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Profiling your Potential Suppliers

accelerograph philippines
(Second of a series…)

This guide strongly encourages the buyers to go the extra mile in their procurement process to come up with a most credible short list of undisputed worthy suppliers. Evaluation teams should be resourceful enough to properly check in detail, backgrounds, business reputations and current business standings of potential suppliers. Most importantly, the unquestionable stability and soundness of the company that you will be buying from.

Why? because the Earthquake Monitoring Device stands to operate for at least a period of 10 years based on the Guidelines and Implementing Rules on Earthquake Recording Instrumentation for Buildings. Chapter 12 of which reads as follows:

"XII.      SUPPORT AND MAINTENANCE

The seismic monitoring system shall have a maintenance clearance as per the requirement of the National Structural Code of the Philippines under Section 105.2. “Maintenance and service shall be provided by the owner of the building.”

The supplier shall provide guarantee that the system shall have a maintenance period for at least 10 years.

For the service period, the maximum service interval is one year. The three Recording accelerographs shall be integrated together to function in unison that a failure in one unit shall not hinder the progress of the entire building seismic monitoring system. The accelerograph shall be equipped with fault detection and alarm that in the event of a fault, the building owners shall call the supplier, and report the fault to Building Official. Calibration testing shall be made in a per year basis to ensure that the integrated systems are in its proper operational efficiency."

Will the supplier still be around at any given time within the stipulated 10-year period? What about the continuous availability of spare parts within a 10-year span? What guarantee do the buyers have after parting with their millions? Companies may come and go anytime. This is where the need for a well-experienced, strong, stable, well-established and credible company comes in. Those who are truly capable of meeting and guaranteeing the maintenance requirements of the DPWH IRR. Companies with unquestionable vast pool of human resources ready to immediately attend to the needs of every client at any given time. This is no kid stuff.

“Section II. Objectives

In conformance with the said Section 102 and as provided in the NSCP 2010, these Guidelines and Implementing Rules on Earthquake Recording Instrumentation for Buildings were developed to primarily safeguard lives, and for clear understanding of the actual dynamic behavior of buildings/structures under earthquake loading and confirm the structural design parameters used or to be adopted in compliance to the specific provisions of the NSCP. The recorded data will be used to improve the safety provisions of local structural code there by reducing loss of lives and limbs as well as properties during future damaging earthquakes, and to improve our understanding of the behavior and potential damage of building under the dynamic load of earthquakes.”

This clearly concerns human lives. These are devices that aims to reduce the loss of lives and limbs in the first place. Devices that we cannot risk buying on complacency and without exercising more than due diligence in the procurement process. It is a moral obligation to our building occupants, workers, employees, friends and everyone that we share our working areas with each and every day, far more than and above any act of compliance for operational permits.

It is in this line that it will be very wise and prudent on every buyer’s part if they will strictly require to the letter, the following documentations before entertaining any request for product presentation. This will serve as a very effective initial filter for qualification.

ü  Registration Certificate from Securities and Exchange Commission (SEC)

ü  Department of Trade and Industry (DTI) for sole proprietorship

ü  Copy of Mayor’s permit issued by the city or municipality where the principal place of business is located

ü  Copy of Application for renewal of Mayor’s Permit from the city or municipality where the principal place of business is located, along with a proof of payment for said renewal

ü  A Statement with at least five (5) of its ON-GOING government and/or private contracts within the past 3 years, with accompanying Purchase Order or Contract.

ü  A Statement with at least five (5) of its COMPLETED government and/or private contracts within the past 3 years with accompanying 1. Purchase Order or Contract; and 2. Certificate of Acceptance or Certificate of Completion or Official Receipt of Last Payment Made.

ü  Copy of Audited financial statements for the last 2 years, stamped “RECEIVED” by the BIR or its duly accredited or authorized institutions.

ü  Most importantly, a Statement/Summary of all projects completed with corresponding Certificate of Installation of Earthquake Recording Instrumentation issued by the Building Official.

It will definitely serve your best interest if you have these complete documents safely at hand before adhering to any product presentation requests. These data will provide you with a very good insight about the general character of the company that you might be dealing with and it will work favorably on your part. Furthermore, it will allow you to be in full control right from the beginning and establish an authoritative stance for the entire procurement process. It makes them play your game and not you playing their game. Any single document missing may spark the onset of doubt. And where doubt exists, working relationships usually looks less promising. No room for mistakes here. Human lives are at stake. It should never be compromised. Wise to have these as standard requirements before any product presentation and you can never go wrong. For the more adventurous buyers, the choice is always yours.

Profiling the financial condition and cost structure is a must. An assessment of a potential partner’s financial condition should be made during the evaluation process and work on the different financial ratios that determine whether a supplier can invest in resources, pay its suppliers and its workforce, and continue to meet its debt and financial obligations. These elements are important in determining whether the supplier will continue to be a reliable source of supply, and that supply will not be disrupted.

You may drop an email at seismicphils@gmail.com for a free full copy of the DPWH IRR and will gladly send it to you in PDF format. Please include your questions or inquiries regarding seismic accelerograph procurement process if any with your name, designation,and company so can be addressed properly.

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