CIPS contractual terms and their impact on the distribution of power and risk between the supplier and your organisation


Advanced Practitioner Corporate Award

Assessment Code: APCE

This assessment tests the learning outcomes and module content of:

Module : Contracting Excellence in Procurement and Supply


Select a contract that is used by your organisation.

Assess the contractual terms and their impact on the distribution of power and risk between the supplier and your organisation.


1.0 Introduction

The Department of Culture and Tourism (DCT) is tasked with regulating, developing and promoting the Emirate of Abu Dhabi. The promotion majorly focuses on areas such as making Abu Dhabi a global destination, rich cultural authenticity, diversity in their natural offerings and unparalleled family leisure and entertainment attractions (DCT, 2018). Their practices are aimed at supporting the Abu Dhabi Emirate as a world-class, sustainable destination.  Having been set-up in alignment with the Abu Dhabi Economic Vision 2030, it offers immense contributions to the country economic diversification, operating collaboratively with different stakeholders in marketing Abu Dhabi locally and internationally.  In regard to the company procurement approach, it is aimed at providing excellent procurement services through capitalization of value creation and support of the company growth. Additionally, the company tends to adopt an industry best-in-class practices playing the role of a local content (In-country value content) which is an ethical advocating and operations. The rationale of this is integrating the procurement division in the verge of the provision of sourcing strategies which is linked with the fact that modern organizations tend to operate in an environment that has diverse economic and political disruptions influencing their suppliers in different categories of spend. This is in line with Lee (2002) study that noted that supply market is characterized by multiple uncertainties with a negative impact on hindering entity sustainability in innovation and best practices.

Taking into consideration of the above background of the study, this assessment tends to identify the different sourcing strategies and the extent to which they can successfully be integrated at DCT in a specific area of spend. Also, a supplier appraisal checklist for the identified area of spending, a strategic position through a reference to Portfolio commonly identified as Kralij analysis and business hierarchy of needs CIPS 5 rights have been employed as a reference of the current study.

2.0 Categories of Spend and Positioning

From a general point of view, the procurement dependent of any organization is identified by the presence of a strategic sourcing approach which is at all times essential for the company survival and overall growth. This is in line with Inderfurth et al. (2013) study that observed that the relevance of a sourcing approach in an entity is informed by the fact that products and services are outsourced from different sources. The procured products and services determine the client satisfaction as opposed to the in-house facilities in terms of profitability and overall market dominance………………………………………………………………………………………………………………………Please contact us through to receive this assessment in full