Document Code: MPLATS-SC-POL-004
Effective Date: 02 June 2025
Applies To: All Vendors & Contractors of Mototolo Platinum / MPLATS ENTERPRISE (PTY) LTD
Approved By: Head of Supply Chain
1. Purpose
To define clear expectations, compliance thresholds, and disciplinary actions for vendors who fail to deliver on approved Purchase Orders (POs), fail to communicate, or default on supply responsibilities. This policy serves as a governance tool for protecting operational continuity at Mototolo Platinum.
2. Scope
This policy applies to all contracted suppliers, service providers, and vendors engaged by Mototolo Platinum, MPLATS ENTERPRISE (PTY) LTD, and its affiliated operations, including under Valterra Platinum and Anglo American.
3. Definitions
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Non-Performance: Failure to deliver goods or services within the approved timeframes and terms of the Purchase Order.
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Non-Communication: Failure to respond to written or electronic correspondence, RFQs, or PO queries within two (2) business days.
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Default: Violation of any procurement commitment, including no-show deliveries, refusal to confirm readiness, or incomplete submissions.
4. Policy Statements
4.1. Mandatory Communication
Vendors are required to respond to all official communication within 48 hours. Acceptable forms:
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Email (from a company-approved address)
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Signed company letterhead responses
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SAP Ariba PO correspondence
Failure to respond constitutes non-communication, which is a breach of vendor obligation.
4.2. Delivery Confirmation Obligation
Vendors must:
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Submit a formal letter (on company letterhead) confirming the exact date and time that goods will be ready for delivery or collection.
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Provide supporting documentation such as allocation numbers, transport readiness, Certificates of Analysis (CoA), or product availability.
4.3. Affidavit of Intent (Escalated Cases)
In cases involving HAZMAT, critical diesel supply, or urgent operational materials:
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Vendors may be required to submit a signed affidavit confirming readiness to supply or collect, and assume liability for delay damages or cost overruns.
4.4. Defaulted Vendor History
Vendor behavior will be logged in the Vendor History Database
4.5. Cancellation & Blacklisting Triggers
Purchase Orders may be cancelled with prejudice if:
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Two (2) instances of non-performance occur.
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Supplier fails to provide written confirmation within the stipulated grace period.
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Supplier ignores escalation notices.
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Goods are not ready for collection within the contractually obligated time.
Repeat defaulters will be permanently blacklisted from:
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MPLATS ENTERPRISE (PTY) LTD
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Valterra Platinum and all its subsidiaries
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Anglo American
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CSD and associated supply chains and projects
4.6. Written Confirmation Requirement
As standard, vendors must provide:
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Written Confirmation Letter (on company letterhead) confirming:
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Date of readiness
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Collection instructions (if applicable)
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Contact person for dispatch
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5. Enforcement Actions
The Procurement Compliance Office, in collaboration with Legal and Operations, is empowered to:
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Suspend supplier accounts
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Cancel Purchase Orders
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Initiate legal recovery or claim penalties
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Escalate matters to Mplats General Manager
6. Appeals
A supplier has 7 calendar days to submit a written appeal explaining cause and corrective action plan. The review board will decide reinstatement or permanent removal.