Policy Date: 03rd February 2024
Review Date: 03rd February 2025
Supply Chain Management
Contents
1. Purpose And Scope
2. Stages Of Supply Chain Management
1. Purpose and Scope
This standard outlines the procedures the company shall follow when procuring services and materials for work under the company’s agreed scope of works. Overall responsibility for Supply Chain Management lies with the Managing Director.
The purpose of these procedures is to ensure that all services and goods procured by the company for contracted services meet the minimum standards prescribed by the company. Due to the nature of the work carried out by the company, the primary considerations when procuring goods and materials are quality and standards, rather than cost.
These procedures apply to the procurement of all services and goods for site work, including PPE and safety equipment. It does not apply to goods and materials procured for other purposes, such as office equipment and consumables. All officers and employees of the company involved in purchasing goods and materials on behalf of the company must follow these procedures.
Any variations to procurement authority levels must be authorized by senior management. If an individual wishes to procure services or goods outside of their authority, permission must be obtained from someone with the required level of authority.
As part of the company’s supply chain management procedure, the following process map has been developed to ensure supply quality is maintained during procurement associated with the company’s works.
2. Stages of Supply Chain Management
Stage 1: Identify Relevant Goods/Services Standards
Standards of Goods, Materials, and Services
All services and goods procured by the company must meet the minimum Quality, Safety, Modern Slavery, Bribery, Right to Work, and Environmental standards prescribed by the company. These standards are developed through an initial assessment of the goods or services.
Environmental Standards
When sourcing materials, the company considers environmental and sustainability impacts. Where applicable, the following procurement policies apply:
The company will periodically assess environmental impacts and consider more environmentally friendly alternatives when possible.
Where possible, only FSC-certified timber will be used for packaging or as part of the company’s work.
Materials sourced from suppliers with responsible sourcing scheme certification (e.g., BES60012) will be preferred.
A Counterfeit, Fraudulent, and Suspect Items (CFSI) policy is followed to ensure no false representation of the material’s origin, age, or certification status.
Quality Standards
When sourcing materials and services, the company will consider safety and quality impacts. This includes:
Meeting any client-specified minimum standards for goods or materials.
Ensuring materials or services meet recognized industry quality standards.
Assessing any non-conformance issues previously experienced with the goods or services.
Verifying quality guarantees provided with goods or services.
Ensuring suppliers operate a quality management system certified to a recognized standard (e.g., ISO 9001).
Safety Standards
When sourcing materials, the company takes into account the safety impacts, considering:
Industry-recognized safety standards (e.g., BS EN standards for PPE).
Previous non-conformance issues.
Minimum insurance levels linked to the service provided.
Stage 2: Approved Suppliers Identification
Once materials are identified, the company will select a suitable supplier. All services and goods must be procured from the company’s approved list of suppliers, listed on the Supplier Database within the company’s Audit Application package. If a supplier is not listed, they must go through the Supplier Approval process.
Stage 3: Supplier Approval
To obtain approved status, suppliers must provide evidence that meets the company's quality, environmental, and safety standards. Approved status must be maintained through regular updates and accurate documentation to ensure continued compliance.
Stage 4: Procure Goods and Services
Goods and services must be procured from certified suppliers who comply with the Construction Product Regulations.
Stage 5: Delivery of Goods and Services
Delivery of goods and services must follow this procedure:
Delivery should be taken by the Managing Director or an Appointed Person where possible.
The person receiving the delivery will check goods against the purchase order to ensure:The correct brand, model, specification, and quantity have been delivered.
The goods conform to required standards of quality and condition.
Non-conforming goods should be returned to the supplier if possible, and the non-conformance procedure should be initiated.
If the receiving person is unsure about conformity, they should seek assistance from the Managing Director or an Appointed Person.
If the goods are received on site, the Appointed Person must be provided with a copy of the purchase order to verify the delivery.
Non-Conforming Service/Goods Procedure
If a non-conforming product is identified at delivery or later, follow this procedure:
Move the product to a safe location, either in the office or on-site, away from conforming products.
Attach a non-conformance form visibly to the product.
Upload the non-conformance to the Supplier’s Profile in the Audit Application – Personal File.
If necessary, remove the supplier’s approval status and procure alternative goods from another approved supplier.
For non-conforming services identified at the start or during works:
Cease the service and agreement between the two parties.
Complete a non-conformance form and send it to the Managing Director.
The Managing Director will assess if the non-conformance complaint is justified.
If justified, and no resolution is possible, an alternative supplier will be sourced.
The non-conformance will be uploaded to the Supplier’s Profile in the Contractor custom files – Personal File.
Stage 7: Supplier Audit/Post-Contract Review
The company may conduct a post-contract audit to review issues such as:
The quality of the goods/services provided.
Effectiveness of communication between suppliers.
Health & Safety impacts.
Claims or disputes affecting future contracts.
Monitoring actions needed.
Timescale and deadline issues with suppliers.
Upon completion of the post-contract audit, the audit will be uploaded to the Supplier’s Profile in the Audit Application package in the contractor custom files – Personal Files. The supplier may receive the audit feedback if requested.
Policy Review and Consultation
This policy will be reviewed every 12 months or in response to a material change by the Managing Director. After the review, the policy will be distributed to all management, Appointed Persons, and operative representatives for comment at least seven days before final ratification by the Managing Director.