Purchase Order Process
Purchase Order Process
All purchases of goods and services at Global Trust Bank must be made through the approved purchase order (PO) process, managed via the SAP Ariba procurement platform. This ensures proper budgetary control, audit traceability, and compliance with the Bank's Procurement Policy. No goods or services should be ordered without a valid purchase order, except for expenses covered under the Corporate Credit Card Policy or petty cash arrangements.
When is a Purchase Order Required?
A purchase order is required for:
- All purchases of goods or services exceeding GBP 1,000 (or local currency equivalent)
- All contracts with external vendors, regardless of value
- All IT hardware and software purchases, regardless of value
- All consulting and professional services engagements
Purchases below GBP 1,000 for standard office supplies may be made using a corporate credit card or departmental petty cash, provided they comply with the Expense Claim Procedure.
Raising a Purchase Order
- Log in to SAP Ariba at ariba.globaltrust.internal (SSO-enabled).
- Create a Purchase Requisition (PR) by selecting Create > Purchase Requisition.
- Complete the required fields:
- Description of goods/services
- Vendor name (must be an approved vendor — see Vendor Onboarding Requirements)
- Quantity and unit price
- Delivery date and location
- Cost centre and GL code
- Business justification
- Attach supporting documentation (vendor quotes, scope of work, contract terms).
- Submit the PR for approval. The system routes the request based on the approval matrix below.
Approval Matrix
| PO Value | Approver(s) | Target SLA |
|---|---|---|
| GBP 1,000 – GBP 10,000 | Line Manager | 2 business days |
| GBP 10,001 – GBP 50,000 | Line Manager + Department Director | 3 business days |
| GBP 50,001 – GBP 250,000 | Department Director + Divisional MD + Procurement | 5 business days |
| GBP 250,001 – GBP 1,000,000 | Divisional MD + Group CFO + Procurement | 7 business days |
| Over GBP 1,000,000 | Group CFO + Group CEO + Procurement + GEC approval | 10 business days |
Competitive Bidding Requirements
| PO Value | Requirement |
|---|---|
| Up to GBP 10,000 | Single quote acceptable |
| GBP 10,001 – GBP 50,000 | Minimum two written quotes |
| GBP 50,001 – GBP 250,000 | Minimum three written quotes |
| Over GBP 250,000 | Formal Request for Proposal (RFP) managed by Procurement |
Purchase Order Lifecycle
Once approved, the Purchase Requisition is converted into a Purchase Order and sent automatically to the vendor via SAP Ariba. The PO lifecycle includes the following stages:
- PO Issued — Vendor receives the order and confirms acceptance.
- Goods/Services Received — The requestor confirms receipt in Ariba (three-way match: PO, receipt, invoice).
- Invoice Processing — The vendor submits an invoice referencing the PO number. Accounts Payable processes payment within the agreed terms (standard: 30 days net).
- PO Closed — Once all deliverables are received and invoices paid, the PO is closed.
Emergency Purchases
In exceptional circumstances where a purchase must be made urgently without a PO (e.g., emergency repairs, critical IT equipment failure), a retrospective PO must be raised within 48 hours. The requestor must provide a written justification for the emergency, approved by their Department Director. Frequent use of emergency POs will be flagged by Procurement for review.
Contact
For procurement queries, contact the Procurement team at procurement@globaltrust.com or extension 8300. For SAP Ariba technical issues, contact the IT Service Desk at extension 7000.