Debswana Supply Chain Management Business Opportunities Indications DM Kwati (MSc, BEng) 20101119 PURPOSE The purpose of this presentation is to share information on; The potential business opportunities for citizen owned and Botswana based companies. How to access such opportunities. Proprietary and Confidential Page 2 CONTENTS Purpose Purchasing & Procurement/ SCM Purchasing Scope Tendering Process Supplier Registration Supplier Registration Process Business Opportunities Commodity Grouping and Spend Contacts Proprietary and Confidential Page 3 SUPPLY CHAIN MANAGEMENT (PURCHASING & PROCUREMENT MANAGEMENT) To obtain goods and services for Debswana Group Operations at the best possible; value, quality, Price, and after sale support & service. Preference to procurement of goods and services will be given to Botswana based and citizen owned companies. Proprietary and Confidential Page 4 PURCHASING SCOPE Purchasing scope covers all materials and services including capital equipment sourced for our operations Orapa, Jwaneng & Head Office Purchasing entities are Debswana operations, De Beers as Debswana appointed agent in South Africa and any other agency duly appointed by Debswana Proprietary and Confidential Page 5 TENDERING PROCESS Tender Review Committee > P10 M Tender Board Orapa Tender Board Jwaneng Tender Board Head Office Supply Chain Supply Chain Supply Chain End User Requirements End User Requirements End User Requirements Internal Control Systems Governance Proprietary and Confidential Page 6 SUPPLIER REGISTRATION All potential local suppliers are given equal opportunity to register with Debswana Successful grading is subject to meeting the minimum requirements The main objective is to create opportunities for local suppliers & sustain a data base of known & reliable vendors The data base also allows us to be speedy & efficient in searching for local supply capacity. Proprietary and Confidential Page 7 SUPPLIER REGISTRATION PROCESS • Completion & submission of the Supplier Assessment Questionnaire • Debswana reviews all submissions – including visits to company premises as well as face to face interviews with key personnel • Registration & grading letters to the supplier & addition to the data base Proprietary and Confidential Page 8 BUSINESS OPPORTUNITIES Purchasing & Procurement Opportunities - One of our main purchasing objectives is to give preference to the procurement of goods and services from Citizen owned and Botswana Registered Companies. Privatization & Out sourcing of none core business activities driven by the operations. - Opportunities for Botswana based and Citizen owned companies. - Public tendering Mine Expansion Projects (EPCM Projects) - Major project undertaken at the mines ( Jwaneng, Orapa - Morupule) Proprietary and Confidential Page 9 COMMODITY GROUPING & SPEND (P2Bn) Process Plants Ferrosilicon Crusher spares Screens Cyclone spares Floc/Chemicals Poly panels Pumps Recovery machinery Conveyor Belts Pulleys Scrappers Rollers Flocculants Mining EMV spares EMV tyres Fuel - Diesel Lubricants Mining accessories Explosives Drills & Accessories R&M contracts Services Building/Construction PPE Stationary Office supplies Transport and freight Training Facilities Management IT ( Hardware, software and maintenance Travel & Accommodation Professional services Contract labour Engineering Repairs & Maintenance Electricity Electrical Spares Eng Research Vehicle Spares Fluid Conveying Fabrication - Steel Instrumentation Power distribution equipment Tools Proprietary and Confidential Page 10 KEY CONTACTS Supplier Registration Gaborone – QA Manager (267 3648141) Standard Officer - Jwaneng (267 5884609) Standard Officer - Orapa – (267 2902233) Purchasing & Procurement issues at the Operations Jwaneng – Materials Manager (267 5884384) Orapa - Materials Manager (267 2902229) Commodities Mining (267 3614395) Process Plants (267 3648052) Services (267 3648043) Business Development – Business Development Manager (367 3648005) Proprietary and Confidential Page 11 End and Thank You