SUPPLIERS' GUIDE

Clarification: This manual has been designed as guidance for current suppliers or those willing to deal with Emirates Transport (ET). It does not supersede the approved policy guides and procedure regulations of the Purchase guides and regulations and this Guide, the guides and regulationsDepartment. will In prevail. case of any conflict between such This Guide is periodically updated. Emirates Transport has the right to amend or cancel any clauses of this Guide as it may deem appropriate without prior notice. The terms and conditions in the request for quotation (RfQ) and the tenders constitute the principal terms and conditions that shall be referred to. Introduction

Background : Emirates Transport was founded in 1981, with the aim Vision: of organizing and managing transport and maintenance Excellence and leadership in sustainable transport and general services. various federal and local government agencies, and private sectorservices institutions. and supervision of the operation for the benefit of Mission: The corporation adopts a leading strategy in the transport Achieving the highest levels of luxury and comfort for our and technical services sector, through business centres partners and clients through a creative team of human encompassing 21 centres operating through 41 locations resources that provides transport, maintenance and nationwide, beside 8 subsidiaries. These business centres leasing services, as well as facilities management and other include the Governmental and Private School Transport complementary professional services, all in accordance with branches of school transport, which are: , Western the highest in safety and environmental standards. Region,Centres, affiliatingAl Ain, ,the School , Transport , Division, Central including Region 9 (includes Umm Al Quwain, Al , Masfout and Hatta), Ras Values: Al Khaimah, and the East Coast branch (includes , Safety, Care, Creativity, Participation, Excellence, Transparency , and Dibba), with 33 stations within. and Responsibility

2 3 Manual Objective

This Guide has been developed in order to : Mohammed Abdullah Al Jarman Increase supplier awareness and keep them informed of General Manager ET’s activities.

Emirates Transport is always keen to build strong and products and services to Emirates Transport. strategic relations with its partners in the interest of SecureDefine forthe suppliershighest levels the best of transparency, methods of deliveringobjectivity their and all stakeholders. It is keen to enhance these relations equal opportunities. by every means, in particular with local and foreign Maintain Emirates Transport’s relation with distinguished suppliers, with whom relations are not only based on suppliers in all purchases. Provide high quality products and services at the best Transport’s needs, but this goes far to include many price, subject to adopted policies and procedures. aspectsthe supplier’s of social efficiency responsibility. and ability These to meet relations Emirates are governed by many conditions and criteria which have been thoroughly developed to keep in line with the vision, mission, values, obligations and national role of Emirates Transport and, at the same time, serve the supplier’s interest within the frame of sustainable partnership.

A Word by the GM

4 5 The Purchase Department : The ET Purchase Department's Activities : by adopting approved policies and procedures, including •Planning and supervising purchase processes in the corporation drafting annual plans and programs to implement purchases, including the purchase of products, items and services in a

The Purchase Department's Policy : the highest quality and least price levels. The Purchase Department is a vital department of planned scientific way, and meeting the corporation's needs at the Support Services Division in Emirates Transport. analysis of the proposals of commodities and services suppliers, It develops policies, procedures, regulations and •Conducting appropriate technical, financial and field study and programs to meet all needs of the corporation in order purchase committees of the corporation and concluding to achieve its strategic objectives and to maximize submitting recommendations and study findings of competent necessary contracts with commodity and services suppliers the value for money in complete integrity and according to applicable regulations of the corporation. responsibility. To this end, the Purchase Department and all its employees adhere to the best practices in Insurance of all assets and human resources of the corporation. purchase and supply processes, holding open, fair The• Purchase Department takes necessary arrangements competition for all and maintaining ethical fair conduct to provide the corporation's purchases through: in all purchase transactions.

•Supplier registration. •Specification of purchases. •Preparation of quotations or tenders. •Supplier invitation. with different units and committees. •Technical and financial assessment of proposals in coordination

•Contracts.

6 7 Managing Relations Emirates Transport’s Standards and Ethics in Dealing with Suppliers: with Suppliers: Emirates Transport adopts standards and ethics that ensure integrity of its employee-supplier dealing and supplier-ET dealings. To this end, all existing and prospective suppliers must refer - and adhere - to the ET Supplier Code of Conduct and sign the attached undertaking. The Main principles of this Code are: Fair practices and integrity of operation Supplier Registration : No compulsory or child labour The Purchase Department provides a supplier-related database, • No discrimination which is updated on an annual basis. • Care for occupational health and safety (OHS) • Conservation of environment and natural resources websitewww.et.gov.ae" www.et.gov.ae , applies for a supplier • Anti-bribery and corruption registrationFor registration, online theand suppliersubmits required applies fordocuments. registration The suppliers via ET's • No presents and hospitality must ensure that their documents are completed and correspond to • the registration application. Then, the application is reviewed and • assessed by the competent body, which recommends it is accepted or dismissed. • Whistle-blowingNo conflict of interest (according to the ET Amana System). • Observance of ET’s intellectual property and confidentiality On satisfaction of registration requirements, provision of supporting Also, the Purchase Department obligates its employees who deal with • documents and payment of applicable charges, the supplier is added suppliers through its business centres, branches and departments to comply with the ET Employee Code of Conduct, which includes: Fairness when dealing with all people. toRegistration the ET's register Criteria of approved : suppliers. Dedication to the job. Avoidance of any unethical behaviour in dealings and communications. following conditions: AThe completed registration registration application application is accepted is if submittedthe applicant with satisfies all required all the of interest with the corporation. documents. A known address of workplace. RefusalAvoidance of ofany any funds, personal loans, business discounts, deals presents which may and give services rise to from conflict the A valid trade license. supplier if this will affect the purchase decision. Correspondence of authorized activity in the trade license to the Protection of secrets and information of the corporation or the supplier. activity made by the potential supplier. Promoting relations with suppliers in a positive way through courtesy and integrity of dealing. supplier has previously provided services. AThree bank certificatesaccount in the of experiencesame trade fromname differentof the agency. bodies, to which the The supplier’s acceptance of the terms and conditions of Emirates Transport and signature of ET Supplier Code of Conduct. Settlement of applicable charges. Approval of the submitted form by stamping it with the stamp of the company and signing by the authorized signatory on behalf of the company.

8 9 Registration Levels: After the registration application is accepted, the supplier is registered in any of the following three levels according to supplied information: • First Level:

corporationWhere the supplierof no more satisfies than AED all 100,000 registration per annum. criteria, the supplier is registered in the first level and given the authority to supply items to the Registration Rules: • Second Level: After the suppliers satisfying registration requirements are approved and the Purchase Department receives the approval of dealing suppliers which will be registered in the register of suppliers, their information supplierWhere the is supplierregistered satisfies in the all second registration level and criteria given and the has authority a financial to budget that is audited by a chartered auditor for three fiscal years, the is entered in the appropriate register on the system to allow they are supply items of no more than AED 500,000 per annum. invited easily. The Department shall invite all registered suppliers in • Third Level: cases of purchase by way of tender or sale in auction and select some of them in the appropriate method of purchase according to the rules of of the below items, the supplier is admitted to the third level and given each method. theWhere authority the supplier to supply satisfies items all registrationof more than criteria AED 500,000and provides per annum.any/all Submissions from applicants barred from tendering, or registration in These items are: the Register of Suppliers of the corporation, will not be accepted during

equivalent body). A quality warranty certificate issued by an accredited body (ISO or an Prohibitionthe period of disqualificationof Suppliers: as determined by the Purchase Committee.

• The applied environmental policy or a certificate by an accredited body. This procedure protects the corporation from dealing with inefficient • The applied OHS policy or a certificate by an accredited body. the suppliers failing to improve their performance to target levels. suppliers whose ethics are not up to the corporation's expectation, and • The SR policy, supported by the supplier's activities in this field. When a supplier is prohibited: •Assessment The company's of Supplier approved Registration code of ethics. Application: The supplier registration application is assessed and reviewed to verify deception inside or outside the UAE. that it has potentials of adequate quality to carry out assigned tasks •If the the supplier supplier proves proves to be to involved be accused in any in act any which fraud/falsification is in prejudice orto national security or stability. •If the supplier is declared bankrupt. visitas efficiently may be made and toaccurately the supplier as required to ensure and it has verify facilities the correctnessand potentials of tosupplied provide information, the products and or ensure services. the best for Emirates Transport. A field any• improvement. •If the supplier's performance is weak (below 65%) and it fails to show or services rendered to the corporation. •If the supplier proves to have falsified/deceived in any works, products consumes penalty. •If the supplier fails to implement the purchase order/contract and

10 11 Assessment Policy: • Suppliers' Satisfaction with ET Questionnaire Purchase Procedures: 1-Submission of Proposals: Emirates Transport is always keen to improve suppliers' satisfaction satisfactionin general. Itquestionnaire, strives to optimize aiming itsto explore services their to meet impression the suppliers' of the procurement system and approved. Then, approved suppliers in the corporation,requirements main and problems suggestions and their through solutions an annually as well as held different suppliers' areas The request for purchase of required items/services is prepared in the of improvement. solicited through the list of suppliers on the automated procurement corporation's system are invited and at least three (3) quotations are • Suppliers' Performance Assessment via e-mail or fax. Some important points must be included in the supplied The supplier is assessed on a semi-annual basis according to the following quotations,system, classified including: as per the type of purchase by approaching supplies criteria: quality, supply, post-sale services, response and commitment on a semi-annual basis in July and January of the following year. Reports Individual prices of each item. The price includes all expenses and charges are communicated to suppliers in the same month. The suppliers willing •Exact names and specifications of required items and measurement unit. to improve their performance can meet with service recipients and lay The warranty and country of origin of each item. down performance improvement plans, except for strategic suppliers ofDates transport of supply to the of corporation's required items sites, or services. unless otherwise is determined. •Quotation validity period. action plan is laid down for improving their performance and putting • which are assessed below 80%. A meeting is held with them and an their performance under special follow-up. •Any other mandatory information which has a direct impact on the •Technical specifications (manuals or catalogues, if any). • 2-provisionAssessment of service/product of Proposals (additional conditions).

the Purchase Department shall: 1-After receiving the suppliers' proposals via fax or e-mail up to deadline, Methods of Purchase deadline. 1-Direct Order Purchase •RejectObserve the the proposals confidentiality received ofafter proposals the deadline received stated up in tothe submission enquiry or 2-Practice Purchase receive the same and state that clearly in the memoranda of award to be 3-Tender Purchase referred• to the decision-making body. It may solicit other (new) suppliers on the receipt of proposals from ET’s rules and regulations. a limited number of solicited suppliers or non-receipt of technically •Public Tenders: they are announced by way of public publication according to accepted• proposals. corporation are invited. •Selective Tenders: only the suppliers or contractors registered with the well as price-detailing statements are drafted in the light of proposals 4-Outsourcing : received2-Received from proposals suppliers. are studied and technical and financial reports as The corporation encourages purchase from the local market in support of the 3-The competent body will make the purchase award decision to a single national economy and limit risks linked to outsourcing. Due to expansion of the supplier or divide the award to many suppliers pursuant to the preference units to outsourcing, the method of outsourcing has been approved, being every activities and fields of operation of the corporation and the need of organizational purchase by way of direct purchase, practice or tender from a supplier outside apologyof proposals are sent in meeting to unsuccessful the corporation's suppliers. needs. A supplier may inquire about the UAE. This form of purchase is applied in several cases, including for example the4-Successful causes of suppliersnon-award are in notifiedthe meeting of the with award the employeedecision, inand charge. letters of the in availability of items in the local market or the inability of local supplier to provide items according to required conditions.

12 13 3- Contracting Local purchase orders are issued or contracts are prepared in the procurement system by the employee who prepares the purchase

items are clearly and exactly determined, the delivery places of items and servicesorders/contracts at the corporation to successful are set, suppliers. and names Specifications and phone numbers of required of the employees authorized to receive the items are designated, in addition to any other conditions to be included in the purchase orders to protect the rights and interests of the corporation.

signed via fax or e-mail. The purchase order/contract is sent to the suppliers once it is duly Receipt – Payment : as a proof of receiving and accepting it and the commencement of invoice, which shall be issued in the actual delivery date. The stated items The supplier is required to stamp and sign the purchase order/contract implementation. shallOn the correspond delivery of to items/services, the supplied items the supplier as stated shall in furnishthe purchase the original order If award is accepted, the supplier is required to furnish a performance and both quantity and price shall correspond to the purchase order. The supplier shall deliver the items with a delivery note, and the supplier shall three months plus the term of contract (usually one calendar year). request that the document be signed and stamped by the employee in Thebank bank guarantee guarantee at 10% shall ofbe thefurnished total value in the of form contract, sent by being the Purchase valid for Department no later than ten (10) days of the date of award. therein,charge at a theGRN corporation. is prepared Upon in the the procurement receipt of required system items/services and sent to the in the purchase order, the new amendments shall be approved, and a new the purchase order and verify correspondence to required specifications In case of any amendments to the prices/supplied items after issuing purchase order is issued and the former is cancelled. invoice and a copy of the purchase order for processing due payment. Financial Department, along with the delivery note, the supplier's original not conformant, the suppliers are approached to accelerate the supply of days from the receipt of general purchases (computers, stationery, If the items are not received at the scheduled dates, or if specifications are items. Shall the supplier fail to respond or show reasonable causes of late advertisements,Payment timing etc.), depends and on90 theto 120 nature days of as purchase, to technical being purchases 45 to 60 supply, the corporation may impose a delay penalty. (vehicles, buses, spare parts, etc.). The supplier is advised of the readiness Non-conformant items shall be returned to the supplier and an item of due payments and place of receiving the cheque. rejection document is prepared on preparing the receipt report in the procurement system, and the supplier shall be deemed in delay and subdue to the same provisions. Complaints and Suggestions : Emirates Transport targets excellence of service to go far beyond In case of any items or materials with manufacture defects that are of communication with customers and identify their needs, and to within 24 hours of receiving the letter and show how the items will streamlinecustomer's proceduressatisfaction andand optimizeexpectations. service. It is keen to open new channels becovered replaced under or warranty, alternatives the supplierbe provided shall tobe notifiedprevent andany shallharm respond to the corporation. case of any obstacles, in particular late payments, the corporation is open toBecause receive it istheir necessary suggestions to deal and with complaints suppliers officiallyon the Feedback and assist Gateway them in (MY GOV), being a federal independent corporation which adopts the requirements of the federal government of the , which dedicates this gateway as a joint federal gateway for receiving the remarks, suggestions and complaints of all customers, suppliers in particular, pursuant to the best international and local practice. Your suggestions and remarks are always welcome. For participation and opinions, you can log onto ET’s website www.et.ae and send your remarks.

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