What is Procurement?

Procurement refers to techniques, structured methods, and means used to streamline an organization’s procurement process and achieve desired results while saving cost, reducing time, and building win-win supplier relationships. Procurement can be direct, indirect, reactive, or proactive in nature.

What is a Procurement Process?

It’s the series of processes that are essential to get products or services from requisition to purchase order and invoice approval. Although we use procurement’ and purchasing’ interchangeably, they slightly differ from each other.
While purchasing is the overarching process of obtaining necessary goods and services on behalf of an organization, procurement describes the activities involved in obtaining them. The procurement process in an organization is unique to its context and operations.

Getting Started with Your Procurement Process

A strong procurement process is key to the financial efficiency of any business. It aids in paying the right price for goods and services, minimizes delivery times and helps you choose the best partners to work with.

Step 1 – Identify Goods or Services Needed

3T is procurement partner which have capability for engineering consultancy provided to project manager at all levels to optimize and improve efficiency of project process models, choosing right and efficient equipment, process analyzing to reach highest optimized investment level and satisfy owners requirement for long lead life cycle of process with lowest operational impacts.

 

Step 2 – Consider a List of Suppliers

3T is trying to perform best efficient sourcing service as per market and clients demands for the inquired equipment of each project covering the project budget by best possible partners with optimized products quality.

Here are some ideal traits that a top supplier should have:

  • Product knowledge and inventory
  • Production quality and capabilities
  • Customer service
  • Ease of communication
  • Ethics
  • Prioritising building relationships

Step 3 – Negotiate Contract Terms with Selected Supplier

In 3T, our sales and commercial specialist are completely experienced to serve our client to arrange the contracts with suppliers on behalf of the clients.
3T is ready to take care of all contracts responsibilities and finalize all contracts with suppliers and follow all the contractual terms and condition as per Purchase order schedule till when the products are ready to inspect and delivery.

Step 4 – Finalise the Purchase Order

One of the strongest abilities of 3T team is to negotiate on total cost of supply and optimize investment on the contracts with most reliable terms an conditions, so we will take care of:
• A description of the goods or service
• Total costs
• Quantity
• Approval of workflow
• Agreed on payment terms
• Optimization delivery term according to the project schedule
• Agreement on delivery term as per project requirement
• Finalize legal terms in case of conflict and follow up from legal authorities

 

Step 5 – Receive Invoice and Process Payment

With more than 15 years of experience at 3T background right now we are able to modify payment issues and invoicing difficulties in order to settle successful payment to the vendors while securing payments and relief all risk from vendors and clients by using strong and reliable financial partner oversea round the world.

 

Step 6 – Delivery and Audit of the Order

It is very important to deliver the equipment during procurement according to the contract and scope of supply without any defect, conflict or disarrangement on quantity.
3T is obliged to take delivery responsibility of goods as per contracts delivery terms and incoterms instructions.
Inspection once the goods are delivered can help all project sides to secure projects from any delay and losing time, energy and money.
3T on behalf of clients, take care of all inspection procedure by using well know international partners for all kind of Inspections considering international standard procedure.

Step 7 – Maintain Accurate Record of Invoices

Now it is time to evaluate the project financial figure!
At financial department, 3T intends to prepare transparent figure showing the financial efficiency not only to auditors and tax offices but to the clients which make them released how using procurement partners can help them to reach project financial goals.

 

Now you know our services, so let’s get started!

3T is the PLUG IN as extension to every EPC companies to optimize and facilitate complete scope of PROCUREMT by increasing financial efficiency and supply optimized quality of products.