Level 4, M 5

CIPS Level 4 – Diploma in Procurement and Supply

About CIPS

The Chartered Institute of Procurement & Supply (CIPS) is an internationally recognised professional organisation in procurement and supply. CIPS qualifications are designed to develop professional knowledge and competencies, support recognised standards of practice and enhance career development opportunities.

SCM by BMS – Official CIPS Study and Exam Centre

SCM by BMS holds CIPS Approved Study Centre and CIPS Approved Computer-Based Exam Centre status in Azerbaijan.

Our centre provides preparation for CIPS qualifications and access to relevant computer-based examination opportunities.

Your Qualification

The CIPS Level 4 Diploma in Procurement and Supply is a professional qualification designed for individuals seeking to develop their procurement and supply knowledge and skills.

The programme covers the procurement cycle, commercial contracts, supplier sourcing, negotiation, supplier relationships, asset management and the practical application of professional procurement principles.

Level 4 provides a foundation for progression to the CIPS Level 5 Advanced Diploma.

Who Is It For?

This qualification is suitable for individuals planning a career in procurement and supply, professionals working in operational roles, and those supervising or managing procurement activities.

What Will I Learn?

Learners develop the ability to analyse procurement and supply processes, apply practical and theoretical knowledge in the workplace, address complex non-routine problems and evaluate the effectiveness of procurement decisions.

Entry Requirements

According to the CIPS syllabus, applicants should meet one of the following requirements:

A minimum of two A-level qualifications or their international equivalent;

A CIPS Level 3 Advanced Certificate qualification;

Alternatively, at least two years of relevant experience in a business environment.

Credit Values

The Level 4 Diploma consists of eight compulsory core modules totalling 60 credits.

One credit represents 10 hours of total learning time. Individual modules carry either 6 or 12 credits.

Examination Formats

Objective Response (OR): A computer-based examination in which learners select answers from available response options.

Constructed Response (CR): An examination requiring learners to develop written responses, which may include essays or case-study-based answers.

Study Commitments

For the complete Level 4 qualification:

Total Qualification Time (TQT): 600 hours

Guided Learning Hours (GLH): 250 hours

Self-Study Requirement (SSR): At least 335 hours recommended

Total Exam Time: 15 hours

These figures apply to the full Level 4 qualification rather than to each individual module.

 Core Module · 6 Credits · 60 Hours Total Learning Time · Objective Response (OR) Exam: 1.5 Hours

L4M5 — Commercial Negotiation

About the Module

This module develops an understanding of commercial negotiation planning, negotiation strategies, bargaining power and the techniques used to achieve effective agreements with external organisations.

Course Content

1. Approaches to Commercial Negotiation

1.1. Negotiation in procurement

  • Definition of commercial negotiation
  • Negotiation within the CIPS Procurement Cycle
  • Conflict management
  • Negotiation teams and stakeholders

1.2. Negotiation strategies

  • Collaborative and win-win approaches
  • Integrative and principled negotiation
  • Competitive and distributive negotiation

1.3. Bargaining power

  • Buyer and supplier power
  • Organisational leverage
  • Improving negotiating positions

1.4. Commercial relationships

  • Types of supplier relationships
  • Trust and reputation
  • Relationship repair

2. Preparing for Negotiation

2.1. Costs and prices

  • Direct and indirect costs
  • Fixed and variable costs
  • Break-even analysis
  • Costing methods
  • Margins and mark-ups

2.2. Economic factors

  • Microeconomic and macroeconomic indicators
  • Market structures
  • Economic influences on negotiation

2.3. Negotiation planning

  • Objectives and variables
  • BATNA
  • Zone of Potential Agreement (ZOPA)
  • Bargaining mix
  • Positions and interests

2.4. Negotiation resources

  • Venue and format
  • Negotiation team
  • Online and face-to-face meetings

3. Conducting Negotiations

3.1. Negotiation stages

  • Preparation and opening
  • Testing positions
  • Proposing
  • Bargaining
  • Agreement and closure

3.2. Persuasion and influence

  • Persuasion methods
  • Negotiation tactics
  • Influencing counterpart behaviour

3.3. Communication skills

  • Questioning techniques
  • Active listening
  • Verbal and non-verbal communication
  • Cultural differences
  • Emotional intelligence

3.4. Evaluating outcomes

  • Negotiation review
  • Improvement opportunities
  • Lessons for future negotiations

Learning Outcomes

Learners develop the ability to prepare for negotiations, evaluate commercial options, select negotiation strategies and assess negotiation outcomes.

The training schedule will be communicated to you once the group has been formed.

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