Element 4: Establish a purchase control system

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Clarity over companies’ actions depending on suppliers’ different levels of performance allows for faster and safer decisions. In this element, companies will understand how to implement a purchase control system that will enable sourcing procedures to address the requirements of sourcing policies, bearing in mind the prevailing sourcing models.

These systems outline what to do when a supplier performs below the desired level, including the conditions in which a supplier should be delisted, but also the conditions for reinstating a supplier after exclusion/suspension

More information in the briefing note below - BN04 Purchase Control Systems

The 5-element approach