PROCUREMENT PLANNING & APPROVAL NGO
Procurement Planning and Approval: The first step in any NGO procurement activity should be a thorough needs analysis, which should be followed by the creation of a procurement strategy that complements the organization’s yearly budget and program objectives. A requisition form needs to be completed and approved by the finance officer and the head of the relevant department before any purchases can be made. According to the NGO’s permission matrix, top management or the board must additionally approve procurement that beyond a certain threshold.
Competitive bidding and vendor selection: The NGO is dedicated to open, equitable, and economical procurement procedures. At least three competitive quotes from eligible suppliers are required for goods and services valued at more than a certain threshold. Price, quality, dependability, and specification compliance should all be taken into consideration while evaluating offers. If a sole-source procurement is required in extraordinary circumstances, it must be supported in writing and authorized by the procurement committee or executive director.
Contracting, Delivery, and Documentation: Following the selection of a supplier, a formal purchase order or agreement detailing the conditions of delivery, payment, and performance requirements must be issued. Before processing payment, the receiving department must confirm that the goods or services match the purchase order. According to the NGO’s financial policy, all procurement records—including requisitions, bids, contracts, and receipts—must be appropriately filed and kept for audit and compliance purposes.
Author: Mohamed Yasin
