Kairaus’ Annual Rate Agreement application facilitates procurement department of organizations in automating the entire process of vendor selection, evolution, contract development and contract award. The process is based on SharePoint includes workflows, alerts, lists, document libraries, versioning, etc It assists organizations in reducing financial losses and creating full transparency throughout the lifecycle of ARA from its creation up to renewal date.

Some of the key highlights of the

MASTER TRACKER

1. To be updated by the Assurance and Vendor Engagement Team
2. To keep track of all previous years ARA’s that are done and need to be renewed
3. Master tracker will keeps a track of the following activities that happen
1. Renewal Alerts
2. Request for quotations sent
3. Quotations received
4. Progress on negotiations, comparison chart and logic note
5. Status on preparation of Annual Rate
6. Completed Annual Rate agreements
7. Checks if all processes have been followed for signing of the ARA’s

RENEWAL ALERTS

1. To be done by the Assurance and Vendor Engagement Team
2. To keep a track of all ARA’s that will be expiring 3 months down the line
3. To forward the data in the 1st week of the month to the Principal and Associate buyers of ARA’S that will be expiring 3 months down the line. It will be sent to them a week before the RFQ is sent.
4. Prepare the vendor database for emailing based on the inputs/confirmation received by the Principal and Associate buyer.

REQUEST FOR QUOTE

1. To be done by the Assurance and Vendor Engagement Team
2. Standard format to be maintained for all RFQ’s
3. Vendors to send the quotes in the same format and items list we send them in. Any additional item can be added to our list but the order of our format cannot be changed.
4. Email to be sent from the central email id
5. Email to be sent by the 1st week of each month for ARA’S expiring 3 month down the line (e.g. In May ARA’S expiring in August need to go out)

QUOTATIONS RECEIVED

1. To be done by the Assurance and Vendor Engagement Team
2. To ensure all quotations are received from all vendors to whom email/letters have been sent
3. Quotation to be in soft copy
4. Maintain record of quotations received and follow up for the ones quotes are not received
5. Quotations to be handed over to Associate buyer/Principle buyer with the date and name to whom the quotes are handed over to

UPDATED COMPARISONS

1. To be done by Associate buyer/Principle buyer
2. Final rate comparison chart to be made
3. To ensure this sheet gives a proper summary for comparison
4. Highlight the vendor to whom the ARA needs to be made
5. Print out sheet needs to be signed by the Associate buyer/Principle buyer

LOGIC NOTE

1. To be made by Associate buyer/Principle buyer
2. Highlight the vendor to whom the ARA needs to be made
3. To fill all details mentioned in the logic note
4. To be signed by Associate buyer/Principle buyer
5. User head to sign off in case of proprietary Items
6. To ensure the following are checks done before
1. Format order for the list items has to be as per the format we had sent requesting for RFQ’s
2. To cross check if the quote rate matches the comparison chart
3. To cross check if old ARA rates match the new printed rates. This will be more so when vendors inform Central Material Group to go ahead with the previous ARA rates
4. To be sent to the vendor for cross checking the rate and terms & conditions of the ARA

DRAFT COPY

1. To be done by Assurance and Vendor Engagement Team
2. The final draft to be sent to the commercial team
3. On approval the same to be sent to the vendor
4. Vendor to revert back with an ok
5. Follow up for approval of vendor
6. To prepare the final ARA copy after approval received

DOCUMENTARY RE-ASSURANCE/ANNUAL RATE AGREEMENT

1. To be done by the Assurance and Vendor Engagement Team
2. ARA’S to be made only after all necessary document are checked and given by Associate buyer/Principle buyer
3. Proper check to be made to ensure all document are attached along with the ARA to be made
4. ARA tracker sheet to be updated to ensure all checks are done by the team for making of the ARA.
1. Sent RFQ are attached
2. Quotes received by all vendor are attached
3. Comparison chart attached
4. Logic note attached with all authorized persons signatures. For any substitutes products, user department heads need to sign off
5. For signing keep the ARA in the following order
1. ARA Tracker sheet
2. ARA original copy for signature
3. RFQ/Letter sent to the vendor
4. Quotations received
5. Comparison chart
6. Logic note with all 4 signatures
6. After checks, Central Material Group Head signs the ARA

COMPLETED ANNUAL RATE AGREEMENT

1. Assurance and Vendor Engagement Team to receive the ARA’S that have been signed by Central Material Group head
2. Assurance and Vendor Engagement Team to stamp and sign each page of the ARA’s
3. Assurance and Vendor Engagement Team to scan the ARA’S in 2 formats. One only the ARA and the second the complete set will the entire correspondence
4. Both Scanned ARA’s to be attached to the tracker sheet for reference
5. Final ARA to be uploaded to the site

UPLOAD ARA

1. To be done by the Assurance and Vendor Engagement Team

DISPATCH & ACKNOWLEDGEMENT FROM VENDOR

1. To be done by the Assurance and Vendor Engagement Team
2. To dispatch the original copy of the ARA through Courier
3. To update the dispatch details of the ARA
4. To get a confirmation from the vendor of the receipt of the ARA
5. Based on the above, all updates to be updated in the master tracker