Procurement Engineer

Procurement Engineer Exam Guide

Occupational Code: 22-06-02-03

(2022 Edition)

Formulated by Hong Kong Supply Chain Management Certification Association

Exam Focus	Proportion (%)
Master the evolution of the procurement role, understand the differences between traditional procurement, strategic procurement, and future procurement. Understand the role of procurement in cost management, supply chain coordination, innovation promotion, and change leadership. Be familiar with the application of e-procurement, big data analytics, and artificial intelligence in procurement.	10
Key processes and methods for each procurement step, such as procurement planning, supplier selection criteria and methods, negotiation strategies, supplier risk identification and response, supplier partnership building, and supplier performance management. Case study key points: summarize lessons learned from real-world scenarios.	30
Five major procurement focus areas: supplier management, quality management, risk management, performance management, each topic from basic concepts to specific practical methods. End-to-end supplier management process and future trends. Key case studies and reflection exercises.	40
Master the main functions and application value of e-procurement systems. Understand the role of big data in procurement demand analysis and supplier selection. Grasp the application scenarios of artificial intelligence in procurement process automation and intelligent decision-making. Reflect on the core competencies of procurement professionals in the digital era.	20

Chapter-Level Focus	Proportion (%)
Procurement's Past and Present: From Cost to Value.	10
Procurement's Multiple Roles: From Executor to Leader.
Digital Procurement Basics: From Digitalization to Intelligence.
Procurement Planning: From Passive to Proactive, From Extensive to Refined.	30
Supplier Selection: Talents Abound, But Discerning Eyes Are Rare.
Inquiring, Comparing, Negotiating Prices: You Get What You Pay For
Supplier Risk Management: Ensuring Supply Chain Resilience.
Building Supplier Partnerships: Working Together for Win-Win.
Supplier Performance Management: Driving Continuous Improvement.
Supplier Management: From Selection to Empowerment, From Supervision to Collaboration.	40
Quality Management: From Prevention to Monitoring, From Improvement to Enhancement.
Risk Prevention and Control: Gaining Insights, Planning Ahead.
Risk Management: From Identification to Assessment, From Response to Transfer.
Performance Management: From Data to Insights, From Evaluation to Motivation.
E-Procurement Systems: Efficiency Multipliers.	20
Big Data Analytics: Gaining Insights into Demand, Selecting the Best.
Artificial Intelligence: Process Automation, Decision Intelligence.

Procurement Engineer Training Focus

Occupational Code: 22-06-02-03

(2022 Edition)

Formulated by Hong Kong Supply Chain Management Certification Association

Training Focus	Class Hours
1. Analyze the evolution of procurement roles, highlighting the differences between traditional, strategic, and future procurement; 2. Elaborate on the multiple roles and value contributions of procurement in cost, supply chain, innovation, change, and other dimensions; 3. Introduce basic concepts of digital procurement, including e-procurement, big data analytics, artificial intelligence, etc.	2 class hours
1. Explain in detail key processes such as procurement planning, supplier selection, competitive bidding & negotiation, supplier risk control, relationship management, and performance management; 2. Procurement planning: demand aggregation & decomposition, procurement strategy formulation, plan optimization; 3. Supplier selection: screening dimensions & criteria, selection methods (e.g., AHP), optimization strategies; 4. Competitive bidding & negotiation: RFx tool usage, negotiation strategies & tactics, price analysis; 5. Supplier risks: risk identification, assessment, early warning, avoidance, transfer; 6. Supplier relationships: partnership building, benefit-sharing mechanisms, collaborative innovation; 7. Supplier performance: KPI design, evaluation methods, performance feedback & improvement; 8. Through case studies, extract key points and summarize lessons learned.	8 class hours
1. Focus on four major themes: supplier management, quality management, risk management, and performance management; 2. Supplier management: SRM system construction, supplier full lifecycle management, supplier empowerment; 3. Quality management: supplier quality assessment, incoming inspection, pre-storage inspection, quality issue management; 4. Risk prevention & control: risk prediction, contingency plans, supply chain stress testing, risk transfer; 5. Risk management: risk mapping, risk quantification, risk decision-making, risk control; 6. Performance management: performance indicator library, evaluation models, results application, performance interviews. 7. Deepen the understanding and mastery of key points in each theme through case studies and reflection questions.	10 class hours
1. E-procurement systems: main modules & functions, selection & implementation, integration with ERP; 2. Big data analytics: data types, analysis models, visual presentation, applications in demand analysis and supplier selection; Artificial intelligence: machine learning applications in forecasting and optimization, NLP applications in contract analysis, RPA applications in process automation; 3. Discuss the role positioning and competency requirements of procurement professionals in the digital era.	5 class hours

Chapter-Level Focus	Class Hours
Procurement's Past and Present: From Cost to Value	2 class hours
Procurement's Multiple Roles: From Executor to Leader
Digital Procurement Basics: From Digitalization to Intelligence
Procurement Planning: From Passive to Proactive, From Extensive to Refined	8 class hours
Supplier Selection: Talents Abound, But Discerning Eyes Are Rare
Inquiring, Comparing, Negotiating Prices: You Get What You Pay For
Supplier Risk Management: Ensuring Supply Chain Resilience
Building Supplier Partnerships: Working Together for Win-Win
Supplier Performance Management: Driving Continuous Improvement
Supplier Management: From Selection to Empowerment, From Supervision to Collaboration	10class hours
Quality Management: From Prevention to Monitoring, From Improvement to Enhancement
Risk Prevention and Control: Gaining Insights, Planning Ahead
Risk Management: From Identification to Assessment, From Response to Transfer
Performance Management: From Data to Insights, From Evaluation to Motivation
E-Procurement Systems: Efficiency Multipliers	5 class hours
Big Data Analytics: Gaining Insights into Demand, Selecting the Best
Artificial Intelligence: Process Automation, Decision Intelligence

Occupational Skill Standards

Occupational Code: 22-06-02-03

Procurement Engineer

(2022 Edition)

Formulated by Hong Kong Supply Chain Management Certification Association

Explanation

Facing the epochal tide of digital transformation and supply chain revolution, cultivating outstanding procurement talents who lead the future is an urgent task for the industry. As an authoritative industry institution, Hong Kong Supply Chain Management Certification Association has united renowned schools, leading enterprises, and third-party professional institutions from home and abroad to form an expert advisory team covering various fields of industry, academia, research, and application. Based on extensive research and repeated argumentation, with reference to advanced international experience, after a year of dedicated refinement, the "International Occupational Skill Standards for Procurement Engineers (2024 Edition)" (hereinafter referred to as the "Standards") has been meticulously compiled.

The "Standards" are future-oriented, rooted in industrial practice, and comprehensively expound the professional quality, expertise, practical skills, and development potential that procurement engineers should possess in the digital era. It aims to set an innovative, standardized, and pragmatic benchmark for the cultivation and competency evaluation of global procurement talents, lead the development direction of industry talents, and provide strong talent support for promoting the high-quality development of procurement management.

1. The "Standards" adhere to demand orientation and standards first, closely follow the development frontier of digital procurement and intelligent procurement, highlight the composite talent characteristics of procurement engineers' cross-domain knowledge integration and driving procurement innovation, benchmark against international first-class standards, focus on cultivating digital application capabilities and global vision, and empower procurement transformation and value creation.

2. Based on the key business processes and core business scenarios of procurement, the "Standards" systematically portray the competency profile of excellent procurement engineers from three dimensions: professional quality, theoretical knowledge, and practical skills. Professional quality covers professional ethics, integrity and compliance, innovation awareness, continuous learning, etc.; the professional theory system is complete, involving cutting-edge theories such as procurement strategy management, digital procurement, and supply chain collaboration; practical skills focus on key capabilities such as digital tool application and cross-cultural business negotiation.

3. The "Standards" emphasize "five orientations": innovation-driven, digital empowerment, global vision, value creation, and sustainable development. It guides procurement engineers to use innovative thinking and digital means to drive procurement reform, enhance the resilience of the global supply chain, demonstrate professional value in cost reduction and efficiency improvement, supplier empowerment, and practice green and low-carbon concepts.

4. The "Standards" consist of three major parts: basic requirements, occupational functions, and work content:

The basic requirements focus on elaborating the professional positioning, competency characteristics, professional foundation, and general skills of procurement engineers, emphasizing a sense of professional mission, integrity and compliance awareness, and innovation spirit.

Occupational functions are developed from five core modules: digital procurement, strategic procurement, supplier management, risk control, and cross-cultural collaboration, highlighting the practical application of digital procurement and covering the exploration of cutting-edge procurement models.

The work content adopts a four-dimensional framework of "work task - action example - professional skill - theoretical knowledge" to refine the competency requirements of key tasks, with a focus on strengthening the practical capabilities of digital procurement and cross-cultural communication.

5. The "Standards" innovatively construct a multi-dimensional evaluation system of "theoretical examination + case analysis + practical assessment". The theoretical examination focuses on assessing professional theoretical literacy, case analysis highlights strategic thinking and problem-solving ability, and practical assessment sets up projects such as digital procurement and cross-cultural business negotiation to comprehensively evaluate actual work ability. The three dimensions account for 30%, 30%, and 40% of the total weight, respectively.

6. The "Standards" construct a normalized dynamic update mechanism. According to the update cycle of cutting-edge knowledge, research on the occupational environment and job requirements is carried out every 2 years, extensively soliciting opinions from stakeholders such as industry experts, frontline procurement engineers, and employing enterprises, optimizing and iterating to form a new version of the standards, closely following the pulse of the times.

7. The "Standards" are a vane for the cultivation of global procurement talents, a yardstick for the professional ethics of practitioners, and a booster for the supply-side reform of procurement talent supply. The implementation of the "Standards" will deliver a large number of high-level procurement talents with both integrity and ability, broad vision, and the ability to drive change for the industry, injecting surging power into reshaping the competitiveness of modern supply chains and promoting the high-quality development of procurement management. Let us work together to create an excellent procurement future!

Procurement Engineer

International Occupational Skill Standards

(2022 Edition)

1.Occupational Overview

1.1 Occupational Title

Procurement Engineer

1.2 Definition

Procurement engineers refer to composite professionals who use digital tools and intelligent systems, master cutting-edge theories across disciplines, carry out strategic procurement practices, drive procurement process reengineering, optimize resource allocation, continuously create procurement value, and lead the digital and intelligent transformation of procurement.

1.3 Occupational Level

Procurement Engineer (single level)

1.4 Occupational Attributes

This occupation belongs to an emerging profession, integrating knowledge and skills from multiple disciplines such as procurement management, supply chain management, data science, and artificial intelligence. It is a key force in driving procurement transformation and reshaping the competitiveness of supply chains.

1.5 Occupational Positioning

This occupation is positioned at the procurement decision-making and management level of enterprises and institutions, and is a core role in leading procurement change and innovation. By building a digital procurement system, formulating procurement strategies, optimizing supplier management, and driving organizational digital procurement transformation, cost reduction, efficiency improvement and value creation can be achieved.

1.6 Occupational Environment

This occupation is mostly engaged in digital procurement work in fields such as manufacturing, retail, and high-tech. The workplace presents characteristics of flattening, intelligence, and virtualization. Daily work closely collaborates with upstream and downstream partners in the supply chain, frequently participates in international business exchanges and cultural communication, and faces a fast-paced, high-pressure, and frequently changing occupational environment.

1.7 Occupational Competency Characteristics

Digital thinking, strategic vision, cross-border integration, and change leadership are the core competency elements of this occupation. It requires keen insight to lead cutting-edge procurement practices. Skilled in leveraging digital tools to drive process reengineering. Possessing a strong sense of national pride and upholding the bottom line of integrity. Courageous in innovation and change, stimulating organizational vitality. Well-versed in international business rules and navigating cross-cultural differences.

1.8 Basic Educational Level

Bachelor's degree or above, with preference for related majors such as supply chain management, procurement management, business administration, information management, and data science. Those with interdisciplinary composite backgrounds are preferred.

1.9 Reference Training Hours

Adopting a training model combining online learning, case studies, practical training, and extension training, the total training hours shall not be less than 150 hours. Online learning accounts for 40%, practical training accounts for 50%, and extension training accounts for 10%.

1.9.1 Occupational Skill Assessment Requirements

1.9.2 Application Conditions

-Have a high school diploma and have been continuously engaged in this occupation for more than 8 years;

-Have a college diploma and have been continuously engaged in this occupation for more than 4 years;

-Have a bachelor's degree in this major or related majors and have been continuously engaged in this occupation for more than 3 years;

-Have a master's degree in this major or related majors.

1.9.3 Assessment Methods

A combination of theoretical knowledge examination and practical assessment is adopted.

The theoretical examination is mainly in the form of a written test, covering procurement strategic planning, digital procurement, supplier management, etc., with a duration of 120 minutes.

The practical assessment includes digital procurement project implementation, cross-cultural business negotiation, etc., with a duration of not less than 120 minutes.

The three dimensions account for 60% and 40% of the total weight respectively, with a passing score of 70 or above.

1.9.4 Ratio of Invigilators and Assessors

In the theoretical examination, each examination room is equipped with 2 invigilators, and the ratio of invigilators to candidates is not less than 1:15.

In the case analysis and practical assessment, each examination room is equipped with an odd number of 5 assessors, and the ratio of senior assessors to assessors is not less than 2:3.

1.9.5 Venue and Equipment Requirements

The theoretical examination is conducted in a standardized computer-based examination room equipped with facial recognition, anti-cheating intelligent monitoring and other systems.

The case analysis is conducted in a multimedia classroom equipped with a case analysis assessment system.

The practical assessment is carried out in a digital procurement comprehensive training center, equipped with digital bidding and procurement systems, supplier relationship management systems, big data analysis systems, etc., to achieve full-process simulation of digital procurement.

1.9.6 General Occupational Competencies

(1) Digital application ability: Skillfully use digital tools such as big data and artificial intelligence to optimize procurement decisions and transform procurement processes.

(2) Strategic thinking ability: Based on the overall situation, have keen insight, formulate procurement strategies that align with the enterprise's development strategy, and lead the sustainable development of procurement.

(3) Innovation and change ability: Be good at reviewing procurement processes with an innovative perspective, optimizing resource allocation with innovative methods, and daring to break through traditional thinking patterns.

(4) Cross-cultural communication ability: Understand business cultural differences in different countries, flexibly apply cross-cultural communication strategies, and establish equal and mutually beneficial cooperative relationships.

(5) Leadership and command ability: Unite all forces, eliminate departmental barriers, build win-win partnerships, coordinate resources to form a joint force, and promote organizational change.

2. Basic Requirements

2.1 Professional Ethics

(1) Be dedicated to the job and devote oneself to the procurement career with a high sense of responsibility. Regard procurement as a stage for value creation and fulfill job responsibilities with a firm sense of professional mission.

(2) Be honest and trustworthy, and adhere to the bottom line of integrity. Eliminate illegal and non-compliant behaviors such as corruption, bribery, malpractice for personal gain, and disclosure of secrets, and uphold conscience, candor, and uprightness.

(3) Operate in compliance with laws and regulations. Carry out procurement activities in accordance with laws and regulations, consciously resist commercial bribery, and maintain a fair and competitive market order.

(4) Be open and inclusive, and respect cultural differences. Treat different cultures with an open mind, resolve differences with a sincere attitude, and seek win-win cooperation with an inclusive spirit.

(5) Be green and environmentally friendly, and adhere to the concept of sustainable development. Integrate green, energy-saving, and environmental protection concepts into the entire procurement process and practice corporate social responsibility.

2.2 Basic Knowledge

2.2.1 Management Knowledge

(1) Procurement strategy management: procurement strategy planning, centralized and decentralized procurement, strategic alliances, etc.

(2) Procurement organization and process management: procurement organization design, procurement process optimization, digital procurement process reengineering, etc.

(3) Full life-cycle cost management: TCO concept, total cost of ownership calculation, supply chain cost optimization, etc.

(4) Procurement performance management: procurement performance evaluation indicators, balanced scorecard, continuous improvement methods, etc.

(5) Procurement talent management: procurement personnel competency model, talent development system, digital talent empowerment, etc.

2.2.2 Supply Chain Professional Knowledge

(1) Supply chain digital transformation: Supply Chain 4.0, digital supply chain, supply chain control tower, etc.

(2) Agile supply chain management: demand-driven supply chain, rapid response, supply chain resilience, etc.

(3) Supplier relationship management: supplier full life-cycle management, supplier development, evaluation, performance improvement, strategic cooperation, etc.

(4) Global supply chain management: international trade rules, cross-border procurement risk management, supply chain localization, etc.

(5) Sustainable supply chain management: green procurement, circular economy, supplier social responsibility, etc.

2.2.3 Digitalization and Intelligence Knowledge

(1) Digital procurement: e-procurement, online bidding, e-contracts, unmanned intelligent procurement, etc.

(2) Big data analysis: data mining and visualization, demand forecasting, supplier evaluation, risk warning and other big data application scenarios.

(3) Artificial intelligence: intelligent demand matching, intelligent negotiation, intelligent evaluation of supplier performance and other AI applications.

(4) Blockchain: traceability, genuine product verification, supply chain finance and other blockchain applications in the procurement field.

(5) Cloud computing and Internet of Things: cloud procurement collaboration platform, supply chain visualization, smart warehousing and other emerging technology applications.

2.3 General Skills

(1) Strategic analysis and decision-making: industry trend judgment, internal and external environment analysis, strategy selection and planning.

(2) Business negotiation: negotiation strategy formulation, bargaining, contract negotiation and other business negotiation skills.

(3) Data analysis: data collection and governance, data analysis model construction, data visualization presentation, etc.

(4) Project management: planning, implementation, monitoring, optimization and other full-process management of digital procurement projects.

(5) Change management: digital procurement change plan design, change resistance response, organizational culture reconstruction, etc.

3.Occupational Functions

3.1 Digital Procurement Transformation（Weight 30%）

3.1.1 Digital Procurement Strategy Formulation

(1) Analyze digital procurement development trends and assess the enterprise's digitalization.

(2) Design a digital procurement transformation roadmap, clarifying transformation goals, paths, measures, resource allocation, etc.

(3) Formulate digital procurement strategies, build a digital procurement system framework, and select appropriate digital procurement models.

(4) Design a digital procurement performance evaluation system and establish a continuous improvement mechanism for digital procurement.

3.1.2 Digital Procurement Process Reengineering

(1) Sort out the current state of procurement business, identify key processes to be optimized, and determine the focus of digital transformation.

(2) Use process mining and other technologies to diagnose bottlenecks in procurement processes and assess the maturity of process digitalization.

(3) Use RPA, AI and other technical means to carry out process automation and intelligent transformation, and achieve end-to-end process integration.

(4) Build a digital procurement collaboration platform based on an intelligent workflow engine, connecting procurement, business departments and suppliers.

3.1.3 Digital Procurement System Construction

(1) Formulate a digital procurement system construction plan, align with the enterprise's informatization strategy, and take into account business continuity.

(2) Select digital procurement systems, benchmarking industry best practices, and comprehensively considering system performance, scalability, and security.

(3) Lead key links such as demand analysis, functional design, development implementation, and go-live switching of digital procurement systems.

(4) Establish a digital procurement system operation and maintenance system, carry out system operation monitoring, fault handling, upgrade and optimization, etc.

3.1.4 Digital Procurement Change Management

(1) Design a digital procurement organizational change plan, optimize the organizational structure, and clarify roles and responsibilities.

(2) Formulate a digital procurement talent competency model, conduct digital talent inventory, and implement targeted training plans.

(3) Carry out digital procurement culture shaping and create a cultural atmosphere that encourages innovation, tolerates failure, and focuses on collaboration.

(4) Establish a multi-dimensional change communication mechanism, eliminate change resistance, build consensus, and form a synergy.

3.2 Strategic Procurement Management（Weight 25%）

3.2.1 Procurement Demand Management

(1) Closely communicate with business departments, gain an in-depth understanding of business development plans, and explore potential procurement needs.

(2) Use big data analysis tools to accurately predict procurement demand and realize demand-driven procurement.

(3) Conduct classified management of procurement demand, formulate targeted procurement strategies, and match resource allocation.

(4) Promptly adjust procurement plans to respond to demand changes, and improve the agility and resilience of demand response.

3.2.2 Procurement Strategic Planning

(1) Systematically analyze the internal and external environment of the enterprise, grasp industry development trends, and identify procurement strategic focuses.

(2) Balance multiple goals such as cost, quality, innovation, and risk, and formulate forward-looking procurement strategic plans.

(3) Clarify the timetable and roadmap of procurement strategic measures, match resource input, and implement strategic action plans.

(4) Establish a procurement strategy evaluation mechanism, dynamically optimize and adjust, and ensure the effective implementation of strategic plans.

3.2.3 Strategic Procurement Model Innovation

(1) Continuously track industry procurement model innovation practices and keenly insight into procurement model reform trends.

(2) Explore open collaborative procurement based on the supply chain ecosystem and realize deep coordination of various links in the supply chain.

(3) Pilot demand-oriented agile procurement models to enhance the ability to quickly respond to changes in market demand.

(4) Innovate procurement business models and explore new business model transformation paths such as platform-based procurement and capacity sharing.

3.2.4 Core Supplier Strategic Cooperation

(1) Establish a core supplier selection model, comprehensively evaluate the strategic matching degree of suppliers, and lock in strategic partners.

(2) Construct a strategic cooperation framework with core suppliers, clarifying strategic cooperation goals, mechanisms, risk prevention, etc.

(3) Carry out in-depth cooperation with core suppliers in areas such as technological innovation, quality improvement, and cost optimization.

(4) Establish an investment mechanism for core suppliers, promote vertical integration of the supply chain, and achieve synergistic efficiency in the supply chain.

3.3 Intelligent Supplier Management（Weight 20%）

3.3.1 Supplier Full Life Cycle Management

(1) Build a management process covering the full life cycle of suppliers to achieve systematic and standardized supplier management.

(2) Develop a supplier full life cycle management system, applying big data, cloud computing and other technical means to improve management efficiency.

(3) Establish a supplier elimination mechanism, dynamically optimize the supplier resource pool, and improve the quality of supplier resources.

(4) Carry out hierarchical and classified management of suppliers, formulate differentiated management strategies, and match the degree of resource allocation.

3.3.2 Supplier Development and Selection

(1) Use big data analysis tools to continuously search for and compare potential suppliers, and expand supply channels.

(2) Formulate supplier access standards and comprehensively evaluate suppliers' performance in multiple dimensions such as technology, quality, delivery, and service.

(3) Innovate supplier selection methods and explore the use of digital means such as intelligent bid evaluation, VR presentation, and online bidding.

(4) Establish a supplier qualification review mechanism, strictly control supplier access, and control supply risks.

3.3.3 Supplier Performance Management

(1) Formulate supplier performance evaluation indicators, taking into account both supplier performance and strategic collaboration results.

(2) Use big data analysis tools to carry out comprehensive performance evaluations of suppliers and form objective evaluation results.

(3) For supplier shortcomings, formulate performance improvement plans, empower suppliers to continuously improve, and achieve collaborative growth.

(4) Link supplier performance evaluation results with procurement decisions and resource allocation to motivate suppliers to pursue excellence.

3.3.4 Supplier Relationship Management

(1) Analyze the current state of supplier relationships, diagnose key supplier relationship risks, and formulate targeted management measures.

(2) Establish a regular supplier communication mechanism and enhance mutual strategic trust through high-level mutual visits.

(3) Create an atmosphere of trust and win-win cooperation, strengthen supplier cultural identity, and enhance supplier stickiness.

(4) Expand the breadth and depth of cooperation with suppliers, and achieve an upgrade from a transactional relationship to a partnership relationship.

3.4 Digital Procurement Risk Control （Weight 15%）

3.4.1 Procurement Risk Early Warning

(1) Comprehensively sort out procurement risk points, establish a procurement risk list, and achieve panoramic management of procurement risks.

(2) Develop a procurement risk monitoring and early warning model, comprehensively using big data, knowledge graphs and other technologies to accurately portray risks.

(3) Establish a procurement risk early warning information release mechanism, using digital means to achieve timely perception and response to risks.

(4) Carry out supply chain stress testing, simulate extreme risk scenarios, assess supply chain resilience, and improve plans.

3.4.2 Procurement Compliance Management

(1) Deeply interpret domestic and foreign laws and regulations, grasp compliance red lines, and establish procurement compliance guidelines.

(2) Formulate a code of conduct for procurement personnel, strengthen moral education, and build a solid awareness of integrity and compliance.

(3) Optimize the authorization system, refine the checks and balances mechanism for the whole process, and embed compliance requirements into the procurement process.

(4) Strengthen the traceability management of the entire procurement process, and use technical means such as blockchain to prevent legal compliance risks.

3.4.3 Supply Chain Resilience Management

(1) Carry out supply chain vulnerability analysis and construct a supply chain risk map covering multi-level suppliers.

(2) Build a supply chain visualization platform, using Internet of Things, big data and other technologies to monitor the operation status of the supply chain in real time.

(3) Identify supply bottlenecks of key resources, develop diversified supply channels, and improve the supply elasticity of resources.

(4) Work with upstream and downstream industry chains to jointly deal with extreme risk events, formulate joint plans, and enhance collaborative risk resistance capabilities.

3.4.4 Supplier Risk Management

(1) Establish a supplier risk assessment model to evaluate supplier risks from multiple dimensions such as financial, operational, and reputational.

(2) Rely on third-party credit platforms to obtain dynamic risk information of suppliers and achieve early warning of supplier risks.

(3) For key risk suppliers, formulate risk prevention and control measures to strictly control risk spread. Initiate supplier replacement when necessary.

(4) Incorporate supplier risk clauses into procurement contracts, define risk sharing mechanisms, and clarify the rights and obligations of both parties.

3.5 Cross-cultural Procurement Collaboration（Weight 10%）

3.5.1 Differentiated Procurement Strategies

(1) Deeply analyze the differences in the political and economic environments of different countries and regions, and fully understand the local business ecology.

(2) Study the orientation of host country industrial policies, grasp the characteristics of the local supply market, and formulate procurement strategies adapted to local conditions.

(3) Balance the overall global procurement and regional procurement flexibility, and balance centralized procurement and localized procurement.

(4) For regions with significant cultural differences, optimize procurement models, standards, and processes according to local conditions.

3.5.2 Cross-cultural Communication and Negotiation

(1) Learn diverse cultures, cultivate cross-cultural understanding, and establish sensitivity to cultural differences.

(2) Use empathy, think from others' perspectives, and treat cultural differences with an open and inclusive attitude.

(3) Optimize business communication methods according to local conditions, pay attention to non-verbal communication, and resolve cross-cultural communication barriers.

(4) Grasp the negotiation customs of different countries, tailor negotiation strategies, and navigate complex cross-cultural negotiation scenarios.

3.5.3 Global Supplier Management

(1) Refer to international standards, formulate globally unified supplier management norms, and improve management consistency.

(2) Build a global supplier management collaboration platform to realize multi-regional supplier information sharing and business collaboration.

(3) Establish a global joint innovation mechanism for strategic suppliers, integrate global resources, and achieve collaborative innovation.

(4) Regularly hold global supplier conferences to enhance multi-cultural exchanges, build consensus, and stimulate collaborative vitality.

3.5.4 Localized Resource Integration

(1) Attach importance to the localization of overseas procurement teams and equip them with local talents familiar with local languages and cultures.

(2) Strengthen the localized management of overseas procurement teams, grant full autonomy, and improve the level of localized services.

(3) Actively expand local key resources, promote local employment, and practice local social responsibilities.

(4) Explore the establishment of purchasing alliances with local leading enterprises to integrate high-quality resources and achieve mutual benefit and win-win.