GID procures equipment and services for planning and assembly of plants in the name and on behalf of Client, and enquires manufacturers for cost estimations.
With our procurement process, we make a fit to that of the customer and represent it completely. In addition, we create proposal and release procedures. These reduce the procurement effort for the customer to less than 10% of the procurement performance for the same quality.
The inquiry and order process
The procurement process is arranged around the planning activities of the detailed engineering. The main activities are:
- Vendor list
A vendor list is created by GID listing all the procurement packages from the planning process after agreement with the customer as to which vendors are qualified. If requested, GID can name more vendors in order to extend the list and bring positive development experience into procurement.
According to the inquiry specification and service lists, a sufficient number of inquiries will be made based on the vendor list so that the necessary number of competitive offers will be received.
- Approval for Inquiry
We receive an approval from the customer before issuing the inquiries.
- Bid evaluation
The incoming offers will be technically and commercially checked and evaluated for conformity to the inquiry. In the case of deviances or omissions, the offers will be made comparable through technical clarification with the vendor.
- Proposal for order negotiation
On the basis of the bid evaluation, GID proposes to the customer which vendors should be considered for order negotiation.
- Approval for order negotiation
We only negotiate with vendors approved by the customer.
- Order negotiation
On approval from the customer, we invite vendors for order negotiation. GID negotiates the fully clarified offer with the vendor with or without the customer present. A standard negotiating protocol will have been developed for the project and expanded with the terms and conditions of the customer. The most important results for the order negotiation are:
- Delivery, delivery time and the transfer of liability for
- Services/planning documents
- Payment arrangements and bank guarantees
- Proposal for order
The negotiated order negotiation protocol will be compared and evaluated for the customer. GID makes a proposal for award to the customer
- Approval for order
The vendor approved by the customer receives the order.
GID creates the order documents, mainly technical documents, order negotiation protocol and terms and conditions for the vendor selected by the customer.
- Invoice auditing
During the order execution GID checks the invoices received from the vendor against the receipt and quality of the produced services and equipment and forwards them onto the customer.
According to an agreed inspection plan, GID carries out customer approved inspections for quality and time deadlines, reporting back to the customer.
For known time critical or delayed delivery of services or equipment, GID creates an expediting plan and carries out the measures for quality and time deadlines.