Procurement Policy
Principles and procedures for efficient, transparent, and compliant procurement operations
Procurement Policy
This policy sets principles, procedures, and controls for acquiring goods, services, and works in a way that is efficient, economical, transparent, and aligned with G3 Biz strategic objectives.
Scope
Applies to all procurement activities, including heavy-duty trucks, spare parts, mechanical services, office utilities, and administrative utilities.
Procurement Objectives
- Procure goods and services of the highest quality at competitive prices.
- Ensure timely delivery to meet operational requirements.
- Build and maintain relationships with reliable and ethical suppliers.
- Comply with all relevant laws, regulations, and industry standards.
- Minimize procurement risks and maximize company value.
Procurement Principles
Integrity and Transparency
All procurement activities are conducted honestly and transparently.
Fairness and Impartiality
All suppliers are treated fairly and without bias.
Competition
Competitive bidding is encouraged to secure best value for money.
Value for Money
Decisions consider total cost, quality, and performance outcomes.
Sustainability
Environmental and social impacts are considered in procurement decisions.
Supplier Selection and Management
- Supplier Registration: All potential suppliers must register with G3 Biz.
- Supplier Evaluation: Assessed on financial stability, quality, delivery performance, and ethics.
- Supplier Performance: Monitored regularly with feedback and corrective action where needed.
- Supplier Relationship Management: Long-term partnerships built on trust and cooperation.
Procurement Process
- Requisition: Departments submit purchase requisitions through line managers.
- Purchase Order: Issued to approved suppliers after authorization and account controls.
- Delivery and Acceptance: Goods/services are inspected for specification compliance.
- Payment: Processed according to purchase order terms and conditions.
- Competitive Bidding: Purchases above 100,000 FCFA require at least three qualified quotations.
- Payment Terms: Amounts above 100,000 FCFA are paid via cheque with complete supplier bank details.
- Supplier Documentation: Suppliers must provide a valid Tax Payer Identification Number (TPIN).
Governance Areas
Inventory Management
- Maintain optimal inventory levels to balance supply and demand.
- Review stock regularly to reduce carrying costs and prevent stockouts.
- Use inventory control systems for visibility and tracking.
Contract Management
- Contracts must be clear and comprehensive.
- Contract performance is monitored for compliance.
- Amendments require written approval by authorized personnel.
Cost Management
- Conduct cost analysis to identify savings opportunities.
- Perform price comparisons for market competitiveness.
- Pursue volume discounts and other cost-reduction measures.
Risk Management
- Identify and assess procurement risks.
- Implement risk mitigation strategies.
- Consider insurance for significant procurement exposures.
Compliance
- Comply with all applicable laws and industry standards.
- Conduct regular compliance audits.
Ethical Sourcing
- Promote ethical and sustainable procurement practices.
- Require suppliers to adhere to G3 Biz code of conduct.
Procurement Organization
Procurement is managed by the Human Resource and Administration department, overseen by the Depot Manager.
This policy acts as a framework and may be amended as business needs and legal requirements evolve.