a
specified activity for which authorisation is required.
Probity checks investigate the previous history and activities of
organisations and individuals, especially
but not only in respect of financial records and legal
involvements. The nature and detail of information
required for probity checks varies according to legislative
requirements and the type of activity for
which authorisation is required.
Section 1 Assess Suppliers and Build Productive Relationship
Most work environments require interacting with others. Some
people view these interactions as
separate events while others view them as enriching, ongoing
relationships. The truth is you get out of
your work relationships what you put into them.
There are four key behavior traits that contribute to building
strong relationships. You need to be

trustworthy, care about the other person, be committed to
excellence in your performance, bond
through adventure and be trustworthy.
Let’s look at each of these in more detail.
Be Trustworthy with Suppliers
It is important for you to do what you say. When you commit to
something others listen and then watch. They want to know if
you
can be trusted to deliver on your commitment or will you
dismiss
it. When delivering something will you deliver it as requested
and
on time or will it be incomplete or late.
Others also want to know if you are going to attempt personal
gain
at their expense. They will watch how you go about getting
things
you want, looking for methods or actions that take advantage of
others. Even if they are not involved, it will be a tell-tale sign
that
they need to watch their back when working with you.
Care about the Other Person
People want to know if you care about them as a person or see
them as an object or a means to an end.
No one wants to be viewed as a resource for someone else’s
consumption. They want to be known as a
unique individual with life experiences, emotions, and a choice
in their work demands. Showing

someone you care about them requires showing respect
regardless of their position in the company and
gaining general knowledge of who they are and what they like
and dislike.
In practice, this means scheduling a meeting or conversation
instead of just dropping in or calling.
Schedule in advance so you do not interrupt an ongoing
conversation or politely wait and then ask if it is
a good time to chat. Before you discuss any business
discussions ask them about their personal life.
When you are first building the relationship, ask general
questions
about their past and current experiences. Topics could include
family, hobbies, vacations, pets, past jobs, etc. As time goes on,
you can ask more specifics questions, but wait until you sense
trust
developing between the two of you.
Another way to show you care is to reflect back the information
you receive. If Sally tells you she has a big holiday starting
tomorrow, then make sure you ask her about it the next time you
see her. If Bill tells you his dog died, don’t forget about it and
then
ask him if he took his dog to the park a few weeks later. This is
all
part of caring for the other person.
Commit to Excellence in Your Process
Very few people like to work with low performers. You can’t

help but get a little upset from someone
else’s deficiencies and poor results. Working with a person who
is a low performer requires twice the
effort and time of a competent worker.
This is why your work attitude and quality of work affects your
work relationships. Committing to
excellence means showing initiative and not waiting for
someone else to point work out to you.
Having a can-do attitude signals you are not afraid of a
challenge and that you will carry your weight
when times get tough. Remember to be thorough and complete
when you declare something finished.
This will not only make you pleasant to work with, but it will
also inspire others to follow your
commitment to excellence.
Use Adventure to Grow a Relationship
Adventures are not all good or all bad; they are a mixture of
both. In a work environment, they are
always experienced with a group of people and have a general
beginning and end. Adventures never kill
us nor take us to nirvana and they usually have a central theme.
In our personal lives, adventures may
be vacations, kid’s sports teams, neighborhoods, community
efforts, etc.
In work environments, they may be projects, departments in
transition, recessions, building moves,
working with a very difficult person, etc. Adventures almost
always develop deeper bonds because they
are shared experiences that we get to survive together, laugh
and cry about, reminisce about, and to

some extent relive the emotions again.
Be Honest and Trustworthy in All Discussions
This sounds basic, but it goes beyond not lying to your
customers and employees. It’s about owning a
mistake when you make a mistake or mess up and admitting
when you’re wrong. It’s also about refusing
to pretend that you’re something you’re not. It requires
acknowledging the state of the business to your
employees and to customers.
It requires selling only what you can deliver effectively and
always living up to your word. Done
properly, this kind of honesty begets a tremendous amount of
loyalty from both customers and
employees. Both groups know they can trust you and more
importantly, that you value the integrity of
the relationship.
Asking who benefits from business honesty can explain why
virtue is also important. Examining the
negative effects of dishonest business practices provides insight
into the importance of honesty. In fact,
it is as helpful as looking at the benefits of business honesty.
Doing what is ethical because it is the right
thing to do is as essential as practicing ethical behaviour for the
positive consequences
Financial Viability Must Be Considered

Big companies can get into financial difficulties as quickly as
small
companies. When selecting a supplier for the organisation you
need
to determine if the supplier will be in business in both the short
and
long terms of the supply arrangements. With some commodities,
there may be a number of alternative suppliers that can fill in
the
supply gap. It the product is a specialised product or one that is
a
specialised manufacturer or supplier, financial viability is a key
decision to make. The process may be to have an accountant’s
opinion or and external credit agency provide an opinion on
their
financial viability.
Terms and Conditions of Supply
As a Purchasing person, you will need to determine the required
terms
and conditions of purchase. These organisation’s trading terms
are
usually printed on the back of a purchase order and covers most
legal
aspects of supply.
In contracts for major works the tender documents will set the
terms
and conditions that the buyer organisation requires. These
conditions
are used if there is a dispute for a delivery problem or issue.
Payment terms are mostly 30 or 60 days from date of purchase
while

delivery timeframes will usually set a date such as 25 November
or
seven (7) days from date of purchase. For purchased overseas
the lead time or delivery time will be
longer compared to a local supply and delivery.
Policy and Procedures Review
As part of selecting a supplier the purchasing officer should
ensure that the supplier has policy and
procedures to cover their business operations. This should
include legislation requirements, insurances,
customer service, quality control and other processes covering
their operations.
Have a Firm Knowledge of Your Suppliers
Do you have good knowledge of your suppliers? It is important
to have a wide range of knowledge and
skills to be involved in purchasing and be aware of your
business environment. Some suppliers’ operate
under different business names but are all owned by a single
parent company. An example is where
there may be three suppliers of personal protective equipment
(PPE) all trading under different names
and addresses. When further investigation is done they are all
owned by the same head office company.
If you are working on a larger or global purchasing environment
such as a mining company, the
purchasing department needs to be aware of the global
structures of the supplier. The information
about “keiretsu” in Japan is most interesting.

What is ‘KEIRETSU’?
This is a Japanese term describing a loose conglomeration of
firms sharing one or more common
denominators. The companies don’t necessarily need to own
equity in each other’s organisations.
Copyright © 1996 Zona Research Inc.
This term has been in the business news every now and then,
especially when they talk about Silicon
Valley. One example would be the close relationship between
AOL (America on Line) and Sun Micro. The
two firms don’t have ownership in each other, but they work
closely on various projects.
Japan’s corporate governance system known as a “keiretsu’
dates back to the 1600s, but was propelled
by the Japanese government’s newly formed Meiji Restoration
in 1866 as the world entered the
industrial revolution. These early corporate formations were
termed “zaibatsu,” translated to English as
monopoly.
Zaibatsu’s began as small, family-owned enterprises that formed
in various Prefectures across Japan to
specialize in the separate business needs of the nation. As
Japan’s economy grew, zaibatsu grew to later
form into holding companies.
When the U.S. rewrote the Japanese constitution after World

War II, the United States and the Allies
eliminated zaibatsu holding companies because of their
undemocratic nature as monopolies, and
Japanese governmental policies that perpetuated their existence.
Under a zaibatsu, the largest industrial groups allowed banks
and trading companies to be the most
powerful aspects of each of the cartels and sit at the top of an
organizational chart. Banks and trading
companies controlled all financial operations and the
distribution of goods. The original founding
families were in full control of all “Cartel” operations.
Typical of a Japanese horizontal keiretsu is Mitsubishi where
the Bank of Tokyo-Mitsubishi sits at the top
of the keiretsu. Also part of the core group is Mitsubishi Motors
and Mitsubishi Trust and Banking
followed by Meiji Mutual Life Insurance Company which
provides insurance to all members of the
keiretsu. Mitsubishi Shoji is the trading company for the
Mitsubishi keiretsu. Their purpose of this
structure is to manage the distribution of goods around the
world.
As a person responsible for managing suppliers you need to
understand relationship of your potential or
current suppliers and who they may be linked to or not linked
to. You may find that your current PPE
Physical
and
Broadcast
Info Keiretsu Structure

Sofware and
Hardware
Passive
Chaos
Content Delivery Consumption
supplier will be linked to another PPE supplier although trading
under different names. Within the hotel
chains there are five hotel groups all in competition with each
other and who trade under different
trading names. The parent company is the Accor group. Their
names are Mercure, Pullman, Formula 1
and others in their chain.
Section 2 Evaluate Delivery of Goods and/or Services against
Agreements
A lot of companies will actually have an adversarial
relationship where they hire purchasing people who
have on brass knuckles and try to beat up on suppliers or
vendors to get better prices or trading terms.
This is a very short sighted way to do business.
Instead of getting stuck on price, focus on quality of service or
value adding. A supplier can have the
lowest price and the lowest quality of work too. Your goal is
understand what value-adding the supplier …

PURCHASING CONTRACT
(the "Agreement") dated this _______________, ___ / ___ /
20___
BETWEEN:
(the 'Seller')
OF THE FIRST PART
-AND-
National Camper Trailers Pty Ltd. of 6 Gumnut Drv. Dandenong
South. Victoria 3175
(the 'Purchaser')
OF THE SECOND PART
IN CONSIDERATION OF THE COVENANTS and agreements
contained in this Sales Agreement, the parties to this Agreement
agree as follows:
Sale of Goods
1. The Seller will sell, transfer and deliver to the Purchaser
based on individual future orders the following goods (the
'Goods'):
2.1 (Item Description)
2.2 (Item Description)
Purchase Price
3. The Purchaser will accept the Goods and pay for the
Goods based on individual future orders to be paid as follows
for the life of the contract:
a) down payment of 25% of total order and
b) the remainder of the purchase price by bank draft on net 15
terms within 30 days of delivery
c) Agreed price item 2.1 (Purchase price 2.1)

d) Agreed price item 2.2 (Purchase price 2.1)
4. The Seller and the Purchaser both acknowledge the
sufficiency of this consideration. In addition to the purchase
price specified in this Agreement, the amount of any present or
future sales, use, excise or similar tax applicable to the sale of
the Goods will be paid by the Purchaser, or alternatively, the
Purchaser will provide the Seller with a tax exemption
certificate acceptable to the applicable taxing authorities.
5. The Purchaser will make payment for the Goods at the
time when, and at the place where, the Goods are received by
the Purchaser or, in the alternative, when any document of title
or registrable bill of sale, bearing any necessary endorsement, is
tendered to the Purchaser.
Delivery of Goods
6. The Goods will be delivered to the Purchaser at 6
Gumnut Drv. Dandenong Victoria. The method of shipment will
be within the discretion of the Purchaser. However, the Seller
will only be responsible for the lesser of truck fright or rail
freight to the Purchaser.
Risk of Loss
7. Risk of loss will be on the Purchaser from the time of
delivery to the carrier. The Purchaser will provide at its expense
insurance on the Goods insuring the Seller's and the Purchaser's
interest as they appear, until payment in full to the Seller.
Warranties
8.
THE GOODS ARE SOLD 'AS IS' AND THE SELLER EXPRES
SLY DISCLAIMS ALL WARRANTIES, WHETHER EXPRESS
OR IMPLIED, INCLUDING BUT NOT LIMITED TO, ANY
IMPLIED WARRANTY OF MERCHANTABILITY OR
FITNESS FOR A PARTICULAR PURPOSE. The Seller does not
assume, or authorize any other person to assume on the behalf
of the Seller, any liability in connection with the sale of the
goods. The Seller's above disclaimer of warranties does not, in
any way, affect the terms of any applicable warranties from the

manufacturer of the Goods.
9. The Purchaser has been given the opportunity to inspect
the Goods or have it inspected and the Purchaser has accepted
the Goods in its existing condition. Further, the Seller disclaims
any warranty as to the condition of the Goods.
Title
10. Title to the Goods will remain with the Seller until
delivery and actual receipt of the Goods by the Purchaser or, in
the alternative, the Seller delivers a document of title or
registrable Bill of Sale of the Goods, bearing any necessary
endorsement, to the Purchaser.
Security Interest
11. The Seller retains a security interest in the Goods until
paid in full.
Inspection
12. Inspection will be made by the Purchaser at the time
and place of delivery.
Claims
13. The Purchaser's failure to give notice of any claim
within 10 days from the date of delivery will constitute an
unqualified acceptance of the Goods and a waiver by the
Purchaser of all claims with respect to the Goods.
Excuse for Delay or Failure to Perform
14. The Seller will be liable in any way for any delay, non-
delivery or default in shipment due to labour disputes,
transportation shortage, delays in receipt of material, priorities,
fires, accidents and other causes beyond the control of the
Seller or its suppliers.
If the Seller, in its sole judgment, will be prevented directly or
indirectly, on account of any
cause beyond its control, from delivering the
Goods at the time specified or within one month after the date
of this Agreement, then the Purchaser will have the right to
terminate this Agreement by notice in writing to the Seller,
which notice will be accompanied by full refund of all sums

paid by the Purchaser pursuant to this Agreement.
Remedies
15. The Purchaser's exclusive remedy and the Seller's limit
of liability for any and all losses or damages resulting from
defective goods or from any other cause will be for the purchase
price of the particular delivery with respect to which losses or
damages are claimed, plus any transportation charges actually
paid by the Purchaser.
Cancellation
16. The Seller reserves the right to cancel this Agreement:
a. if the Purchaser fails to pay for any shipment when due;
b. in the event of the Purchaser’s insolvency or bankruptcy;
or
c. if the Seller deems that its prospect of payment is
impaired.
Notices
17. Any notice to be given or document to be delivered to
either the Seller or Purchaser pursuant to this Agreement will be
sufficient if delivered personally or sent by prepaid registered
mail to the address specified below. Any written notice or
delivery of documents will have been given, made and received
on the day of delivery if delivered personally, or on the third
(3rd) consecutive business day next following the date of
mailing if sent by prepaid registered mail:
SELLER: (Sellers Address)
PURCHASER: 6 Gumnut Drv. Dandenong South. Victoria
3175
General Provisions
18. Headings are inserted for the convenience only and are
not to be considered when interpreting this Agreement. Words
in the singular mean and include the plural and vice versa.

Words in the masculine mean and include the feminine and vice
versa.
19. All and warranties of the Seller contained in this
Agreement will survive the closing of this Agreement.
20. The Purchaser may not assign its right or delegate its
performance under this Agreement without the prior written
consent of the Seller, and any attempted assignment or
delegation without such consent will be void. An assignment
would change the duty imposed by this Agreement, would
increase the burden or risk involved and would impair the
chance of obtaining performance or payment.
21. This Agreement cannot be modified in any way except in
writing signed by all the parties to this Agreement.
22. This Agreement will be governed by and construed in
accordance with the laws of the State of Victoria Australia.
23. If any clause of this Agreement is held unconscionable
by any court of competent jurisdiction, arbitration panel or
other official finder of fact, the clause will be deleted from this
Agreement and the balance of this Agreement will remain in full
force and effect.
24. This Agreement will inure to the benefit of and be
binding upon the Seller and the Purchaser and their respective
successors and assigns.
25. This Agreement may be executed in counterparts.
Facsimile signatures are binding and are considered to be
original signatures.
26. Time is of the essence in this Agreement.
27. This Agreement constitutes the entire agreement between
the parties and there are no further items or provisions, either
oral or otherwise. The Purchaser acknowledges that it has not
relied upon any representations of the Seller as to prospective
performance of the Goods, but has relied upon its own
inspection and investigation of the subject matter.
IN WITNESS WHERE OF: -

the parties have executed this Purchase Agreement on this 21st
day of June, 2015.
(Witness for the Seller)
per: _____________________________________________
National Camper Trailers Pty Ltd.
per: _____________________________________________
National Camper Trailer Pty Ltd is a fictional company created
for educational and training purposes only.
Customer Service Charter V:1: June 2016 Page 1 of 3
PURCHASING CONTRACT ~ AWWM Pty Ltd
(the "Agreement") dated this 21st day of June, 2015
BETWEEN:
Australian Widgets and Wodgets Manufacturing Pty Ltd of 29
Manufacturing Boulevard Narre Warren South Victoria 3805
(the 'Seller')
OF THE FIRST PART
-AND-
National Camper Trailers Pty Ltd. of 6 Gumnut Drv. Dandenong
South. Victoria 3175
(the 'Purchaser')
OF THE SECOND PART
IN CONSIDERATION OF THE COVENANTS and agreements
contained in this Sales Agreement, the parties to this Agreement
agree as follows:

Sale of Goods
1. The Seller will sell, transfer and deliver to the Purchaser
based on individual future orders the following goods (the
'Goods'):
2.1 Single Axle UN-BRAKED Trailer Kit 1400kg Rating with
EYE TO EYE SPRINGS 45X8MM!
2.2 1000KG Mechanical Drum Brake Single Axle Trailer Kit
with Slipper springs 1T
Purchase Price
3. The Purchaser will accept the Goods and pay for the
Goods based on individual future orders to be paid as follows
for the life of the contract:
a) down payment of 25% of total order and
b) the remainder of the purchase price by bank draft on net 15
terms within 30 days of delivery
c) Agreed price item 2.1 $335.00
d) Agreed price item 2.2 $515.00
4. The Seller and the Purchaser both acknowledge the
sufficiency of this consideration. In addition to the purchase
price specified in this Agreement, the amount of any present or
future sales, use, excise or similar tax applicable to the sale of
the Goods will be paid by the Purchaser, or alternatively, the
Purchaser will provide the Seller with a tax exemption
certificate acceptable to the applicable taxing authorities.
5. The Purchaser will make payment for the Goods at the
time when, and at the place where, the Goods are received by
the Purchaser or, in the alternative, when any document of title
or registrable bill of sale, bearing any necessary endorsement, is
tendered to the Purchaser.
Delivery of Goods
6. The Goods will be delivered to the Purchaser at 6
Gumnut Drv. Dandenong Victoria. The method of shipment will

be within the discretion of the Purchaser. However, the Seller
will only be responsible for the lesser of truck fright or rail
freight to the Purchaser.
Risk of Loss
7. Risk of loss will be on the Purchaser from the time of
delivery to the carrier. The Purchaser will provide at its expense
insurance on the Goods insuring the Seller's and the Purchaser's
interest as they appear, until payment in full to the Seller.
Warranties
8.
THE GOODS ARE SOLD 'AS IS' AND THE SELLER EXPRES
SLY DISCLAIMS ALL WARRANTIES, WHETHER EXPRESS
OR IMPLIED, INCLUDING BUT NOT LIMITED TO, ANY
IMPLIED WARRANTY OF MERCHANTABILITY OR
FITNESS FOR A PARTICULAR PURPOSE. The Seller does not
assume, or authorize any other person to assume on the behalf
of the Seller, any liability in connection with the sale of the
goods. The Seller's above disclaimer of warranties does not, in
any way, affect the terms of any applicable warranties from the
manufacturer of the Goods.
9. The Purchaser has been given the opportunity to inspect
the Goods or have it inspected and the Purchaser has accepted
the Goods in its existing condition. Further, the Seller disclaims
any warranty as to the condition of the Goods.
Title
10. Title to the Goods will remain with the Seller until
delivery and actual receipt of the Goods by the Purchaser or, in
the alternative, the Seller delivers a document of title or
registrable Bill of Sale of the Goods, bearing any necessary
endorsement, to the Purchaser.
Security Interest
11. The Seller retains a security interest in the Goods until
paid in full.
Inspection
12. Inspection will be made by the Purchaser at the time

and place of delivery.
Claims
13. The Purchaser's failure to give notice of any claim
within 10 days from the date of delivery will constitute an
unqualified acceptance of the Goods and a waiver by the
Purchaser of all claims with respect to the Goods.
Excuse for Delay or Failure to Perform
14. The Seller will be liable in any way for any delay, non-
delivery or default in shipment due to labour disputes,
transportation shortage, delays in receipt of material, priorities,
fires, accidents and other causes beyond the control of the
Seller or its suppliers.
If the Seller, in its sole judgment, will be prevented directly or
indirectly, on account of any
cause beyond its control, from delivering the
Goods at the time specified or within one month after the date
of this Agreement, then the Purchaser will have the right to
terminate this Agreement by notice in writing to the Seller,
which notice will be accompanied by full refund of all sums
paid by the Purchaser pursuant to this Agreement.
Remedies
15. The Purchaser's exclusive remedy and the Seller's limit
of liability for any and all losses or damages resulting from
defective goods or from any other cause will be for the purchase
price of the particular delivery with respect to which losses or
damages are claimed, plus any transportation charges actually
paid by the Purchaser.
Cancellation
16. The Seller reserves the right to cancel this Agreement:
a. if the Purchaser fails to pay for any shipment when due;
b. in the event of the Purchaser’s insolvency or bankruptcy;
or
c. if the Seller deems that its prospect of payment is
impaired.
Notices
17. Any notice to be given or document to be delivered to

either the Seller or Purchaser pursuant to this Agreement will be
sufficient if delivered personally or sent by prepaid registered
mail to the address specified below. Any written notice or
delivery of documents will have been given, made and received
on the day of delivery if delivered personally, or on the third
(3rd) consecutive business day next following the date of
mailing if sent by prepaid registered mail:
SELLER: 29 Manufacturing Boulevard Narre Warren South
Victoria 3805
PURCHASER: 6 Gumnut Drv. Dandenong South. Victoria
3175
General Provisions
18. Headings are inserted for the convenience only and are
not to be considered when interpreting this Agreement. Words
in the singular mean and include the plural and vice versa.
Words in the masculine mean and include the feminine and vice
versa.
19. All and warranties of the Seller contained in this
Agreement will survive the closing of this Agreement.
20. The Purchaser may not assign its right or delegate its
performance under this Agreement without the prior written
consent of the Seller, and any attempted assignment or
delegation without such consent will be void. An assignment
would change the duty imposed by this Agreement, would
increase the burden or risk involved and would impair the
chance of obtaining performance or payment.
21. This Agreement cannot be modified in any way except in
writing signed by all the parties to this Agreement.
22. This Agreement will be governed by and construed in
accordance with the laws of the State of Victoria Australia.
23. If any clause of this Agreement is held unconscionable
by any court of competent jurisdiction, arbitration panel or
other official finder of fact, the clause will be deleted from this

Agreement and the balance of this Agreement will remain in full
force and effect.
24. This Agreement will inure to the benefit of and be
binding upon the Seller and the Purchaser and their respective
successors and assigns.
25. This Agreement may be executed in counterparts.
Facsimile signatures are binding and are considered to be
original signatures.
26. Time is of the essence in this Agreement.
27. This Agreement constitutes the entire agreement between
the parties and there are no further items or provisions, either
oral or otherwise. The Purchaser acknowledges that it has not
relied upon any representations of the Seller as to prospective
performance of the Goods, but has relied upon its own
inspection and investigation of the subject matter.
IN WITNESS WHERE OF: -
the parties have executed this Purchase Agreement on this 21st
day of June, 2015.
Australian Widgets and Wodgets Manufacturing Pty
per: _____________________________________________
per: _____________________________________________
Terms and Conditions (T&C) applying to Procurement Purchase

Orders
Definitions: For the purpose of these T&C’s:
Contract Price shall mean the total price for the Items to be
supplied by the Supplier as set out in the Purchase Order (PO).
Delivery Date shall mean the date as set out in the PO for
delivery of the Items.
National Camper Trailers Pty Ltd shall mean National Camper
Trailers Pty Ltd (ABN 90 989 989 989)
Items shall mean the goods (including equipment where
applicable) and/or services (as specified in the Purchase Order)
to be provided under the Purchase Order.
Supplier shall mean the person, firm, enterprise or corporation
as set out in the Purchase Order.
PO shall mean the goods and/or services and any instructions
given in the document referred to as “the Purchase Order” for
the supply of the goods and/or services and includes all
documents annexed or attached thereto or referenced therein and
these T&Cs.
1. Validity of Purchase Order. Only Purchase Orders authorised
by an officer of National Camper Trailers Pty Ltd will be
recognised. Commencement by the Supplier of the supply of the
goods or services detailed in the Purchase Order will be taken to
be acceptance of the Purchase Order, including these T&Cs.
2. Variations. Prior to the fulfilment of the Purchase Order,
National Camper Trailers Pty Ltd may, by written notice at any
time, make variations to the content, specifications, designs or
drawings, samples or other descriptions or requirements to
which the Items are to conform. If any such variations cause an
increase or decrease in the cost of or time required for the
performance of any part of the Purchase Order, then an
equitable adjustment may be made by agreement between the

parties in the price or delivery schedule or both and the
Purchase Order will be modified in writing accordingly.
3. Risk, title and delivery.
3.1. The Supplier warrants that it holds title to the Items
supplied under the Purchase Order and risk in them shall remain
with the Supplier until they are delivered and accepted by
National Camper Trailers Pty Ltd. All Items are subject to
inspection and testing by National Camper Trailers Pty Ltd. If
any of the Items are found by National Camper Trailers Pty Ltd
to be defective or not in conformity with the requirements under
the Purchase Order, National Camper Trailers Pty Ltd may at its
option a) reject and return the Items at the Supplier’s expense or
b) require the Supplier to replace the non-conforming Items
with items that conform with the Purchase Order. National
Camper Trailers Pty Ltd will have no payment obligation in
respect of Items which are not accepted.
3.2 The Supplier will supply the Items by the Delivery Date. In
the event that the Supplier fails to deliver the Items by the
Delivery Date, National Camper Trailers Pty Ltd shall be
entitled, at its election, to:
a. terminate the PO with immediate effect; or
b. apply late delivery charges calculated at 5% of the Contract
Price of the Items for every day late, subject to a maximum
amount of 100% of the Contract Price.
4. Price. Subject to these T&Cs, prices specified in the Purchase
Order shall remain firm and fixed. Prices include any and all
charges including but not limited to taxes, duties, inspection
charges, packaging and shipping costs.
5. Invoices. The Supplier shall submit tax invoices. Tax
invoices shall contain the following information as applicable:
The Supplier’s details including ABN, Purchase Order number,
description/quantity of Item(s) supplied, GST (shown separately
if applicable) and total amount payable. National Camper
Trailers Pty Ltd shall not be obligated to pay the Supplier for

any Items invoiced 180 days after the date of supply of the
Items.
6. Payment. Subject to its approval by National Camper Trailers
Pty Ltd, National Camper Trailers Pty Ltd will pay the
Supplier’s tax invoice 30 days from the end of the month in
which the goods were received unless agreed or stated
otherwise.
7. Warranties. The warranties here listed are in addition to any
warranties referred to in the Purchase Order and to any other
statutory conditions or warranties (whether expressed or
implied) including those provided for under the Competition
and Consumer Act 2010 (Cth).
Services warranty. The Supplier represents and warrants that it
shall perform the services in a proper, workmanlike and
professional manner with the degree of care and skill required
by current, good and sound professional procedures of the
relevant kind. Further, the Supplier represents and warrants that
it shall perform the services in accordance with all applicable
specifications and laws and the services shall be correct and
appropriate for the purposes contemplated in the Purchase
Order.
Goods (including equipment as applicable) warranty. The
Supplier represents and warrants that the goods are of
merchantable quality and are fit for purpose and conform to
applicable specifications, drawings, samples or other
descriptions in the Purchase Order.
8. Indemnity. In relation to the supply of the Items under the
Purchase Order, the Supplier shall indemnify National Camper
Trailers Pty Ltd against:
a. loss of or damage to the property of National Camper Trailers
Pty Ltd; and
b. a claim or claims by any person against National Camper
Trailers Pty Ltd in respect of any personal injury or death; and
c. any claim that the Items infringe a copyright, patent,
trademark, trade secret or any other intellectual property or
proprietary right of any third party; and

d. the Supplier’s breach of warranty, negligence, wilful
misconduct, fraud, misrepresentation or violation of law,
but the Supplier’s liability to indemnify National Camper
Trailers Pty Ltd shall be reduced to the extent that the act(s) or
omission(s) of National Camper Trailers Pty Ltd or its
employees, agents or other contractors contributed to the loss,
damage, death or injury; and
e. any other loss or damage arising out of or in connection with
the Purchase Order (including any incidental, indirect, special,
punitive or consequential damages or damages for any loss of
profits, loss of revenue, loss of business or goodwill, data or
data use) where the loss or damage is due to the Supplier’s
negligence, wilful misconduct, fraud, misrepresentation or
violation of law.
9. Insurance. The Supplier shall take out and continue for the
duration of the Purchase Order all necessary insurances of the
class/classes and in the amount/amounts indicated in the
Purchase Order. Certificates of insurance indicating such
coverage shall be provided to National Camper Trailers Pty Ltd
upon request.
10. Assignment. The Supplier may not assign its rights or
obligations under the Purchase Order without the prior written
consent of National Camper Trailers Pty Ltd.
11. Governing law. The Purchase Order is governed by the law
of New South Wales and the parties submit to the exclusive
jurisdiction of the courts of New South Wales.
12. Relationship of the parties. The Supplier is an independent
contractor and nothing in the Purchase Order or elsewhere
constitutes neither the Supplier as the agent or employee of
National Camper Trailers Pty Ltd nor the parties as partners or
joint venturers nor is the Supplier authorised to incur, nor may
the Supplier incur, any debt or obligation on behalf of National
Camper Trailers Pty Ltd, without the prior written consent of

13. Severability. Any provision of the Purchase Order held to be
void, invalid or unenforceable shall be deemed amended to
conform to applicable laws or regulations or, if it cannot be so
amended without materially altering the intention of the parties,
it shall be taken to be severed the extent that it is void or to the
extent of voidability, invalidity or unenforceability, but the
remainder of the Purchase Order shall remain in full force and
effect.
14. Waiver. A waiver by either party of any default under the
Purchase Order or of any term or condition under the Purchase
Order shall not be deemed to be a continuing waiver or a waiver
of any other default or any other term or condition.
15. Set off. National Camper Trailers Pty Ltd shall have the
right at any time to set-off any amount owing from the Supplier
to National Camper Trailers Pty Ltd against any amount payable
by National Camper Trailers Pty Ltd pursuant to the Purchase
Order.
16. Notices. All notices under this Purchase Order shall be sent
to a party at their address indicated on the front page of the
Purchase Order or to such other address as notified by a party.
17. Entire agreement. The Purchase Order shall constitute the
entire agreement between the parties. No modifications may be
made to the Purchase Order unless in writing and signed by both
parties. The terms of the Purchase Order supersede any terms
contained in all prior communications and representations,
inducements, undertakings, agreements or arrangements
between the parties or their respective officers in respect of the
matters dealt with in this agreement.
18. Survival. The obligations set forth in clauses 7, 8, 9, 11, 12
and 14 - 21 of these T&Cs shall survive the expiration or
termination of the Purchase Order.
19. Other Terms & Conditions. For the avoidance of doubt, to
the extent of any inconsistency with the Supplier’s terms and
conditions, these T&Cs prevail.

NCT ~ MEMORANDUMTo: (Sending to whom)From:
(Sender)Date: (When sent)Subject: (What is the subject title)
To
(Subject)
(Conclusion)
From
MEMO
To: Purchasing Manager
From: Mick Dundee Chief Executive Officer

Date: 22nd June 2016
Subject: Contract Extension Report AWWM Pty Ltd
To (Your Name) Purchasing Manager NCT
Regarding the report that you prepared and lodged with the
Board for discussion. We had a strong robust
discussion around your report trying to decide to maintain this
supplier or to no longer continue with this
relationship. A big issue was the criteria and the performance
against these KPI’s and the fact that this is a
long term supplier with a good relationship.
At this point we wish you to enter into discussions with AWWM
and put to them the following issues
with some recommendations from you as to ways that they
could improve their performance.
-compliance against the Purchasing Contract.
contract 12-month period.
upon support for
effective delivery.
Michael Dundee

CEO
National Camper Trailers.
Assessment Workbook: TLIR5014
Manage suppliers
Version control
Version No.
Date
Dept.
Change
1.0
06/06/2016
Training
Original
2.0

03/10/2016
Training
Moodle updates and changed the title from Assessment Guide to
Assessment Workbook

Copyright Statement
© Copyright National Training
Disclaimer
All rights reserved. No part of this publication may be
reproduced or transmitted in any form or by any means,
electronic or mechanical, including photocopying, scanning,
recording, or any information storage retrieval system without
permission in writing from National Training. No patent
liability is assumed with respect to the use of information used
herein.
While every effort has been taken in the preparation of this
publication, the publisher and authors assume no responsibility
for errors or omissions. Neither is any liability assumed for
damages resulting from the use of information contained herein.
Contents
How do I use this guide? 4
Introduction 5
Application 5
Elements and Performance Criteria 5
Pre-requisites 6
Appeals and reassessment 6

Plagiarism 6
Referencing Materials 7
Understanding your results 7
Results Legend 7
Assessment activity 7
Assessment 1, 2 & 3 Instructions 8
Assessment 1: Case Study 1 10
Case Study 1A 10
Case Study 1B 11
Assessment 2: Case Study 2 12
Case Study 2 12
Assessment 3: Short Answer Questions 13
Question 1 13
Question 2 13
Question 3 13
Question 4 13
Question 5: 13
Question 6 13
Question 7 14
Question 8 14
Question 9 14
Question 10 14
Question 11 14
Question 12 14
Question 13 14
Question 14 14
Question 15 15
Question 16 15
Question 17 15
Question 18 15
Question 19 15
Question 20 15
How do I use this guide?

This guide is divided into two sections:
· The introduction section gives you information about the unit
of competency you will be assessed in. For a comprehensive
overview of the assessment process, the principles of
assessment, refer to your ‘Student Handbook’ which was
provided to you, by National Training, when you commenced
your training. It’s also available online via the website:
nationaltraining.edu.au
· The second section contains assessment activities each
detailing:
· Description of the assessments
· Instructions for completing the assessment activities
Introduction
This guide, together with the Assessment Activity forms the
assessment tools for:
Unit code

Title
Training Package
TLIR5014
Manage suppliers
Transport and Logistics Training PackageApplication
TLIR5014
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.Elements and Performance Criteria
1.0 Assess suppliers and build productive relationships
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
2.0 Evaluate delivery of goods and/or services against
agreements
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
3.0 Negotiate arrangements with suppliers
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
4.0 Resolve disagreements with suppliers
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
5.0 Review performance of suppliers
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
criteriaPre-requisites
Not applicableAppeals and reassessment
If you disagree with the assessment decision and result, you
have the right to appeal and be reassessed if necessary. Details

of the appeals process is contained in the Complaints and
Appeals Policy & Procedure, provided to you prior to
enrolment. See Complaints and Appeals Policy & Procedure for
more details.Plagiarism
While co-operative effort and the sharing of information are
encouraged, you must ensure your assignments and assessments
are representative of your own effort, knowledge and skills.
You must not take the work of others and present it as your
own. Plagiarism may result in the assignment/assessment being
deemed to be “not yet competent” by the assessor.
Students accused more than once of academic misconduct,
including plagiarism, may be dismissed or cancelled from their
course at the discretion of the National Training Manager.
Plagiarism can take several forms;
· Quoting from a book or an article without acknowledging the
source
· Handing in someone else’s work as your own
· Stealing and passing off another person’s words or ideas and
claiming them as your own
· Giving incorrect information about the source of a quotation
or idea
· Downloading information from the internet without
acknowledging the source
· Copying a section of a book or article and submitting it as
one’s own work
· Presenting as a new and original idea or produce something
which was derived from an existing sourceReferencing
Materials
National Training prefers that students utilises Harvard Style
referencing. Generally, Harvard Reference List citations follow
this format:
Books: Last name, First Initial. (Year published). Title. City:
Publisher, Page(s).
Journals/publication: Last name, First initial. (Year published).
Article title. Journal, Volume (Issue), Page(s).
Websites: Website name, (Year published). Page title. [Online]

Available at: URL [Accessed Day Mo. Year].Understanding
your results
The great thing with competency based training is that you
either deemed 'competent' (you can demonstrate the required
skills and knowledge) or 'not yet competent' (at this time you
haven't been able to demonstrate required skills or knowledge).
The key word is "YET”.
Your trainer will provide you with feedback on your
assessments so that you know what you have done well in your
assessment and what you need to improve upon or fix. An
"NYC" result does not mean that you have failed and that is it -
you have the opportunity to try again. It could be that one
question in your assessment was deemed not yet satisfactory
and this is the only question that will require review.Results
Legend
C
Competent
Has successfully completed unit and has met the minimum
competency criteria and demonstrated the required skills and
knowledge
NYC
Not Yet Competent
Has not met minimum competency criteria for the unit - certain
section/s require review due to not meeting the requirements
and being deemed not yet satisfactory
CT
Credit Transfer
Application required
RPL
Recognition of Prior Learning
Application required
For further information regarding Recognition of Prior Learning
(RPL) and Credit Transfers (CT), please contact on our office
on (03) 9674 0331Assessment activity
The assessment activities contained below have been designed
for the following unit(s) of competency:

TLIR5014Manage suppliers
This is a summative assessment process. For the student to be
assessed as competent in each Unit of Competency, all
questions and activities need to be satisfactorily completed.
Each assessment activity contained within:
Assessment 1:
Case Study 1
All parts need to be completed.
This is a summative assessment activity, which means it is an
assessment of what you have learnt and used towards the
assessment of your overall competency.
This Case Study is split into 2 parts, all questions and reports
must be answered, uploaded to a Word Document and uploaded
as your assessment.
Documents required to filled out in full.
Assessment 2:
Case Study 2
All parts need to be completed.
Assessment 3: Short Answer Question
This requires the completion of all comprehensive questions.
Each question must be submitted and of 100 – 300 words
minimum.
Assessment 1, 2 & 3 Instructions
Student Instructions
Type of Assessment

General
There are a number of short answer questions and case studies.
You must attempt each one. If you have difficulty with
understanding the question or completing the answers then talk
to your trainer.
Your trainer is there to help you understand and help you
demonstrate your understanding, not to complete the answers
for you.
You are required to answer all questions and provide as much
detail as you can. These questions are not required to be
completed under exam conditions.
Context and purpose of assessment
The short answer questions and the case studies have been
drawn from the information contained in your workbook/
learning materials. Therefore you should have a good
understanding of the answers
Assessment instructions
Read information provided and fully complete all questions as
asked.
Resources, equipment & material required
Learner Guide
Computer
Internet
How you will be assessed
Upon completion of your responses will be assessed against a
standard answer sheet to ensure that you have covered the
question and are consistent with others. You are required to get
every question correct,
For more information on the specific criteria contained in the
unit descriptor, speak with your trainer. They will provide you
with a copy of the criteria or see your learner guide which
includes the performance criteria.

Assessment Workbook – TLIR5014 14 |Page Version
2.0Assessment 1: Case Study 1
The objective of this section is to demonstrate TLIR5014
Manage suppliers
Case Study 1A
You are a purchasing manager at National Camper Trailers Pty
Ltd. One of your suppliers of a component of the Stargazer
Series of trailer, Acme Widgets and Wodgets Pty Ltd, supply
the 2 different types of bearings for the Axel shafts. They have
been your supplier for 5 years. The contract is now up and you
have been asked to do an evaluation of this supplier. Here are
some historical facts from the last year.
· This supplier only supplies 2 components.
· The price has increased 5% each year. This year they have
targeted a 10% increase.
· There have been 4 instances of nondelivery / delayed delivery
due to: -
· Industrial action that lasted 4 weeks
· Raw materials unavailable causing 6-week delay
· Plant break-down twice first time 2 weeks’ delay second was 3
weeks’ delay.
· In every instance AWW kept in constant contact and bent over
backwards to correct the problems
· 5 times the components didn’t meet the standards required.
· Management has flagged that they are not interested in

sourcing replacements from overseas, they believe in Buy
Australian if possible.
· Previous Criteria established in supplier evaluation:
a. Price increments to 5%.
b. Monthly Delivery performance:
i. 90% delivery on time
ii. 95% standards achieved
a. Notification within 2 days of possible delay in delivery.
Delivery Performance of AWWM Pty Ltd July 2015 – June 2016
Month
Single Axle UN-BRAKED Trailer Kit 1400kg Rating, with EYE
TO EYE SPRINGS 45X8MM
1000KG Mechanical Drum Brake Single Axle Trailer Kit with
Slipper springs 1T
Ordered
Delivered
Returned
Ordered
Delivered
Returned
July
25
25
Nil
10
10
2
August
30
nil
Nil
15
Nil
Nil
September

30
50
5
15
25
Nil
November
20
35
2
10
19
Nil
December
35
37
Nil
25
25
Nil
January
Nil
Nil
Nil
Nil
Nil
Nil
February
20
10
Nil
15
5
Nil
March
25

35
3
10
22
4
April
25
15
Nil
10
14
Nil
May
20
25
Nil
15
10
Nil
June
30
20
To assist you with your decision you can access the AWWM Pty
Ltd Purchasing Contract, the NCT Terms and Conditions
applying to Procurement Purchase Orders from the TLIR5014
Attachments.
You must prepare a report to the CEO on your recommendations
on this year’s contract:
1. Established criteria to effectively evaluate supplier services.
2. Evaluate this current supplier against the criteria you
establish. (Including: Quality of goods and services supplied)
3. Make recommendations of Terms and Conditions of future

suppliers to achieve service requirements and details of how
this would be communicated.
4. Make recommendations of how you could develop
cooperative relationships with suppliers in accordance with
National Camper Trailers policy and procedures.
5. Describe how you would apply relevant legislation and
workplace procedures in this process.
Your report must be between 1000 – 3000 words in length.
Case Study 1B
Your report to the CEO regarding the Contract extension for
Australian Widgets and Wodgets Manufacturing Pty Ltd has
been discussed at board level and the following memo was
returned to you.
NCT ~ MEMO
To: Purchasing Manager
From: Mick Dundee Chief Executive Officer
Date: 22nd June 2016
Subject: Contract Extension Report AWWM Pty Ltd
To (Your Name) Purchasing Manager NCT
Regarding the report that you prepared and lodged with the
Board for discussion. We had a strong robust discussion around
your report trying to decide to maintain this supplier or to no
longer continue with this relationship. A big issue was the
criteria and the performance against these KPI’s and the fact
that this is a long term supplier with a good relationship.
At this point we wish you to enter into discussion with AWWM
and put to them the following issues with some
recommendations from you as to ways that they could improve
their performance.
· Quality of goods assessed against our criteria.
· The non-compliance against the Purchasing Contract.
· Contingency plans should they have similar issues in a new
contract 12-month period.

· Moving forward with our relationship upon support for
effective delivery.
Michael Dundee
CEO
National Camper Trailers.
Prepare a report to be sent to AWWM as a prelude to Contract
discussions.
You are to address the issues raised from the Board meeting,
and your report to the Board.
1. Identify AWWM’s non-compliances and provide
recommendations to AWWM on how they could meet the
Contractual requirements and address their non-compliance to
the current contract.
2. Prepare a Corrective Action Plan as part of your report and
also include possible Contingency Plans to account for the Non-
delivery situations from past year’s performance.
3. Address how you would like disagreements to be investigated
to identify validity and causes under the new contract.
4. Address how disagreement will be negotiated and resolved
under the new contract.
5. Provide details of how you would like approval and
acceptance of above recommendations in the new contract.
6. Provide details of how approved amendments will be
communicated to the supplier and relevant personnel
Your Report should be at least 1000 – 3000 words.
Assessment 2: Case Study 2
Manage suppliers
Case Study 2
You are a purchasing manager at National Camper Trailers Pty
Ltd. After your report to the board the CEO has asked you to
research possible new suppliers before the current contract is
up.
Your research must take into account location and transport

costs, product costs, availability of supply.
Products are: -
· Single Axle UN-BRAKED Trailer Kit 1400kg Rating, with
EYE TO EYE SPRINGS 45X8MM
· 1000KG Mechanical Drum Brake Single Axle Trailer Kit with
Slipper springs 1T
Complete the following:
1. Prepare a Purchase request for the products to the supplier/s
you have researched with the criteria you outlined in Case
Study 1A
2. List the companies you are going to research / List why you
selected the one you did and explain why you deleted the
unsuccessful ones.
3. Supply arrangements negotiation questions that again match
both NCT’s Terms and Conditions and the Purchasing Contract.
4. What market factors could affect the arrangement with these
new suppliers?
5. What problems could you anticipate and what corrective
actions could be prepared in advance?
6. Detail the supply requirements and base these on the previous
supplier non-compliance.
7. Explain to suppliers how they will be continuously reviewed
for quality, profitability, service, delivery status and other
relevant performance indicators.
8. Explain to the supplier the criteria for evaluation and process
to inform suppliers of evaluation outcomes.
9. Provide recommendation about future use of suppliers will be
made to relevant personal
10. Explain how suppliers will be deleted from supplier shortlist
according to criteria.
Note: Use the Contract Template in the Unit Attachments to fill
out a Purchasing Contract.
Assessment 3: Short Answer Questions
Manage suppliers

Question 1
Codes of Practice set out industry standards of conduct. Explain
how codes of practice can assist you to deal collaboratively
with Suppliers in your dealings with them.
Question 2
What is meant by “Common use Arrangements”?
Question 3
In the situation of Supply Contract Performance disputes, how
would your company’s workplace procedures assist you to deal
with this situation?
Question 4
When working with Suppliers, to maintain control and
performance of these partnerships we must be able to do
statistical analysis report and record findings. In Case Study 2
you were asked to research some possible replacement suppliers
for AWWM Pty Ltd. and report your recommendations to the
board. Based on this report and Using the Numeric Ranking
System pick 2 of the prospective suppliers and give their
Ranking points and your findings here as a short report to the
board.
Question 5:
Why must financial viability be taken into consideration when
evaluating a Supplier and going back to Case Study 1A what

effect did this have on NCT?
Question 6
When conducting an evaluation of a Procurement and Supply
Contract, why should we take our organisation’s policies,
procedures, plans, guidelines and code of conduct into
consideration before proceeding with this contract?
Question 7
What procedures should be in place for monitoring the
performance of our suppliers and what information should we
be monitoring?
Question 8
At NCT we have a Diversity Policy (This can be found on the
Nat Train Dashboard > National Camper Trailers > HR
Policies), taking this into consideration, why would this be
important to take into account when forming partnerships and
contracts with new or ongoing suppliers?
Question 9
What are the benefits of formulating organisational procedures
and protocols for electronic communication equipment?
Question 10
It is essential for accounting systems that we maintain control

of all receipt and payments of goods and services, why should
we have procedures to cover these systems?
Question 11
In case Study 2 you were asked to research a new supplier of
goods and to prepare a Procurement Contract. Explain here why
a company would have a procedure to cover this situation and
list some of the items that would be contained within this
document?
Question 12
When looking at procurement contracts what relevant Federal
and State or territory legislative and regulatory requirements
and codes of practice should be taken into account?
Question 13
What relevant documentation would you be required to prepare
for a Supply / Procurement contracts would you need to prepare
for both your own company and the supplier?
Question 14
What steps must you take when planning your work activities?
Outline these steps with regards to Case Study 2?
Question 15
What benchmarks are used to evaluate suppliers in your

workplace to ensure they are meeting their contractual
obligations?
Question 16
When building a productive relationship with suppliers, list
three (3) behaviours that are important in the relationship.
Question 17
Provide the name of the Federal legislation covering consumers
and fair trading.
Question 18
Which Government Agency is responsible for enforcing the
legislation at either Federal or State levels?
Question 19
Define the role of a Supply Manager or Contract Manager
responsible for managing suppliers.
Question 20
Should a supplier go into receivership or close down that
supplies product that is essential for your workplace, what
contingency plans could you apply and what would be the
process that you will follow?

Joint Statement from Starbucks ceo, Kevin Johnson, Donte
Robinson and Rashon Nelson
May 02, 2018
•
2 min read
PHILADELPHIA; (MAY 2, 2018) —
After constructive conversations, and mediation before a retired
federal judge in Philadelphia, Donte Robinson, Rashon
Nelson and Kevin Johnson, ceo of Starbucks Coffee Company
(NASDAQ:SBUX) reached a settlement agreement earlier this
week that will allow both sides to move forward and continue to
talk and explore means of preventing similar occurrences at any
Starbucks location.
The agreement between the parties stems from the arrest of
Robinson and Nelson at a Starbucks store in Philadelphia on
April 12 and includes a confidential financial settlement as well
as a commitment to continued listening and dialogue between
the parties as a means toward developing specific actions and
opportunities.
As Johnson said previously, “I want to thank Donte and Rashon
for their willingness to reconcile. I welcome the opportunity to
begin a relationship with them to share learnings and
experiences. And Starbucks will continue to take actions that
stem from this incident to repair and reaffirm our values and
vision for the kind of company we want to be.”
Robinson and Nelson intend to focus the public reaction to their
arrest toward providing opportunities for young people from
underserved communities.
Jointly they said, “We appreciate the opportunity to have
meaningful discussions with Kevin Johnson and the group
around the table to address hard issues. We all recognize the
importance of communication about differences and solutions,
and that we will be measured by our action not words.”
And as part of the agreement, Robinson and Nelson will have an
opportunity to provide input based on their personal experience

to former U.S. Attorney General Eric Holder as part of the
company’s long-term diversity and equity efforts.
Robinson and Nelson have also been offered the opportunity
to complete their undergraduate degrees through the Starbucks
College Achievement Plan, a first of a kind partnership with
Arizona State University otherwise available to Starbucks
partners to earn their bachelor’s degree with full tuition
coverage.
The pair are represented by Stewart L. Cohen and Harry M.
Roth of Cohen, Placitella & Roth, P.C., a Philadelphia law firm.
Share This Article
Anatomy of a PR response: How Starbucks is handling its
Philadelphia crisis
By
Jena McGregor
April 19, 2018 at 7:17 a.m. EDT
Starbucks’ decision to close all 8,000 company-owned stores for
an afternoon to hold "racial-bias" training raises an important
question for companies wrestling with how to respond to crises
amid racial tension in an era of social media: Can something be
a grand gesture that goes above and beyond what many
companies would do — yet still not be enough?
The company's bold move, which was announced Tuesday and
followed the social-media uproar and in-store protests that
erupted after the arrest of two black men waiting at one of the
coffee giant’s Philadelphia cafes, was mostly applauded by
crisis management and diversity experts, some of whom called
it a "courageous" or even "genius" gesture -- especially
following an initial statement that drew criticism.
“I think Starbucks is sending a strong message in doing this,”
said Jeff Dickerson, a crisis communications adviser in Atlanta.
“They’re bucking the trend, because ordinarily when large
companies find themselves in this situation, they have counsel

who will advise them against" admitting they'd done anything
wrong.
Yet this is Starbucks, a brand that has positioned itself in
our national consciousness as not just a restaurant chain or
retail operation, but as a “third place” meet-up spot for the
community. It has long been vocal about its progressive values,
whether through its flawed #RaceTogether campaign or its
founder’s musings on immigration or same-sex marriage,
making an incident like the one in Philadelphia appear even
more out of step than it would at other firms.
Starbucks is turning to a type of workplace training that ‘really
took off after Ferguson’
As a result, Starbucks had to do more in response than the
average company. “You kind of expect Starbucks would do
things like this,” said Paul Argenti, a professor at Dartmouth’s
Tuck School of Business who studies corporate communication
strategy. “The nail that sticks up gets beaten down. They had to
do something more dramatic.”
The issue, of course, is racial bias — a complex,
systemic problem that some observers said an afternoon of
diversity training would do little to change, however well-
intentioned or informed it may be. (The company is turning to
names like Equal Justice Initiative founder Bryan Stevenson and
the NAACP Legal Defense and Education Fund president for
guidance.)
"You’re going to close your stores for an afternoon and take on
500 years of America’s brand of racism?" said Nicole Sanchez,
CEO of Vaya Consulting. (Starbucks CEO Kevin Johnson has
said several times that the May 29 training is only a "first step;"
a Starbucks spokesperson did not immediately respond to
requests for comment.)
Sanchez and other crisis communications experts said the
company’s initial response could have been much stronger and
more unequivocal. After video of the April 12 incident went

viral, Starbucks first put out an apology two days later that
didn’t mention race as an issue and drew criticism for being too
legalistic.
“Their initial formal statement did not resonate well with the
black community,” said Derede McAlpin, chief communications
officer for the Association of Corporate Counsel, who has
worked in crisis communications. “I think it didn’t address the
heart of the issue.” ‘
Later that day, CEO Kevin Johnson issued a memo to employees
that expressed "our deepest apologies," saying "Starbucks
stands firmly against discrimination or racial profiling"
and sharing that he planned to meet those affected in
Philadelphia.
On Sunday, he was out with a somber apology video where he
took responsibility for the crisis, saying “the way that incident
escalated, and the outcome, was nothing but reprehensible --
and I'm sorry." In response to calls to fire the store manager,
Johnson said, "I believe that blame is misplaced. In fact, I think
the focus of fixing this -- I own it. This is a management issue
and I am accountable to ensure we address the policy, and the
practice and the training that led to this outcome."
Gabrielle Adams, a professor at the University of Virginia who
studies CEO apologies, said "in this climate, that kind of mea
culpa is what’s needed." In his apology, "he’s saying we
recognize this is systemic and we don't want to be part of it,"
she said.
By Monday, Johnson sat face-to-face with the two men who’d
been arrested in Philadelphia, as well as the city’s mayor and
other officials. Though crisis communications adviser Mike
Paul would have liked to see Johnson make that visit faster, he
said it was ultimately the kind of human response the occasion
called for.
“When you have a highly flammable emotional situation like a
racial crisis you must match it with a highly emotional solution

in the opposite direction,” he said, rather than a “legal solution”
or a “branding solution.” Speaking about
Johnson’s interview on CNN Tuesday night -- the CEO appeared
visibly shaken while speaking -- Paul said “when I see a CEO
with my buddy [host] Don Lemon being emotional, it feels like
he was honest.”
Howard Schultz says Starbucks manager showed her own
‘unconscious bias’ — and possibly ‘racial profiling’
But it was Starbucks’ move to close its stores that stood out the
most to crisis management advisers. “Starbucks just upped the
game for everyone,” said Carreen Winters, chief strategy officer
for MWW Public Relations. Comparing the move to
Chipotle's 2016 decision to close its stores to deal with E. coli
outbreaks, "what they’re basically saying is bias is at least as
dangerous a problem as food safety."
Some analysts have estimated the move could cost the company
$7 million. And one of the key elements of a good apology,
Argenti said, is to show that it involves some sacrifice: "It's
really hard to think about what other hit you could take than
putting your money where your mouth is and getting rid of sales
for an afternoon."
Yet the real test will be what happens from here.
A second allegation has already emerged in recent days, with a
video suggesting a black Starbucks customer was not allowed to
use a restroom in California while a white customer was. (In a
prior statement provided to The Washington Post, a Starbucks
spokeswoman said it took the incident seriously, saying "[we]
are working closely with the team to learn from our mistakes"
and "we are fully investigating our store practices and
guidelines across the company.")
"They’ve checked the boxes thus far, but people will be
watching and looking after the dust has settled here,” Winters
said. “They will be under the microscope more than ever
before.”

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