Supplier Selection Process

English Biscuits Manufacturers Pvt. Ltd.

By :
Niaz Hussain 37706
Manza Malik 31328
Shoaib Raza 43693
Ireen 43592
Arshad 41395
Zafarullah 32931
 Introduction

English Biscuit Manufacturers (Private) Limited was established as a

joint venture company in 1965 with the name of Peek Freans
Pakistan Limited
EBM provide Pakistani consumers with nutritious and hygienically
packed biscuits of the highest quality.
The brand name 'Peek Freans' is a household name, and people trust
and believe in the quality of the products produced under this brand
EBM is also the first biscuit company in Pakistan to have achieved
ISO - 9001 Certification in correspondence with its institutional
slogan 'The Legend Leads'.
EBM is also the only food company to have been awarded
Environmental Excellence Award for seven successive years 2004 to
2010
OVERVIEW OF THE ORGANIZATION

Vision
• To provide high quality value-added food to contemporary and future
generations.
• To constantly endeavor for the acquisition of knowledge and excellence
in developing human skills, product innovations and state-of-the-art
technologies.
• To become a partner with the Government in sharing the responsibility
of economic and social uplift and development of Pakistan.
 OVERVIEW OF THE ORGANIZATION

MISSION:
•Strive for highly responsible management.
•Highest standards of hygiene.
•Protect and preserve the environment.

VALUES:
•We believe that no individual is bigger than the institution.
•We believe in integrity, transparency and commitment as our cultural ethos.
•We continually adhere to the highest standards of hygiene and ecology.
•We believe in governance in human face.
•We believe in leading and innovating in all aspects of business.
EBM PRODUCT LINE:
• Biscuits
• Sooper • Cakes
• RIO • Cake Up
• Gluco
• Jam delight
• Butter puff
• Sandwiches
• Chocolicious
• Click
• Saltish
• Peanut Pik
• Peanut Pista
• Party
• Marie
• Whole Wheat Slices
• Farm House Cookies
• Nan Khatai
EBM’s Competitors

• The major competitor of English biscuits is CONTINENTAL BISCUITS

(LU), which has a significant share of the market in terms of sales
volume.

• Ismail Insudtries:
• Bisconi
• Candyland
EBM’s Major Suppliers

Habib Saima Mujahid

Sugar MILLAC
Packing Banaspati
Mills
EBM’s SCM Structure
PROCUREMENT DEPT. DIVISION

Raw material

Inventory Production

Procurement Packaging
material

Electrical

Engineering Mechanical

Civil
General Items
Office
Stationary

Non Engineering House Keeping

Computer
Stationary
Identifying Potential Sources

Information Sources: from all available sources include online searches, trade directories,
advertisements, supplier & commodity directories, sales interviews, colleagues, professional
contacts and the supply dept. own record
EBM has chosen their multiple sourcing for different products rather than going for single
sourcing for their different requirements for inventory and general purchase itmes
Online Sources:
Some times online sources are also being used for some technical or small items if they are
required urgently in very small quantity for that existing supplier is not able to provide ,
sourcing team search that particular item online and purchase on need base.

Sales Representative
It depends upon the product and it’s quality and nature if there is health and hygiene factor
this source is not considered a reliable until the product is not internationally certified.
Identifying Potential Sources

Visits to Suppliers
Supply manager chain managers from EBM make visits to suppliers from whom they purchases on
regular bases and I bulk amount. They use to talk directly with higher management rather than wasting
times and efforts with lowers managers in order to avail bulk discounts and to know suppliers future
plans.

Samples
EBM particularly make visits to their potential suppliers of all the ingredients of biscuits and cookies
like chocolate, sugar, floor, and ghee etc. to make usual inquires and a plant visit, samples of the
suppliers product can be tested properly.

Others
• Hire level employ’s conatcts are also used as source of supplier identification.
• For heavy machinery purchase existing supplier’s customers visit and their reviews for machinery
Supplier selection decision

The decision to place a certain volume of business with a supplier should always be based
on a reasonable set of criteria.

Sourcing Team of EBM with concerned department (Internal Buyer)

determine how to build comprehensive knowledge base of potential suppliers that must
focus on ;
• Product Quality.
• Price.
• Availability
• Reliability
• Customer service.
Selection Criteria

Some of the most important attributes related to these prime criteria may include:

past history
facilities and location
technical strength and financial status,
organization and management,
reputation,
systems,
procedural compliance,
communications,
Procedure for Evaluation of Supplier

• Supplier is evaluated on the basis of range of products and services he provides.

• The supplier is required to furnish details of his quality system.

• Supplier performance is evaluated be Supply Chain Dept.

• Supplier’s end survey is to be conducted upon requirement. If the system/

supplies are not flowing properly then it needs to be addressed through site
survey.

• Based on the information gathered supplier is approved/rejected.

Procedure for Procurement of Raw Material

• Requirement is computed on the basis of Weekly Production Schedule

• Purchase Order is issued to Local Suppliers with all terms and
conditions and specifications / credit record
• After Receipt of Material QA department collects the samples of
receipt material and verifies them
• If the material is rejected by QA, the rejected materials are returned
to the supplier
• Bills are received at MM Department from the suppliers and sent to
Finance Department
Packing Material Procurement

• Monthly Requirement is generated on the basis of Comprehensive Report

on periodic basis
• Purchase Order is issued to Local Suppliers with all terms and conditions
and specifications / credit record.
• After Receipt of Material QA department collects the samples of receipt
material and verifies them
• If the material is rejected by QA, the rejected materials are returned to
the supplier
• Bills are received at MM Department from the suppliers and sent to
Finance Department
General, Technical and IT Items Procuremen

• Demand Note is received for purchase of General /

Technical / IT equipments.
• Required materials are arranged from on spot market
buying
• Purchase Order is issued
• Material is received by concerned Stores
• Bills are received at MM Department from the suppliers
and sent to Finance Department
Imported Items Procurement

• Requirement for Imported Raw Material is generated on

period basis
• A letter is sent to supplier or their Agent in Pakistan and
Price / Rate is negotiated
• Application is sent for L/C to the bank
• Copy of L/C is sent to Supplier through courier / fax.
• Negotiable documents are received from our bank
• Clearing Agent arranges for clearance of consignment and
delivery at EBM
• Bill of Clearing Agent is sent to HOD for approval.
Thanks!