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 THAT HAS PASSED THE END DATE: 

Describe the functions of the purchasing cycle 
SAQA US ID UNIT STANDARD TITLE
378013  Describe the functions of the purchasing cycle 
ORIGINATOR
SGB Manufacturing and Assembly Processes 
PRIMARY OR DELEGATED QUALITY ASSURANCE FUNCTIONARY
-  
FIELD SUBFIELD
Field 06 - Manufacturing, Engineering and Technology Manufacturing and Assembly 
ABET BAND UNIT STANDARD TYPE PRE-2009 NQF LEVEL NQF LEVEL CREDITS
Undefined  Regular  Level 3  NQF Level 03  5 
REGISTRATION STATUS REGISTRATION START DATE REGISTRATION END DATE SAQA DECISION NUMBER
Passed the End Date -
Status was "Reregistered" 		 2018-07-01  2023-06-30  SAQA 06120/18 
LAST DATE FOR ENROLMENT LAST DATE FOR ACHIEVEMENT
2024-06-30   2027-06-30  

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

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

PURPOSE OF THE UNIT STANDARD 
This unit standard is required by people working in the manufacturing environment who need to know about purchasing and the various relationships associated with it. They also need to know about and apply supplier selection processes and the functional relationships which are part of the purchasing cycle.

Learners credited with this unit standard are able to:
  • Define purchasing and explain its role in a manufacturing environment.
  • Discuss the functional relationships which are part of the purchasing process.
  • Describe and apply the supplier selection process.
  • Describe the purchase cycle.
  • Implement the purchase cycle. 
    		•

    LEARNING ASSUMED TO BE IN PLACE AND RECOGNITION OF PRIOR LEARNING 
  • Mathematical Literacy at NQF Level 2.
  • Communication at NQF Level 2. 
    		•

    UNIT STANDARD RANGE 
    Specific range statements are provided in the body of the unit standard where they apply to particular outcomes or assessments. 

    Specific Outcomes and Assessment Criteria: 

    SPECIFIC OUTCOME 1 
    Define purchasing and explain its role in a manufacturing environment. 

    ASSESSMENT CRITERIA     

    ASSESSMENT CRITERION 1 
    The concept of purchasing is defined and explained in line with the operations management body of knowledge. 

    ASSESSMENT CRITERION 2 
    The objectives of purchasing are described according to procedures. 

    ASSESSMENT CRITERION 3 
    The buyer in a manufacturing company is discussed in terms of his/her role in the manufacturing environment. 

    ASSESSMENT CRITERION 4 
    The need for purchasing is explained. 

    SPECIFIC OUTCOME 2 
    Discuss the functional relationships which are part of the purchasing process. 

    ASSESSMENT CRITERIA     

    ASSESSMENT CRITERION 1 
    The relationship between Purchasing and Design is explained using organisational procedures. 

    ASSESSMENT CRITERION 2 
    The relationship between Purchasing and Production is explained using organisational procedures. 

    ASSESSMENT CRITERION 3 
    The relationship between Sales and Marketing is explained using organizational according procedures. 

    ASSESSMENT CRITERION 4 
    The relationship between Purchasing and Finance is explained using organisational procedures. 

    SPECIFIC OUTCOME 3 
    Describe and apply the supplier selection process. 

    ASSESSMENT CRITERIA     

    ASSESSMENT CRITERION 1 
    The selection process for suitable suppliers is described using organisational procedures. 

    ASSESSMENT CRITERION 2 
    The sole supplier and a single source supplier are explained in terms of their differences. 

    ASSESSMENT CRITERION 3 
    Factors in selecting suppliers are discussed according to their characteristics. 

    ASSESSMENT CRITERION 4 
    The selection process is implemented according to company procedures. 

    SPECIFIC OUTCOME 4 
    Describe the ordering and purchasing cycle. 

    ASSESSMENT CRITERIA     

    ASSESSMENT CRITERION 1 
    The ordering and purchasing cycle is explained using a flow diagram. 

    ASSESSMENT CRITERION 2 
    Primary considerations for selection are explained using organisational procedures. 

    ASSESSMENT CRITERION 3 
    The purchase requisition document is completed correctly. 

    ASSESSMENT CRITERION 4 
    The price of goods/materials is calculated correctly using given data. 

    ASSESSMENT CRITERION 5 
    Supplier capacity is assessed using examples. 

    SPECIFIC OUTCOME 5 
    Implement the purchasing cycle. 

    ASSESSMENT CRITERIA     

    ASSESSMENT CRITERION 1 
    The purchase order is described using examples. 

    ASSESSMENT CRITERION 2 
    The mode of placing orders is described and applied according to procedures. 

    ASSESSMENT CRITERION 3 
    The destination of the required number of copies is described correctly. 

    ASSESSMENT CRITERION 4 
    Types of orders are described using organizational procedures. 
    ASSESSMENT CRITERION RANGE 
    Types are purchase order, blanket order and standing order.
     

    ASSESSMENT CRITERION 5 
    The importance of purchasing control and follow up are discussed using organisational procedures. 

    ASSESSMENT CRITERION 6 
    Order receipts and receiving of incoming goods are described and completed correctly. 

    ASSESSMENT CRITERION 7 
    The settling of a supplier's invoice is described and applied according to procedures. 
    ASSESSMENT CRITERION RANGE 
    Receiving invoices, authorization of payment and making payment.
     


    UNIT STANDARD ACCREDITATION AND MODERATION OPTIONS 
  • Anyone assessing a learner against this unit standard must be registered as an assessor with the relevant ETQA.
  • Any institution offering learning that will enable achievement of this unit standard must be accredited as a provider through the relevant ETQA.
  • Moderation of assessment will be overseen by the relevant ETQA according to the moderation guidelines and the agreed ETQA procedures. 
    		•

    UNIT STANDARD ESSENTIAL EMBEDDED KNOWLEDGE 
    Essential Embedded Knowledge will be assessed through assessment of the Specific Outcomes in terms of the stipulated assessment criteria. Candidates are unlikely to achieve all the Specific Outcomes, to the standards described in the assessment criteria, without knowledge of the enlisted Embedded Knowledge.

    The following Embedded Knowledge is addressed in an integrated way in the unit standard:
  • The role of purchasing in a manufacturing environment.
  • The functional relationships of the purchasing process.
  • The supplier selection process.
  • The purchasing cycle and its documentation. 
    		•

    UNIT STANDARD DEVELOPMENTAL OUTCOME 
    N/A 

    UNIT STANDARD LINKAGES 
    N/A 


    Critical Cross-field Outcomes (CCFO): 

    UNIT STANDARD CCFO IDENTIFYING 
    Identify and solve problems and make decisions using critical and creative thinking to apply the purchasing cycle and the supplier's selection process. 

    UNIT STANDARD CCFO WORKING 
    Work effectively with others as members of a team to select suppliers for the manufacturing environment to apply the purchasing cycle. 

    UNIT STANDARD CCFO ORGANISING 
    Organise and manage themselves and their activities responsibly and effectively to apply the purchasing cycle and the supplier's selection processes. 

    UNIT STANDARD CCFO COLLECTING 
    Collect, analyse, organize and critically evaluate information to select suppliers. 

    UNIT STANDARD ASSESSOR CRITERIA 
    N/A 

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

    UNIT STANDARD NOTES 
    N/A 

    QUALIFICATIONS UTILISING THIS UNIT STANDARD: 
      ID QUALIFICATION TITLE PRE-2009 NQF LEVEL NQF LEVEL STATUS END DATE PRIMARY OR DELEGATED QA FUNCTIONARY
    Elective  83946   National Certificate: Management  Level 3  NQF Level 03  Passed the End Date -
    Status was "Reregistered"     		 2023-07-30  As per Learning Programmes recorded against this Qual 


    PROVIDERS CURRENTLY ACCREDITED TO OFFER THIS UNIT STANDARD: 
    This information shows the current accreditations (i.e. those not past their accreditation end dates), and is the most complete record available to SAQA as of today. Some Primary or Delegated Quality Assurance Functionaries have a lag in their recording systems for provider accreditation, in turn leading to a lag in notifying SAQA of all the providers that they have accredited to offer qualifications and unit standards, as well as any extensions to accreditation end dates. The relevant Primary or Delegated Quality Assurance Functionary should be notified if a record appears to be missing from here.
     
    NONE 


    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.