Supply Chain Division

Procurement Process Optimization & Opportunities


Opportunities Feasibility Inhibitors
• No negotiation in
competitive bidding as per
policy
Reverse Tendering • Unavailability of e-
Procurement platform
• OEM/Authorized distributor
based items
• Award to technically
compliant and commercially
lowest bidder as per
Procurement Manual
Contractor’s Capacity • Difficult to evaluate for new
vendor / WIP
• MD approval required for
vendor temp. barred due
to cont. performance issues
Timelines
Support Required Responsible (S/M/L)
• Availability of e-
Procurement platform
• Provision in IT/Procurement L > 1 Year
Procurement Policy/SOP
• Provision in
Procurement Manual
• Set of conditions and
criteria to be developed 03<M<12
for pre & post bid Procurement/ User Months
vendor performance
evaluation
• Spend classification
• Vendor visits
 Opportunities Feasibility Inhibitors
• Unavailability of
system based
Vendor Performance feedback system
Feedback
specially for services
• Unavailability of
consolidated
demand for repeat
buying
Frame Agreements in • High inflation, erratic
exchange rate
Procurement Policies
fluctuation
• Limited bid validities
by supplier
• Import limitations
Support Required Responsible Timelines
(S/M/L)
• System based performance
evaluation scorecard specially for
services
Mandatory for user to evaluate and User /IT 03<M<12
• Months
rate performance of service
provider at the time of generation
of JCR.
• Consolidated user demand to
attract suppliers/service providers
to enter in Frame Agreements and
to achieve economies of scale Procurement/ 03<M<12
• Budget commitment for complete User Months
Agreement period
• Provision of call off orders in
Procurement Manual
 Timelines
Opportunities Feasibility Inhibitors Support Required Responsible (S/M/L)

• Large vendor base

• Extensive pre-qualification
Annual Pre-Qualification process will lead to invest huge
Activity time, resources and efforts
• No provision in Procurement
Manual

• Decision from Board of Directors

Technical Weightage in for the acceptance of technically
Techno-Commercial compliant and commercially
Scorecard lowest bid
• No provision in Procurement
Manual

• To ensure bid price confidentiality

and process transparency only
Bid Bond Submission - %
specified price of bid bond is
of bid or specified price
encouraged for Single Stage two
envelops and Two Stage bidding
process