GUIDELINES PROCUREMENT

Number 5A
Approved by Senior Management Team
WWF- Pakistan
Head Office, Ferozepur Road
P.O Box 5180, Lahore 54600 Focal Person………...Sr. Director Operations
UAN 111 WWFPAK (993 725) Effective Date............. 1st September, 2022
Fax ++ 92 42 35862358 Review Cycle……….. 3 Years
Pages ……………….. 6

1. OBJECTIVES

1.1 Ensure the procurement of goods and services that provide the best value for money;
1.2 Reiterate impartiality and fairness across all stages of the procurement process;
1.3 Ensure financial and budgetary controls in the procurement process;
1.4 Maintain ethical and environmental standards and full legal compliance; and
1.5 Demonstrate financial probity and accountability without compromising on the efficiency of the
procurement process.

2. SCOPE

The document describes a range of appropriate methods for procurement including where appropriate a
competitive tendering and contracting process.

3. DEFINITIONS

Goods: Tangible items required by the organization including but not limited to equipment, printed items,
printing work, field gears and civil work, etc.

Works: Any construction work consisting of erection, assembly, repair, renovation or demolition of a
building or structure or part thereof, such as site preparation, excavation, installation of equipment
or materials and decoration or finishing and includes incidental services such as drilling, mapping,
satellite photography, seismic investigations and similar activities, if the value of those services do not
exceed that of the works themselves.

Services: Any object of procurement other than goods or works which is intellectual in nature.

Note: Services or consultancies shall be covered under Consultancy Guidelines # 5/B.

4. PROCUREMENT PROTOCOLS

4.1 WITHOUT WRITTEN QUOTATIONS

Written quotations are not required for procurement of value less than or equal to Pak Rupees
25,000 /. The following conditions shall apply:

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 Respective Manager (Grade D1 or D2) shall approve the procurement by signing on the bill/invoice.

4.2 WITH WRITTEN QUOTATIONS

4.2.1 For procurement of value greater than Pak Rupees 25,000 /- but less than Pak Rupees
150,001/- at least three written quotations / proposals must be obtained and shall be subject
to the following conditions:
a) Procurement is requested through the Procurement Requisition Form [Attachment -1]
signed by the employee initiating the procurement and endorsed by the respective
Finance & Admin (F&A) staff.
b) Written quotations are sought by Technical and F&A personnel in consultation with either
the Procurement / Administration or the IT Department as may be applicable.
c) The Local Procurement Committee (LPC) shall review quotations / proposals and
recommend the supplier on the Comparative Vendor Statement [Attachment -2] signed
by Head of Project/Sr. Technical Team & F&A personnel.
d) The Purchase Order Form [Attachment -3] shall be signed by the employee initiating the
procurement and endorsed by the respective F&A staff.
e) The respective Director (Grade E1 or E2) shall approve the procurement by signing the
Purchase Order Form and any agreements made in the same context.
4.2.2 For procurement of value greater than Pak Rupees 150,000 /- but less than Pak Rupees
500,001/- a minimum of three written quotations / proposals must be obtained and will be
subject to the following conditions:
a) Procurement is requested through the Procurement Requisition Form [Attachment -1]
signed by the employee initiating the procurement and endorsed by the respective F&A
staff.
b) Written quotations are sought by Technical & F&A personnel in consultation with either
the Procurement / Administration or the IT Department as may be applicable.
c) The Local Procurement Committee (LPC) shall review quotations / proposals and
recommend the supplier on the Comparative Vendor Statement [Attachment -2] signed
by all the members including the Chair of the LPC.
d) The Purchase Order Form [Attachment -3] shall be signed by the employee initiating the
procurement and endorsed by the respective F&A staff.
e) Director Operations shall approve the procurement by signing the Purchase Order Form
and any agreements made in the same context.

4.2.3 For procurement of value greater than Pak Rupees 500,000/- but less than
Pak Rupees 5,000,001/- a minimum of three written quotations/proposal must be obtained
and will be subject to the following conditions:
a) Procurement is requested through the Procurement Requisition Form [Attachment -1]
signed by the Employee initiating the procurement and endorsed by the respective F&A
staff.
b) Written quotations are sought by Technical and F&A personnel in consultation with either
the Procurement / Administration or the IT Department as may be applicable.
c) The Local Procurement Committee (LPC) shall review quotations / proposals and propose
the supplier on the Comparative Vendor Statement [Attachment -2] signed by all the
members including the Chair of the LPC.
d) The CPC shall review the recommendations of the LPC on the same Comparative Vendor
Statement and endorse for further approval by the Director General.

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 e) The Director General shall approve the procurement and sign the Purchase Order Form
[Attachment -3] and any agreements made in the same context.
f) The vendor’s agreement [Attachment -4] must be signed if the procurement is greater than
Pak Rupees 500,000. if there is any advance payment to the vendor, Advance Form
[Attachment -5] should be signed. However, an Advance Form is not applicable in case of
Vendor Agreement. The Vendor Agreement should be vetted by the Internal Audit
Department, endorsed by the Director Operations and approved by the Director General.
g) If the procurement exceeds Pak Rupees 1 million, the Procurement Department at the
Head Office should oversee the process of procurement of goods and services for other
office(s). The local office(s) should provide complete specification(s) to the Head Office
Procurement Department for assistance in collecting quotes, if required.

4.3 THROUGH ADVERTISEMENT

For procurement of value greater than Pak Rupees 5,000,000/-, a minimum of three written quotations must
be obtained by advertising on the official website of WWF-Pakistan/in the newspaper and shall be subject to
the following conditions;

a) Procurement is requested through the Procurement Requisition Form [Attachment -1] signed by the
Employee initiating the procurement and endorsed by the respective F&A staff.
b) The respective Director (Grade E1 or E2) shall approve the Purchase Requisition Form.
c) The IT Department/Communications Department shall arrange to advertise the request on
website/newspaper. At least seven working days shall be given for the submission of
bids/quotations.
d) The Chairman of the Central Procurement Committee (CPC) shall receive sealed bids, which will
be opened on given date in the presence of all members of the CPC.
e) A supplier is recommended by the CPC on a Comparative Vendor Statement [Attachment -2]
signed by all the members including the Chair of the CPC.
f) The Purchase Order Form [Attachment -3] shall be signed by the employee initiating the
procurement and endorsed by the respective F&A staff.
g) The Director General shall approve the procurement and sign the Purchase Order Form and any
agreements made in the same context.

4.4 DIRECT CONTRACTING

Direct contracting involves contracting without competition (single source) of a particular manufacturer,
supplier, or contractor, and is allowed in any of the following circumstances:

a) When standardization is important and the equipment and spare parts needed to expand or repair existing
equipment must be procured from the original supplier or from a supplier of identical goods.
b) When the equipment or goods are proprietary and obtainable only from one supplier or not available with
any other supplier due to the nature of the goods; and/or
c) in exceptional circumstances such as in response to natural disasters.

A unique vendor form [Attachment -6] must be attached.

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5. COMPOSITION OF PROCUREMENT COMMITTEES

5.1 CENTRAL PROCUREMENT COMMITTEE

5.1.1 The Central Procurement Committee (CPC) shall consist of Director Operations (Chair), one
nominee of the Director General for a period of three years (Member) and Manager
Administration/Manager IT/ Communications/Manager Procurement (as may be applicable)
(Secretary).
5.1.2 The minimum quorum required for decision making shall be two including the Chair.

5.2 LOCAL PROCUREMENT COMMITTEE

5.2.1 The Local Procurement Committee (LPC) shall consist of the respective Director (E1 or E2)
(Chair), Head of Project (Member) and the most senior Finance & Admin employee
(Secretary).
5.2.2 The minimum quorum required for decision making shall be two including the Chair.

6. RESPONSIBILITIES OF PROCUREMENT COMMITTEES

The procurement committees shall be responsible to do the following:

a) Supervise the entire process of procurement.

b) Review the analysis of quotations based on technical (product specification) and financial
(pricing) criteria.
c) Review supplier characteristics such as business history, reliability, after sale service, etc;
d) Ensure transparency with regards to the conflict of interest of employees involved in the
procurement process.
e) Ensure that proper documentation of the entire process has been made.
f) Endorse the procurement from the selected supplier for approval.
g) Review and endorse any additional agreement(s) or terms of reference.
h) Analysis records (procurement-wise, vendor-wise, etc) as may be required on periodic basis and
share the results with the SMT.
i) Suggest improvements in procurement rules and guidelines.

7. PURCHASE ORDER FORM

The Purchase Order Form (PO) [Attachment -3] is a legal agreement for purchase of goods and
services. The seller shall be bound by the obligations set out in the Purchase Order Form and includes
any additional agreement. The Purchase Order Form cannot be replaced with any other document or
verbal discussions to place orders and set the terms and conditions.

Each Purchase Order Form shall consist of three leaves [with different colours]. The original leaf (in white)
should be retained by the Finance Department; the second leaf (in yellow) must be given to the supplier
at the time of placing the order and the third (in green) should be kept as record by the relevant
department.

8. QUOTATIONS
Essential conditions for quotations are as follows:

a) All quotations must be on official document of the supplier with information on business address,
phone number(s) and email/website address (if available).
b) All quotations must be for the required specification, quality and quantity.
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 c) Quotations must be obtained within a given timeframe (within two weeks is recommended).
d) Quotations for one order can be in different languages (English, Urdu or local language) subject
to the language(s) being understood by the evaluating and approving authorities.
e) Quotations should be in original. However, a copy is also acceptable in case of a repeat order.
f) Quotations can also be received as an email attachment.
g) Any changes made in the quotation must be signed by the respective supplier.
h) Quotations must indicate whether price includes or exclude taxes.

9. ENSURING THE QUALITY OF GOODS AND SERVICES PROCURED

It shall be the joint responsibility of the programme team and Admin / Procurement/IT Departments
to coordinate the procurement process and ensure quality of goods/services procured. The
concerned programme team and Admin/Procurement/IT employees shall sign Goods Receipt
Note(GRN) upon receiving the items in satisfactory condition. If the items are not as per
specifications the following steps should be taken in the same order.

a) Corrective action

Ask the vendor to fix the problem at the spot until it is acceptable.
Immediately return the items to the vendor and ask for replacement as per agreed specifications.
The damaged/leaked/substandard items/stock must not be placed with approved stock which is
stored or ready to deliver and must be kept at a separate section of the warehouse or other
facility until the vendor collects it.

b) Cancellation

The items should be returned to the vendor with a written complaint and inform the Finance
Department should be informed in writing with the instructions to stop payments and recover any
advance payment.

10. POTENTIAL CONFLICT OF INTEREST

Employees involved in the procurement process shall disclose any potential conflict of interest.

11. QUALIFICATION OF SUPPLIERS AND CONTRACTORS

A procuring agency, at any stage of the procurement proceedings, having credible reasons for or prima
facie evidence of any defect in a supplier's or contractor's capacities, may require the suppliers or
contractors to provide information concerning their professional, technical, financial, legal or
managerial competence whether already pre-qualified or not (provided that such qualification shall
only be laid down after recording reasons therefor in writing). They shall form part of the records of
that procurement proceeding.

12. DIS-QUALIFICATION OF SUPPLIERS AND CONTRACTORS

The procuring agency shall disqualify a supplier or contractor if it finds, at any time, that the
information submitted by him concerning his qualification as supplier or contractor was false and
materially inaccurate or incomplete.

13. BLACKLISTING OF SUPPLIERS AND CONTRACTORS

The procuring agencies shall specify a mechanism and manner to permanently or temporarily bar,
from participating in their respective procurement proceedings, suppliers and contractors who either

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 consistently fail to provide satisfactory performances or are found to be indulging in corrupt or
fraudulent practices. Such barring action shall be duly publicized and communicated to the Authority
(provided that any supplier or contractor who is to be blacklisted shall be accorded adequate
opportunity of being heard).

14. GENERAL REQUIREMENTS

a) Procurement of goods and works can only be initiated where appropriate financial allocation is
available and such provision is provided in the annual work plan of the Programme/Project/
Department or activity under restricted and unrestricted funds.
b) Procurement of IT equipment such as computers, scanners, UPS, printers, drives, parts and
accessories (this list is not exhaustive) shall be done by the IT Departments of the respective
offices. The IT Department shall assess the need, seek / review quotations if necessary and
facilitate the approval.
c) Procurement of all other items shall be done by the Technical / F&A personnel of the respective
office.
d) Procurement of WWF – Pakistan’s letter head and other prescribed forms for internal and
external use shall be done by the Administration Department at the Head Office and distributed
to the regional and field offices.
e) In case of regular items and those being provided by a regular supplier (for example, stationery,
etc.) prices/quotations may only be taken at the time of first purchase at the start of the financial
year.
f) Procurement made outside the country can be initiated by an employee on visit taking every
possible care for competitive price and quality by checking the same from the local market and
internet. Such procurements can only be done if the required goods and services are more
expensive or not readily available locally.
g) Payments to suppliers and contractors shall be made as agreed in, the “Purchase Order Form” or
the respective contract(s)/agreement(s).
h) When purchasing goods and works, priority will be given to environment friendly suppliers.
i) Any requirements of goods and works must not be split into components or succession of orders
to manage within a certain limit.
j) Any donor specific requirements for procurement shall be followed irrespective of the value of
the procurement as per contract.
k) The items listed in [Attachment -7] are exempt from quotations regardless of their value.
However, maximum effort should be made to seek the best value for money.
l) In case of civil/construction work, a Statement of Works (SOW) should be attached with the
Purchase Order Form, describing the civil works in sufficient detail to identify location, nature
and any complexities involved.
m) Frequently used items i.e. stationery, kitchen & washroom items may be procured from large
wholesaler or hyper markets.
n) In case the supplier, rates and specifications of goods and services are the same, then a repeat
order through new purchase order, with existing quotations can be processed. However, the
quotations last taken should not be older than six months.

Signatures [Members of the Senior Management Team]

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