This lecture introduces the foundational concepts of global sourcing and procurement. It covers the key differences between domestic and global purchasing, highlighting the benefits and challenges of sourcing internationally. Topics include the various levels of global sourcing, the process of switching from domestic to global sourcing, common roadblocks, and strategies for overcoming them. Additionally, the lecture will explore sourcing strategies, their pros and cons, and the role of domestic global sourcing companies in shaping an effective global procurement strategy.

This lecture delves into the operational aspects of international sourcing and supplier management. It covers the importance of in-country-based sourcing representatives and the establishment of an International Purchase Office (IPO). Topics include sourcing directly from offshore suppliers, identifying and qualifying offshore suppliers, and evaluating procurement techniques. The lecture will also cover key considerations for comparing total landed costs of acquisition and strategies for negotiating with offshore suppliers and financing international transactions.

In this lecture, we focus on the legal and contractual aspects of international procurement. Key topics include the role of domestic law and the CISG (Convention on Contracts for the International Sale of Goods), as well as the process of preparing contracts with offshore suppliers. The lecture will highlight the essential documentation required for international procurement, key contract clauses, and dispute settlement provisions. Additionally, recommended methods of payment and strategies for protecting purchases from foreign currency exposure will be discussed.

This lecture covers the critical logistics and shipping considerations in international procurement. Topics include the various terms of purchase and shipping documentation, and what the purchaser should specify in an international purchase contract. The lecture will also explore International Commercial Terms (INCOTERMS), and essential international purchasing documents such as the Bill of Lading. Finally, the session will focus on international negotiation techniques, cultural influences on negotiations, and managing the negotiation process effectively.

This lecture focuses on negotiation strategies and decision-making in the context of international procurement. It explores global negotiation styles and cultural differences, such as the American perspective on negotiating with Saudis, and vice versa. The session will also examine practical issues in cross-cultural negotiations, decision-making processes, and approaches to resolving differences in negotiation tactics. By understanding these nuances, participants will be better equipped to manage complex international negotiations effectively.