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CIPS Level 6 Commercial Data Management (L6M7)

The CIPS Level 6 Module 7: Commercial Data Management focuses on understanding the role of big data in procurement and supply chain management. This unit emphasizes how data-driven decision-making impacts procurement strategies, supplier relationships, and operational efficiencies. Learners will explore the historical evolution of big data, its significance in modern supply chains, and how organizations leverage it for competitive advantage.

By mastering this unit, procurement professionals can analyze internal and external data sources, apply business intelligence tools, and enhance decision-making processes. The unit also highlights the importance of data scalability, storage, and processing power, preparing learners to handle large datasets efficiently.

Unit Significance

This unit is crucial for senior procurement and supply professionals who seek to optimize procurement operations through big data analytics. It enables professionals to:

  • Identify and analyze procurement-related data sources.
  • Implement big data strategies to improve supply chain efficiency.
  • Evaluate business intelligence tools for strategic decision-making.
  • Understand the impact of big data on procurement agility and innovation.

By developing these competencies, learners can drive cost reductions, supplier performance improvements, and data-driven risk management in procurement and supply chains.

Unit Objectives

The key learning objectives of this unit include:

  • To understand the role of big data in the procurement and supply function.
  • To evaluate the impact of technological advancements on data management in procurement.
  • To analyze the various sources and types of data used in supply chain decision-making.
  • To apply business intelligence (BI) and data analytics to enhance procurement strategies.

Learning Outcomes

The significant learning outcomes of the unit CIPS Level 6 Commercial Data Management (L6M7) are demonstrated below:

LO1: Understand the concept of big data in the global supply chain

This learning outcome focuses on developing an understanding of big data and its historical evolution in procurement and supply chain management. Learners will evaluate how technological advancements, such as increasing data volumes, storage capacity, and processing speed, have transformed big data from a technical challenge into a business opportunity. Key concepts like the 3Vs of big data (Volume, Velocity, Variety) will be explored, along with the importance of diverse data sources such as sensors, devices, web applications, and social media. By mastering this outcome, learners will gain the ability to leverage business intelligence (BI) and analytics for improved agility and innovation in procurement.

LO2: Understand data integrity and its impact on procurement and supply

This learning outcome focuses on data integrity, security, and confidentiality in procurement. Learners will evaluate the differences between data integrity and data security, as well as key legal frameworks, including the UK Data Protection Act, General Data Protection Regulation (GDPR), and EU Data Protection Directive. Learners will also explore the implications of data disruption and the importance of data resilience strategies in maintaining a secure supply chain. Additionally, international laws and standards such as ISO/IEC 27001, ISO/PAS 28000, and PCI Data Security Standards will be assessed to ensure compliance, risk management, and responsible data handling. By mastering this outcome, learners will develop the ability to implement robust data protection strategies in procurement.

LO3: Understand the impact of cyber security on procurement and supply

The focus of this learning outcome is to equip learners with knowledge of cyber security risks and their impact on procurement. Learners will explore Supply Chain Cyber Security (SCCS) and the key drivers for cyber threats, including malware, data theft, cyber-terrorism, and counterfeit hardware. This outcome will also cover best practices for minimizing cyber risks, such as buying from trusted vendors, implementing strict security policies, and educating users on cyber threats. Learners will assess data security technologies, including encryption, data masking, and hardware-based protection to secure procurement operations. By mastering this outcome, learners will be able to identify vulnerabilities, implement security strategies, and ensure data protection across the supply chain.

Assessment Criteria

The assessment for this unit is based on the ability to:

  • Demonstrate a clear understanding of the concept and evolution of big data in procurement.
  • Analyze real-world procurement data using business intelligence and analytics tools.
  • Evaluate the impact of big data on procurement agility, decision-making, and risk management.
  • Develop strategic recommendations for implementing big data solutions in procurement.

1.0  Understand the concept of big data in the global supply chain

1.1  Evaluate the term big data and the historic rise of its importance to the procurement and supply function

  • Transit from technical problem to business opportunity:
  • Increasing data volumes
  • Scalability crisis
  • Data storage capacity increases
  • CPU capacity, speed and intelligence
  • Falling cost of IT
  • The 3Vs
  • Volume
  • Velocity
  • Variety

1.2  Evaluate the need for big data and the diversity of data sources and types

  • Require large volumes of highly detailed data
  • Use of Business Intelligence (BI) and analytics
  • Driving agility and innovation with big data
  • Sources of data:
  • Sensors
  • Devices
  • Third parties
  • Web applications
  • Social media
  • Types of data:
  • Real time vs. delayed
  • Unstructured (text and human language) vs. semi structured (XML, RSS feeds etc.)
  • Audio, video, other devices
  • Multi vs. single dimension
  • Streaming data

2.0  Understand data integrity and its impact on procurement and supply

2.1  Evaluate the requirement for integrity andconfidentiality of data

  • Data integrity vs. data security
  • Legal aspects such as:
  • The UK Data Protection Act
  • General Data Protection Regulation 2016 (GDPR)
  • EU Data Protection Directive
  • Responsible data handling
  • Non-disclosure agreements (NDA)
  • Intellectual property rights (IPR)
  • Information assurance and risk management for individuals and organisations
  • Physical integrity vs. logical integrity

2.2  Assess the implications of data disruption on the organisation

  • Data-enabled business models
  • Data resilience strategies
  • Disruption tolerance networks
  • System redundancy

2.3  Evaluate international laws and standards which govern data integrity and security

  • International laws such as:
  • UK Data Protection Act
  • Data Privacy Day (Council of Europe)
  • International standards such as:
  • ISO/PAS 28000:2007 (Supply Chain Standards)
  • ISO/IEC 27001:2013 and ISO/IEC 27002:2013 (Manage and protect information)
  • The Trusted Computing Group
  • The Payment Card Industry Data SecurityStandard

3.0  Understand the impact of cyber security on procurement and supply

3.1  Evaluate the term cyber security and its implications

  • Data security vs. data integrity
  • Supply Chain Cyber Security (SCCS)
  • Drivers for SCCS such as:
  • Cyber-terrorism
  • Malware
  • Data theft and the advanced persistent threat (APT)
  • Illegal access and changes to data
  • Vulnerabilities in software applications and networks discovered and exploited by malicious hackers
  • Counterfeit computer hardware
  • Typical activities for minimising SCCS risks such as:
  • Buying only from trusted vendors
  • Disconnecting critical machines from outsidenetworks
  • Educating users on the threats and protective measures they can take

3.2 Assess data security technologies and their usage in the supply chain

  • Create completely secure system using a combination of software and hardware-based security
  • Software solutions:
  • Encrypt data to protect it from theft
  • Hacker could corrupt the data in order to make it unrecoverable, making the system unusable
  • Hardware solutions:
  • Can prevent read and write access to data and offer very strong protection against tampering and unauthorised access
  • Protects the operating system image and file system privileges from being tampered
  • Use strict and secure system administration policies:
  • Backups
  • Data masking
  • Data erasure

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