2.14 | Purchasing Policy

2.14.1 | Scope

This Policy shall apply to any procurement within Sampoerna University (SU).

2.14.2 | Purpose

This Procurement Policy is an enhancement of the previous version, which generally to improve the quality of procurement process, the efficiency of implementation time and meet the target, which can be elaborated as follows:

1. To ensure a common understanding between user and buyer as a general guideline for procurement process of goods and services,
2. To clarify responsibilities and authorities of parties involved in the procurement process.
3. To protect SU interest, either financially or operationally in regards to any commitment made with third party.
4. To avoid any decision which is difficult to be taken back, and the repercussion caused by the decision.
5. To ensure accuracy and accountability of procurement transaction in terms of supporting documents & management, purchase price determination, terms and conditions of procurement, as well as vendor’s credibility.
6. To ensure procurement commitment in maintaining their quality of work and services. This commitment is represented by SLA (Service Level Agreement) related to quality and accuracy of order specification, delivery time and continuous improvement.

2.14.3 | Definition

1. Procurement Process Is the procurement of goods and/or services conducted by procurement Department using PO, POI or Direct Payment without PO.
2. Centralization Unit Is a Procurement Department/Organization located at PSF Head office to serve all procurement needs of users in all PSF’s business units according to defined procurement category and value that is regulated on this procurement policy.
3. Vendor is an individual or company with legitimate legal entity, whose main business is supplying and providing goods or services, hence the existence, Identity information of Individual Vendor or originality and validity of Corporate Vendor documentations is verifiable.
4. Purchase Request (PR) is a request to purchase goods and services, enclosed with descriptions of quantity, specification, deadline for the goods or services to be available or delivered, reasons to purchase and/or relevant information. Purchase request (PR) should be approved by an authorized person in accordance to valid DOA.
   • Purchase Order (PO) Is an official document released by Procurement Department to Vendor as a proof of goods or service order. PO is published after quotation has been agreed. Vendor’s confirmation on consent of PO issued by the Organization, is indicated by vendor’s signature on related PO and sent to Procurement in accordance to the applicable provision.
5. Regular PO (Irregular – Planned Category) Is an official document released by Procurement Department to Vendor as a proof of goods or service through a price comparison process within a certain period of time
6. Direct Purchase is a series of procurement process which includes request for quotation and negotiation to only one vendor (require 1 quotation) for transaction amounting below and/or equals to Rp 10,000,000 (ten million rupiah) and/or other types of transaction as regulated in this policy.
7. Competitive Bidding is a procurement process which includes quotation process, comparisons, and negotiations to more than 1 partner with a separated negotiation process and technical discussion to each of vendors and for the transactions with total spend amounting equals to and/ or above Rp 10,000,000. Example but are not limited to Building Maintenance, Office Renovation and Repairs, School New Project/Greenfield Project, Lab Equipment, etc
8. Tender is a series procurement process which included quotation process, vendor selection and awarding process for transactions with total spend amounting equals to and/ or above Rp 250,000,000. with an open quotation request and transparent process to all of vendors. Before quotation request, all vendors are invited to join the meeting (Ionizing/Briefing) to get clarified of all technical requirements to ensure all vendors gets common understanding so that the received quotations can be compared apple to apple. The vendor awarding/tender winner will be announced to all of vendor who participated in tender process.

2.14.4 | Basic Principle of Procurement for Goods and Services

1. Procurement is executed with consideration of basic principle as follow:
   1. Efficient, is that procurement of goods and services should seek the utilization of sufficient fund and resource, meet target set in timely and accountable manner.
   2. Effective, is procurement of goods and services should meet the set requirement and able to give the best value possible according to the target set.
   3. Fair or not discriminative, is to provide equal treatment for all prospective vendors and has no tendency to give advantage to certain party, in any way and for whatsoever reason.
2. Approval of procurement process which including “Purchase Request” or issuance of “Purchase Order” regulated through approved DOA by Top Management.

2.14.5 | Procurement Implementation

Procurement Implementation done through Sourcing process & PO classified as follow:

2.14.6 | Receiving Of Goods and Services (PO Receipt)

1. The user is responsible for receiving the goods and/or services ordered.
2. In submitting an invoice, the vendor must comply and submit documents required to proceed receipt to the user following the determined schedule for document submission.
3. As soon as the user has agreed and received goods and/ or services, the User shall proceed with PO receipt (PORE) in the system soon after goods and/ or services are received.
4. In order to conduct partial PO receipt (PORE), the user should match the percentage of completion in the system vs delivery notes or acceptance letters (BAST).