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Pscm 432:Negotiations In Procurement Question Paper

Pscm 432:Negotiations In Procurement

Course:Business Administration

Institution: Kenya Methodist University question papers

Exam Year:2012

KENYA METHODIST UNIVERSITY

END OF 2ND TRIMESTER 2012(EVENING) EXAMINATIONS
SCHOOL : BUSINESS AND ECONOMICS
DEPARTMENT : ACCOUNTING AND FINANCE
UNIT CODE : PSCM 432
UNIT TITLE : NEGOTIATION PROCUMENT

TIME: 2 HOURS

Instructions:

Question One

"Case is non in chambers," is the giving principles in renegotiation. Explain the two types of approaches in negotiating and how they contribute to profitability of an organization.

(10mks)

Define negotiation as used in procurement and note why individuals need to be knowledgeable about the process.

(10mks)

Determine the qualities of a good negotiator and mention why they are important.

(10mks)

Question Two

Negotiation may be divided into three phases. Discuss the various activities that are undertaken in various stages.

(15mks)

At what point in procurement does negotiation start?

(5mks)

Question Three

Describe the main objectives of negotiations.

(10mks)

Explain why it’s necessary for a purchasing manager bring attention to ethical issues in negotiation.

(10mks)

Question Four

Once an order has been sealed (LPO) it becomes a legal document. Explain how the negotiation process should ensure that the LPO does not had into legal issues.

(10mks)

Discuss the benefits of specifications and description in an organization before negotiation can commence.

(10mks)

Question Five

Discuss why a negotiator needs to understand the environment of operation.

(15mks)

When is conflict in negotiation desirable?

(5mks)

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