Global Positioning

Fundamentals of Global Purchasing

With the continued expansion of the global economy, the linking of national economies to the international marketplaces, and the shrinking of communications and logistics, the professional purchasing manager and buyers need to include sourcing from other countries as part of their global responsibilities. This overview course addresses the key concerns about global purchasing and how to overcome them by including operations and procedures for global purchasing.

Topics include:

• Comparison of global purchasing to domestic purchasing
• Reasons for purchasing from other countries
• Calculating total cost
• Purchasing channels
• Legal aspects of global purchasing
• Delivery terms (incoterms)
• Payment methods and terms
• Dealing in foreign currencies
• Business customs and cultures
• Negotiations
• Ethics in global purchasing
• The international purchase order
• Controlling the cost of logistics

The participant will learn:

• The key operations of global purchasing
• Advantages and challenges of global purchasing
• Basic risk management techniques
• How to develop a global purchasing strategy
• Cultural variations and negotiation guidelines