At Sime Darby Oils, our commitment to excellence extends beyond our organisation. We also work closely with our Vendors (such as Service Providers, Suppliers, Contractors and Consultants) to ensure that our values and principles are carried through in every aspect of our business operations.
We strive to continuously build long-term and mutually beneficial partnerships with our Vendors by working towards a common goal – value creation and operational excellence.
Strong procurement governance and vendor management are key to achieving Sime Darby Oils operational excellence. The principles of good procurement governance within Sime Darby Oils are sustained through maintaining and upholding our procurement policies and procedures with help from our available tools and control systems.
As part of the Government Transformation Project, the ‘Red Book,’ prepared by the Putrajaya Committee on GLC High Performance in 2005, lays out the recommended best practice procurement guidelines for use by Government Linked Companies Board members, Chief Executive Officers and Chief Procurement Officers. Sime Darby Oils has developed a GPPA incorporating the Red Book's procurement objectives, procurement best practices and the Company's corporate objectives. In particular, the GPPA has six objectives:
The Vendor Integrity Pledge is a formal affirmation by any Vendor who intends to conduct business transaction(s) with Sime Darby Oils, that the said Vendor pledges and undertakes that they have read and understood, and will comply with:
The Vendor Code of Business Conduct (VCOBC)
The VCOBC is attached as Appendix 1, to provide guidance to the Vendors on the required standards of behaviour when conducting work for Sime Darby Oils and its Group of Companies (the Group). The standards of behaviour are derived from the Sime Darby Oils Berhad Group's Core Value and Business Principles.
VCOBC outlines the standards of behaviour required from the Vendor relating to:
All applicable laws and regulations relating to anti-bribery, fraud and corruptions, and related requirements as stated in the VCOBC.
The VIP is one of the Company’s procedures for the prevention of corruption that applies specifically to Vendors. It is a compulsory requirement for Vendors to sign the VIP upon registration as to enable them to be selected as a prospective Vendor and subsequently be included in Sime Darby Oils Registered Vendor List (once pre-qualification requirements and procedures have taken place).
VCOI is a formal declaration form by any Vendor who has an actual / potential Conflict of Interest as specifies in the document
Vendor management is a key area in managing compliance of our overall vendor & procurement governance. All vendors are required to undergo the various processes involved including registration and pre-qualification in order for the Company to establish a quality and comprehensive Registered Vendor List. Sime Darby Oils business needs will be better fulfilled through sourcing via vendor selection procedures that has undergone rigorous pre-qualification requirements. Sime Darby Oils will conduct further evaluation to assess vendors’ range of work categories and nature of business against the business needs. Continuous performance evaluations will be carried out to ensure these business needs are met.
Apart from ensuring our operational procurement steps are captured through clear terms and conditions with our vendors, Sime Darby Oils is also continuously implementing electronic procurement (eProcurement) capabilities to help put our policies and procedures in action. Sime Darby Oils continues to work closely with our vendors to help ensure that these capabilities are mutually beneficial to our procurement activities.
At Sime Darby Oils, we are always on the lookout for new partners to collaborate with us to reach our common goals. If you are interested in offering your services to Sime Darby Oil, please visit our eProcurement Portal.