4.0 Brief Introduction:

A study on Possibility of Processing a Techno-Commercial bid received from De-listed (Banned) Vendor was carried out.

4.1 Background:

There is a system for one-time registration of a vender while placing an order if such vendor is not an existing registered vendor of MDL. Similarly, there is a system to De-list or Bann a vendor with approval from competent authority for a stipulated period due to his poor performance/organizational reason or any immoral/unethical practice. Also, there are certain vendors referred by IHQ MOD(N) who are to be banned from participation in any tendering process for a specified period or permanently. The list of such vendors is maintained by the SR&R Department and it was not known to or not easily accessible to the Commercial executives.

There is a provision of a field in SAP system to mark the vendors as banned. However, the same was not regularly updated and the same was not the regular field seen by executives when extracting list of vendors in SAP for a particular material group. Hence, there is a possibility of receipt and acceptance of the offer from such a banned vendor unknowingly by the commercial executive.

4.2 Implementation:

The following systemic improvement was suggested and implemented.

The status of the banned vendors in SAP and the List of banned vendors is now updated regularly by the SR & R Department. Such list of banned vendors is made available on MDL Intranet Portal and it is updated on regular basis for information and easy accessibility to all concerned.

4.3 Impact and Benefits:

With reference to the Systemic Improvement as suggested and implemented above, the list of banned vendors is now regularly updated and posted on MDL Intranet portal for easy accessibility & information to all concerned. The inadvertent acceptance of offer from any banned vendor is prevented.

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