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April 27, 2024

BUSM4602 Managing Supply Contracts

BUSM4602 Managing Supply Contracts

Assessment 1: Supply chain complexity and the implications for contract management in a global environment


The aim of this assignment is to evaluate the student’s understanding of the principles and concepts of Supply Chain Management (SCM) in a Global environment. The student’s understanding of the role of the contract, contract management instruments (Statements of Work, Schedules to contracts, Pricing, Requirements, Service Level Agreements (SLA’s), and Key Performance Indicators (KPI’s)) and operating structures in supply chains will be assessed, as well as their understanding of the supply chain complexity and the impacts and associated risks to all parties involved in the contract including public who are sometimes the end customers or recipients of the contracted products and services in the contract.  Linked learning outcomes

  • CLO 1 Critically evaluate the impact of the growing complexity of global business on supply contract relations.
  • CLO 2 Discuss and apply the contractual frameworks and theories commonly used in supply relations.
  • CLO 6 Discuss the different types of contracts and assess their role and application.

BUSM4602 Managing Supply Contracts

BUSM4602 Managing Supply Contracts

This assessment will determine your ability to:

  • Identify the global Supply Chain Management (SCM) complexities that are faced by suppliers, customers, consumers across all types of products and services.
  • Establish categories of risks that are impacted by these Supply Contract Management (SCM) complexities.
  • Develop mitigation strategies and plans that are pertinent and implemented by all stakeholders to identify, record, manage and monitor such risks.
  • Identify benefits of a Global Supply Contract Management (SCM) model – who are the major winners in this process.
  • List the differences that apply to domestic SCM vs global SCM.
  • Show how contract instruments are used in Supply Contract Management (SCM) and what purposes do they serve in this process.
  • Develop insights into contract management and the obligations on suppliers and customers.
  • Have an appreciation for large multinational organisations that source from hundreds of suppliers with varying levels of size and market strength.

BUSM4602 Managing Supply Contracts

Assessment details

As trade is increasingly conducted in a global environment, businesses have begun to focus on SCM (Supply Contract Management) and the risks and benefits associated with operating in a global environment. In this assignment, you will work individually to prepare a comprehensive review of two key cases and develop a well- structured and referenced report on the SCM complexities. The report will discuss the risks and benefits of SCM and how these factors impact on the way businesses negotiate contracts in this context to meet their objectives.

You will conduct research across TWO key cases in a global supply chain contract environment and prepare a report demonstrating the following:

  • Present the complete procurement life cycle that operates in a supply contract environment
  • Comment on the key steps in the life cycle that are pertinent to the supply contract development and execution
  • Identify FIVE (5) key supply contract risks that exist within a global supply contract environment, and explain the mitigation plans for both the supplier and the customer
  • Discuss supply chain complexities in a global context and state the benefits and opportunities available to suppliers and the end customers
  • Explain how supply chain complexity affects contract management structures, processes and outcomes in a business context
  • Outline FIVE (5) pitfalls common in supply chain complexities, in each case comment on the causes of such outcomes
  • Adopt an innovative approach to responding to previously identified pitfalls.
  • Summarise the concept of supply contract complexities in a global environment and the key instruments used to manage them including negotiation techniques.

BUSM4602 Managing Supply Contracts

Guiding principles for completing the report

The quality of your work will be determined mainly by:

▪ Clarity and coherence of the structure of your report

▪ Clearly illustrated arguments showing that you have researched the relevant topics and provided cases extensively

▪ Coverage of the report that ensures you have understood the concepts and complexities of supply contracts in a global environment

▪ Ability to articulate practical examples and or relevant business experience to support your summary.


The report word count must be strictly adhered to and there must be clear evidence that this is your own work and this is an individual assignment. APA.

Case 1: Boeing (link in Assessment 1 page on Canvas)

Case 2: Toyota’s answer to high fuel costs and carbon emissions environmental and social risks (document in Assessment 1 page on Canvas)