Assignment

Standard Industrial Procurement practices and Procurement in Godrej Construction

Omkar Sawant Sal Code:94665

Omkar Sawant

Current Procurement System in Construction Stores

Layout o t!e acti"ities per ormed

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Current Process flow

Receipt of MPRM (Material Procurement Request Memo) from the concerned businesses. Review on the requirement, understanding the specification. Floating enquires to respective vendors. Select vendors based on those whose offer is in line with the requirement.

Omkar Sawant

Current Process flow

ased on best price and deliver! the order is placed on selected vendor. Receipt of material at site and processing the bills for the same. "nsure pa!ments to the suppliers made in time. "valuation and revaluation of vendors whether end customer is satisfied.

Omkar Sawant

Standard Procurement Practices

Project Planning# $ncludes the pro%ect la!out, resource allocation. Material Planning# &s per the pro%ect plan, purchase requisitions are generated and forwarded to purchase team with technical specs. Floating enquiries# 'etailed technical enquires to be floated to the vendors.

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Standard Procurement Practices

Evaluation of offers# & special s!stem window is maintained wherein the vendors can upload the offers online and the same can be evaluated. (ffers are basicall! classified as technical offers and commercial offers. Detailed Engineering Consultants ('"))can be appointed to evaluate the technical offers, wherein a chec* can be made whether the offer is in line with our requirement.

Omkar Sawant

Standard Procurement Practices

'")+s add up to the cost, but e,pedite the process and help for efficient procurement. -he commercial scope is with the bu!er and negotiations can be made accordingl!. Order Placement# (nce techno.commercial offers are finali/ed, order is placed on vendor who is technicall! o* and price competent along with the best deliver!.

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Standard Procurement Practices

Order placement# -his process has various levels of approvals involved. . )ommercial concurrence (&udit) . &pproval to 'ivision 0ead1Pro%ect 0ead. . $ssuance of order to vendor as per the hierarch!.

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Standard Procurement Practices

Expediting: (nce order is placed a follow up is required to ensure on time deliver!. Some companies appoint separate e,pediting team to follow up the vendor, to frequentl! visit his wor*s and evaluate whether the vendor has enough capacit! to meet the requirement and suppl! in time.

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Conclusions
-here are man! standard practices that can be absorbed such as commercial audit at time of order placement, involvement of '")+s. -he same have a cost impact but can help to streamline the process and improve productivit!.

Omkar Sawant