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2017/2018  KAN-CCMVV2504U  Procurement Organization and Strategy

English Title
Procurement Organization and Strategy

Course information
Language English
Course ECTS 7.5 ECTS
Type Elective
Level Full Degree Master
Duration One Quarter
Start time of the course First Quarter
Timetable Course schedule will be posted at calendar.cbs.dk
Study board
Study Board for MSc in Economics and Business Administration
Course coordinator
  • Britta Gammelgaard - Department of Operations Management (OM)
Please find contact information for Student Hub, student Guidiance Services etc. on My.cbs.dk
Main academic disciplines
  • Project and change management
  • Supply chain management and logistics
Last updated on 30-05-2017

Relevant links
Learning objectives
To achieve the grade 12, students should meet the following learning objectives with no or only minor mistakes or errors: The overall aim of the course is to provide students with capabilities that make the value of strategic procurement visible to corporate management and further create the basis from changing the procurement organization from a tactical to a strategic level. Specifically, the learning objectives of the course are the following:
  • Discuss how procurement knowledge and competences can be developed, managed and integrated into corporate strategy.
  • Explore and discuss innovation and change management concepts and theories in relation to a procurement organization in order to resolve concrete development issues.
  • Critically reflect on leadership roles and values in strategic procurement.
  • Communicate results to stakeholders
Examination
Procurement Organization and Strategy:
Exam ECTS 7,5
Examination form Home assignment - written product
Individual or group exam Group exam
Please note the rules in the Programme Regulations about identification of individual contributions.
Number of people in the group 2
Size of written product Max. 25 pages
Individual product max. 15 pages
Assignment type Project
Duration 2 weeks to prepare
Grading scale 7-step scale
Examiner(s) One internal examiner
Exam period Autumn and Autumn
Make-up exam/re-exam
Same examination form as the ordinary exam
Course content and structure

The course firstly discusses of the paradigm shift in the procurement literature towards strategic procurement. It further addresses how this shift effects the procurement organization through category management, individual and organizational skills and development of the function. Next, value creation through procurement and how it relates to corprate strategy is discussed. A higher level of value creation requires knowledge of change management of the procurement function which is addressed next. Then innovation through supplier relations and market driven innovations impacting procurement is discussed. The course concludes with taking the  Chief Procurement Officer´s perspective: How are internal and external stakeholders managed? What role should values such as ethics and sustainability play in the procurement organization, supplier relationships and the supply chain as a whole? How should the procurement organization be developed and how should it relate to innovation?
Teaching methods
Study group with practice input to illustrate and qualify theoretical discussions
Feedback during the teaching period
Student presentations of ongoing project work. Feedback from peers as well as course responsible.
Student workload
Literature study and project drafts 120 hours
Preparation of presentation and feedback to peers 50 hours
Final project work 36 hours
Further Information

It is recommended that this course is taken together with Advanced Sourcing Analysis Technicques.
Expected literature

  • Barney, J.B. (2012), “Purchasing, supply chain management and sustained competitive advantage: The relevance of resource based theory”, Journal of Supply Chain Management, Vol. 48(2), pp. 3-6

  • Brewer, B. L., Aschenbaum, B. and Carter, J. R. (2013), “Understanding the supply chain outsourcing cascade: When does procurement follow manufacturing out the door?”, Journal of Supply Chain Management, Vol. 49(3), pp. 90-110

  • Buchanan, D. and Badham (1999), “Politics and Organizational Change: The Lived Experience”, Human Relations, vol. 52(5), pp.  609-629

  • Driedonks, B.A., Gevers, J.M.P. and van Weele, A.J.  (2010), “Managing sourcing team effectiveness: The need for a team perspective in purchasing”, Journal of Purchasing & Supply Management, 16, pp. 109-117

  • Eltanawy, R., Giunipero, L. and Handfield R. (2014), “Strategic sourcing management´s mindset: strategic sourcing orientation and its implications”, International Journal of Physical Distribution & Logistics Management, 44(10), pp. 768-795

  • Fawcett, S.E., McCarter, M.W., Fawcett, A.M., Webb, G. S. and Magnan, G. (2015), “Why supply chain collaboration fails: the socio-structural view of resistance to relational strategies”, Supply Chain Management: An International Journal, Vol. 20(6), pp. 648 – 663

  • Fraser Johnson, P.; Klassen, R. D.; Leenders, M. R.; Awaysheh, A. (2007), "Selection of planned supply initiatives: the role of senior management expertise", International Journal of Operations & Production Management, 27(12), pp. 1280 – 1302

  • Gold, S., Trautrims, A., Zoe Trodd, Z. (2015) "Modern slavery challenges to supply chain management", Supply Chain Management: An International Journal, 20(5), pp.485 - 494

  • Hesping, F. H. and Schiele, H. (2015), “Purchasing strategy development: A multi-level review”, Journal of Purchasing & Supply Management, 21, pp. 138-150

  • Kern, D., Moser, R., Sundaresan, N. and Hartmann, E. (2011), Purchasing Competence:  Stakeholder-based Framework for Chief Purchasing Officers, Journal of Business Logistics, Vol. 32 (2), pp. 122-138

  • Ketchen, D.J., T. R. Crook and Craighead, C.C. (2014), “From Supply Chains to Supply Ecosystems: Implications for Strategic Sourcing and Research Practice”, Journal of Business Logistics, 35(3), pp. 165-171.

  • Oke, A., Prajogo, D. and Jayaram, J. ((2013), “Strengthening the innovation chain: the role of internal innovation climate and strategic relationships with supply chain partners”, Journal of Supply Chain Management, Vol. 49(4), pp. 43-58

  • Peireira, C. R., Christopher, M. and Da Silva, A. (2014), “Achieving supply chain resilience: the role of procurement”, Supply Chain Management: An International Journal, Vol. 19(5/6), pp. 626-64

  • Ramsay, J. and Croom, S. (2008), "The impact of evolutionary and developmental metaphors on Purchasing and Supply Management: A critique", Journal of Purchasing and Supply Management, vol. 14, no. 3, pp. 192-204.

  • Schuh et al (2012), “The CPO. Transforming Procurement in the Real World”, Springer, New York,

  • Smith, W.K., Lewis, M. W. and Tushman, M. L. (2016), ““Both/And” Leadership””, Harvard Business Review, May, pp. 63-70

  • Tassabehji, R. and Moorhouse, A. (2008), “The changing role of procurement: Developing professional effectiveness”, Journal of Purchasing & Supply Management, Vol. 14(1), pp. 55-68

  • Van Weele, A. J. and van Raaij, E.M. (2014), “The future of purchasing and supply management research: About relevance and rigor”, Journal of Supply Chain Management, Vol. 50(1), pp. 56-72
Last updated on 30-05-2017