OCTOBER DINNER MEETING
Wednesday - October 11, 2000
Please Come Join Us

Educational Resource Presentation
"Fundamentals of Purchasing"
Part 1
5:30 - 6:30 P.M.

New Member Orientation
6:15 P.M.

"NAPM Certification Program"
By Ralph Long, C.P.M.
($10.00)
7:00 P.M.


Please R.S.V.P. by noon on Friday, 10/6/00
(Menu &R.S.V.P. see insert)

To Julie Cooper
(520) 896-6211 (BUS)
(520) 896-6215 (FAX)


For Directions call the Home Town Buffet
at (520) 888-1060, 5101 N.Oracle Rd.


PRESIDENT'S MESSAGE

By Pete Petersen
Qualifications include:BA Business or Engineering/. Excellent written and verbal communication and interpersonal skills. Solid PC skills and experience using Access or similar database management software. Three years experience in business or manufacturing.
Additional desired qualifications:CPM certification is a plus. Proven skills in the development of supplier partnerships. Working knowledge of MRPII systems.
Does this look familiar, today more employers are looking for not only experience but also formal training such as a degree and or a certification in a particular field. In some cases by obtaining such training may open opportunities for advancement in existing job. The NAPM offers the C.P.M. (Certified Purchasing Manager) certification which is highly regarded in the purchasing field and is becoming a requirement that is more and more in demand. Obtaining the C.P.M. certification is an important step in raising our knowledge in our profession to the next level. NAPM-SA encourages and supports the achievement of the C.P.M. This support brought to you in the form of speakers, professional development sessions, satellite seminars, and workshops. This year NAPM-SA will be offering a series of workshops designed to help pass the C.P.M. Exam Modules. In fact our October speaker will be Ralph Long, C.P.M speaking about the C.P.M Certification and the upcoming changes to the test modules. Ralph is well qualified he is a C.P.M., has been an active member in our affiliate for many years, and in his spare time teaches a course in purchasing as the University of Phoenix. If you have any question concerning the C.P.M. certification please contact Ralph or one of the Board member, they will be more than happy to help you.

The responses so far have been positive about the change to the Home Town Buffet as the dinner meeting location, Please let us know how you feel. Also a reminder the surveys that are in the newsletter and that will be available at the dinner meeting are due by the October 11th dinner meeting. This survey will help us know how to better serve you. We need your involvement in order to make this affiliate, your affiliate a better one.

MISSION STATEMENT
THE NATIONAL ASSOCIATION OF PURCHASING MANAGEMENT-SOUTHERN ARIZONA SERVES THE NEEDS OF ITS MEMBERS AND THE PROFESSION BY PROVIDING QUALITY LEARNING OPPORTUNITIES THROUGH EDUCATIONAL FORUMS, CAREER BROADENING EXPERIENCES AND MENTORING OPPORTUNITIES


PROGRAM DINNER NOTES
"NAPM Certification Program"

By Scott Oldendorph, C.P.M.
Purchasing, it is a career field that some have chosen while others it has chosen them. You have been purchasing for a while now and you really enjoy it. So how can you grow in your Purchasing field, get the recognition for your hard work and reap the benefits of it with status, promotion and more money? Earn an "A.P.P." Accredited Purchasing Practitioner certification, or "C.P.M." Certified Purchasing Manager certification or both. Even the purchasing professionals that have already earned their A.P.P. or C.P.M. or both still need to actively work on renewing their certifications before they expire in 5 years from their award date.

But you may say, how can I start and who will lead the way for me? The answer is simple; attend the next NAPM-SA dinner meeting on Wednesday, October 11 at 7:00 PM at the HomeTown Buffet at 5101 N. Oracle Road and learn how to from NAPM-SA Tucson's own instructor, Ralph L. Long, C.P.M., A.P.P.. Both potential and current certification holders should attend this talk from Ralph Long because NAPM has made some updated changes to the partial A.P.P. and complete C.P.M. programs.

Ralph L. Long, C.P.M., A.P.P. has been a member of the NAPM for nine years and has served at the Southern Arizona affiliate in Tucson as their Director of National Affairs, President and as a Director on their Board. Ralph's "day job" is as the Assistant Director of Procurement Services for Pima Community College District, the fourth largest multi-campus college in the country. Ralph's "night job" when not working with NAPM-SA is as an instructor for the University of Phoenix for the past four years teaching the C.P.M. certification program as well as the "Fundamentals of Purchasing". Before his current endeavors Ralph received his Bachelor of Science degree in Business Administration from the U.S. Air Command and Staff College. Ralph's initial tour of duty in the U.S. Air Force lasted 22 years as a Materials Officer until he retired and took his experience to the private sector. In private industry, Ralph gained extra experience as the Senior Director of Materials for the Evergreen Air Center and managed the Velcro twin-plant operations in Douglas, Arizona.

Here is your chance to locally learn about the national C.P.M. certification program and network with your fellow Purchasing professionals. Awaken your mind and meet the challenge. NAPM-SA and the C.P.M. is there for you.

WHERE IN THE WORLD
THE INTERNATIONAL CULTURE QUIZ
When negotiating in this country avoid making presentations filled with "hype", emotion and excitement

Austalia   Jamaica   China    Japan
See answer elsewhere in this newsletter


Dinner Meeting
October 11, 2000 ~ 7:00 P.M.
$10.00 Per Person

BUFFET
Where: Home Town Buffet
5101 N. Oracle Rd.

R.S.V.P. is required (via phone or fax)
before 12:00 noon on Friday October 6, 2000


Please contact Julie Cooper at:
Bus: (520) 896-6211

For Fax response, please complete the following, and
Fax to Julie Cooper at:
(520) 896-6215

Name____________________________________________________________________________________

Company ______________________________________________________#Attending__________________

Phone#___________________________________________________________________________________


DNA's CORNER
A Message From Your DNA
By Mare Allen
As result of the passing of the recent NAPM bylaws change by NAPM membership implementing the Governance Study recommendations, the position of DNA will cease to exist effective on or about August 31, 2001. (Tentative date subject to confirmation by the NAPM Board of Directors)

That seems a little harsh doesn't it?

You have often heard mention of "DNA" at our programs, but do you know what it means?

"DNA" stands for Director for National Affairs and it is one of the key offices within our organization.

Within each affiliate, this person is the main point of contact and communication between the affiliate and the National NAPM Board of Directors, through the District Director.

Some of the responsibilities of the DNA are:
  1. Have a working knowledge of the NAPM Constitution and Bylaws.
  2. Represent the affiliate at all Council meeting and meetings of DNA's held in connection with National Conference.
  3. Maintain advisory contacts with affiliate officers.
  4. Attend all meetings of the affiliate Board of Directors.
  5. Keep the District Director informed of all-important developments in the affiliate.
  6. Inform the District Director of any important items the affiliate desires to have included on the Council docket.
  7. Develop opinion out of the affiliate that may be of value to other affiliates and to the Board of Directors and pass them on to the District Director.
  8. Present a written quarterly Affiliate Activity Report to the Council and each Council meeting and to the District Officers only at the end of the calendar year, covering the highlights of events in the affiliate.
  9. Report to his/her affiliate action taken by the Council of Board of Directors.
  10. Vote in accordance with his/her affiliate's directions at Council Meetings.
  11. Submit Recommendations and Suggestions as authorized by his/her affiliate.
  12. Ensure Membership Reports are submitted monthly.
  13. Notify District Director and Assistant Director of new officers and committee chairs immediately after election or appointment.
I hope this provides some insight into the office of the Director for National Affairs. Now your probably asking yourself the question, "If their doing away with the DNA's, why am I telling you all about their responsibilities?" Well, I believe that this year will be the most important year for the affiliate and the DNA officer to voice their opinion and still maintain some control over what happens to the affiliate after this next fiscal year. If there is anything that I can inform you on this year please let me know. Our voices still can be heard!


UPCOMING EVENTS


NAPM Dinner Meeting                October 11, 2000

Board Meeting                          October 25, 2000


Answer to Culture quiz
Australia "Auzzies" are unimpressed by this type of presentation and will more than likely deflate the presented with caustic humor.




CHECK OUT OUR WEBSITE
You can reach us at:
http://www.azstarnet.com/~napm_sa/

EMAIL: [email protected]

Global Resources
Global Sourcing and Total Cost of Ownership
By Elliott Chaitt
The May 2000 issue of NAPM's INFOEDGE contained a very informative article entitled "Understanding Total Cost of Ownership"(TCO). The author
Shipping Terms and Costs
To determine which costs the buying organization will bear, it is important to understand shipping terms and their meanings:

"FAS (Free Along Side)means ownership of the goods transfers when the supplier delivers the goods to the port of origin. The buying company is responsible for the goods from that point on (on the seas, through customs, and to the purchaser's facility)."

"CIF (Cost Insurance and Freight)means the quoted price includes the price of the goods plus marine insurance and freight costs to a named point. There are several categories of cost that may be incurred in a FAS shipment which will not be included if the shipment is CIF. These include:


"If you will be paying ocean shipping costs, include them in the total landed cost. Marine insurance premiums are for insurance coverage against damage or loss while on the ocean. If you will be paying the premiums, include them in the total landed cost."

"If you are shipping by air, the costs still include the same categories of factors, mainly air freight costs and insurance. Costs of duties, finance costs, and other costs will not change."

Export Packaging, Handling, and Fees
"Heavier packing or crating may be required to prepare the goods to withstand the rigors of international shipping and handling. If special packaging is required, determine if you will pay the costs - either directly or indirectly. If you are bearing these costs, include them in the total landed cost. Handling costs at the port of origin include:


"Export fees are assessed by the government of the country of origin on all goods shipped out of that country (effectively customs duties in reverse). If the country of origin does assess export fees, include them in the total landed cost."

Two additional categories should be added to the total cost of quality when dealing with foreign suppliers. These are the added cost of quality and the increased cost of communications.

Quality Assurance Costs
All of the usual costs of quality assurance which exist with domestic suppliers also apply to foreign sources, however there are unique costs associated with global sourcing. Often the terms of letters of credit or other payment arrangements provide that once goods are delivered to the international carrier payment is made to the supplier. If the goods are found to be defective when received, the purchaser has little or no leverage over the supplier to obtain satisfaction.

It may be necessary to employ an independent quality inspection service in the supplier's country who can assure that quality standards are met prior to shipment. Alternatively, a quality representative might be sent to the foreign country to check the quality. Either way, there can be a significant increase to the cost of insuring quality.

Communications Costs
Compared to domestic costs, the cost of communicating overseas is substantially higher despite reductions in international toll call costs driven by competition from the Internet. The cost of travel to the foreign country to inspect the supplier's facility could exceed the cost of the goods purchased in which case the use of third parties may be the alternative. Independent purchasing offices, consultants and others offer services which can limit or make travel overseas unnecessary. However the cost of these services can be substantial. The cost of hiring interpreters to assist in communicating with non-English speaking suppliers can also increase landed costs. The company seeking to profit from international sourcing should only do so after carefully considering all of the these "hidden" costs before deciding to "go global."

Avoiding Best Practice Failures
Best practice efforts are getting a "bad name" because many organizations are not happy with the results these initiatives are producing, says Marilyn Darling, founder and president of Signet Consulting Group, a Boston-based consulting firm specializing in strategies for corporate learning. Most often, organizations try to replicate best practices without considering the contextual factors that could negatively impact results. Many organizations don't understand that you can't just take a best practice that worked in Company A and move it wholesale to Company B, you have to study the old and new contextual factors and decide how to modify the best practice to work in it's new environment", says Darling.

Those purchasing and supply professionals who are focused on defining and establishing best practices concur. Many suggest that purchasing and supply professionals adapt best practices to various settings. Share success stories and tools across the various sectors of business. In addition, the Internet provides a ready- made infrastructure for this kind of dialogue.
Extracted from Purchasing Today Februar y 2000



EDUCATIONAL RESOURCES
By Myles Zimmerman
October's Professional Development program will be Part 1 of a 4-part video series entitled : The Fundamentals of Purchasing. Part 1 will be : The Purchasing Process. These videos will cover the basics of purchasing procedures. This will be invaluable to the novice purchasing professional and a review for the experienced. With the ever increasing changes and innovations to the Purchasing Profession, i.e. E-commerce, it will be very interesting to note whether the basics of purchasing will remain the same or if they need to be modified or updated. We eagerly welcome experienced Purchasers to this program, to give us their insights and judgments on the Purchasing Process.

Welcome New Members
Bellisa Blakeley
Robert Burgkwist
Elizabeth Campbell
Dirk La Course
Lynn Feetham
Bonnie Fredenburg
Christopher Good
Lynn Hoffman
Mike Irons
Ken Kelly
Jeff Levine
Roxanne Mathis
Robert Mc Clard
Lori Moreno
Lisa Myers
Randy Myers
David Ratchford
Helen Rogers
Beverly Skeens
Nina Sphatz
Luann Todd
Thomas Tuttobene
Bill Westmoreland
Collene Wilcoxson
Lilly Williamson
Michael Wood
 Honeywell
Sargent Controls
Honeywell
Honeywell
Honeywell
Honeywell
Honeywell
Professional Chemical
Honeywell
Alphagraphics
Alphagraphics
Honeywell
Honeywell
Honeywell
Honeywell
Honeywell
Honeywell
Honeywell
Honeywell
Pima County
Honeywell
Honeywell
Honeywell
Honeywell
Honeywell
Honeywell




THE NATIONAL ASSOCIATION OF PURCHASING MANAGEMENT-SOUTHERN ARIZONA AFFILIATE SERVES AS A CENTER OF EXCELLENCE IN ESTABLISHING AND MAINTAINING PROFESSIONAL STANDARDS OF COMPETENCY AND CONDUCT FOR ITS MEMBERS AND THE PROFESSION IN MATTERS PERTAINING TO PURCHASING AND MATERIALS MANAGEMENT.



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