Activity I Activity IAcquiring Resources
Based on the interview with Janet Parker, explain the following resource acquisition processes.
Process
Explanation tendered process
non-tendered process
contracted supplier ordering
internal approvals
periodic forecasts
Process
Explanation tendered process
a tender is an offer to provide goods or services which includes detailed estimates and the total cost of supply. It is common for government departments to advertise (or "call") for tenders for specific projects eg provision of mail services to a rural community or supply of a fleet of vehicles. non-tendered process
are other methods of acquiring resources and might include using a purchase requisition or purchase order, seeking quotes from a number of suppliers according to organisational policy and procedures, taking advantage of sales or clearances, hiring staff on a casual basis, leasing equipment for a period of time. contracted supplier ordering
involves purchasing from a supplier who is contracted to that organisation for a given period of time to provide certain goods. The supplier usually offers exceptional value in return for this contract. An example would be in a large organisation contracting to purchase all computers from the one supplier. internal approvals
it is usual for all purchases to require some form of internal approval or authorisation before purchase can be made. This authority could vary from being able to approve petty cash purchases less than $100 through to having authority to replace the company's fleet of cars. periodic forecasts
the smooth running of an organisation will require keeping track of resources on a continuous basis. Shortages of stock or raw materials, consumables or human resources will impact on the achievement of organisational goals. To avoid this some form of periodic forecast - a regular estimate of future needs or outcomes - needs to be conducted. This will allow the organisation to better plan for and budget for upcoming purchases.