Cips and Ism Analyse

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Introduction

Owing to the fact that the competition today is getting tougher and tougher, enterprises are requiring more specific job classifications in order to survive, such as developing new suppliers, material purchasing and supply chain management etc. As a result of this kind of competition, more and more professional purchasing associations spring out throughout the world. This report, however, will just focus on two different purchasing associations. The first one is known as Charted Institute of Purchasing & Supply, which is an international organisation working in purchasing, supply procurement and supply chain management. CIPS is considered as the advanced association in terms of professional procurement. Because of CIPS’s great contribution on procurement industry, it was awarded with the Royal Charter by the Queen of UK in 1992. More significantly, more than 150 countries around the world have adopted the CIPS code of professional ethics as a world standard in ethical guidelines. Another purchasing association will be researched in this report is called Institute for Supply Management, abbreviated as ISM, which was formerly called the National Association of Purchasing Management (NAPM). It was the earliest-founded America-based supply management institute in the world, which can be traced back to 1915. However, after 87 years, on January 2002 exactly, the term “ISM” was used as the association’s new name in front of the public. By taking advantages of its cumulative experience and superiorities in its supply management area, such as education, research, standards of excellence and information dissemination, it aims to become the most popular association in supply management profession around the world. It should be mentioned that ISM is distinguished for issuing the renowned monthly ISM Report on Business, which includes the well-known Purchasing Managers’ Index (PMI). Although both of the two associations mentioned above obtain the authorisation and qualification to issue the certifications to their members who equip with knowledge of the main concepts and principles related to the area of study, technically, they focus on different areas. CIPS takes care of both procurement and supply management dimension while ISM more emphases supply area.

1. Scope of activities Involved in these two associations
1.1 Scope of activities in CIPS

CIPS is dedicated to offer the assistance to all kinds of organisations and individuals in achieving overall brilliance in procurement and supply management. According to CIPS’ portal website, followings are the specific activities involving in CIPS: 1. Developing, representing and explicating the business discipline and good practice of purchasing and supply management. 2. Exploring, promoting and testing new and advanced methods in purchasing and supply management. 3. Offering the right strategies, process, people and leadership to all organisations where the capability in their purchasing and supply management needs to be developed. 4. Educating, training and supporting persons engaged in the practice of purchasing and supply 5. Serving the public benefit and good by means of promoting the art and science of purchasing and supply. 6. Conducting Investment activities and charitable activities, which is shown on the CIPS Annual Review (2009, p15).

1.2 Scope of activities in ISM

As a not-for profit association, ISM has tried to continue their leadership in academic community, which requires ISM to run a wide variety of activities. 1. Providing the ISM membership with information which is timely and useful in supply management. 2. Providing Sustainability Resources, such as the real world examples of how companies apply sustainability and social responsibility excellence, which includes metrics, performance criteria and some of the unique stories from companies and organisations like IBM, Herman Miller, MeadWestvaco etc. 3. Offering online...
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