Procurement is responsible for sourcing goods and services, selecting suppliers and negotiating agreements. Once the agreements are in place, the transactional purchasing is typically done through Procurement Supply Chain teams.

The Group Procurement sourcing process consist of six steps – qualification, tender, workshops, negotiations, implementation and supplier relationship management.


Sourcing step 1: Qualification

Invitation letter

Suppliers are invited to qualify via a pre-warning letter. Suppliers activate all relevant departments and global resources, ensuring that they can deliver the feedback requested. Suppliers appoint a person to act as single point of contact with A.P. Moller - Maersk.

Submission of qualification material

All suppliers (including present suppliers) submit their qualification papers. Submittals are ranked by quantitative and qualitative parameters. A number of suppliers are invited to participate in Step 2. Failure to submit or late submittals of the qualification papers are considered a ’decline to bid’ and this will eliminate the supplier from the process.

Sourcing step 2: Tender

Invitation letter

The single point of contact at the supplier receives a pre-warning to bid. Suppliers re-activate all relevant departments and global resources.

Tender material

Group Procurement issues a tender document containing a full Definition of Scope, Commercial and Legal Terms & Conditions, Cost Breakdown Form and Template for Response. Depending on the complexity of the product/service, other information will be given Suppliers must comply with all formulated templates in the document(s). Group Procurement evaluates the supplier’s capabilities, value creation, TCO and incurred benefits. Based on this evaluation, a number of suppliers are invited to participate in Step 3. Note that submittal of bids in suppliers own format (that have not been approved), will eliminate the supplier from any further participation in the process. This is applicable even if the submitted format contains all the relevant information.

Sourcing step 3: Workshops

The sourcing process is designed to establish long-term supplier relationships. By screening out non-relevant suppliers in each sourcing step we make sure that the suppliers we work with are a ‘best fit’ for our organisation.

What do you get from us? Results and relationships go hand in hand. We team suppliers with purchasers across A.P. Moller - Maersk, opening up markets and facilitating cost-effective purchasing models. What do we want from you? Working with Group Procurement is a commitment to jointly work on improvement of quality and products delivered. Our supplier assessment follows total cost principles, and all suppliers must be committed to realising improved Total Cost of Ownership (TCO).

Our suppliers must:

Be financially sound Have a reliable, open and honest approach Have the capacity to remain a reliable supplier Be creative, competitive and committed Make all product life cycle costs transparent How do we choose a supplier? If you are confident that your profile and responsiveness can meet our demands set-up in the following sourcing steps, you can benefit from working with A.P. Moller - Maersk. Please follow the steps in our sourcing process to see how you can work constructively with A.P. Moller - Maersk, and benefit from the partnership.

Sourcing step 4: Negotiation

Invitation to negotiation

Suppliers must attend the negotiation with a full mandate to commit to all negotiation points without delay.


The results of the workshop are openly discussed, including the impact on TCO and all savings ideas. Product, price and place are agreed upon. A Letter of Intent is signed. Contracts are signed and implementation (step 5) will start.

Sourcing step 5 - Implementation

This cooperation gives Group Procurement and the supplier the opportunity to achieve optimum compliance with the agreement. At this point, Maersk’s internal marketing resources may be utilised

Debrief of suppliers. Through dialogue, Group Procurement works towards long-term relationships by continuously improving our suppliers’ performance. Suppliers may receive a debriefing, providing feedback on how to improve performance in the future. Group Procurement advises suppliers on how to customise performance to suit Maersk which helps improve the suppliers service to similar large customers.

A world of possibilities

To guarantee the greatest benefits for our organisation and our suppliers, we use considerable internal marketing resources to promote the new agreement. This includes: Promoting agreements via the A.P. Moller - Maersk intranet. Initiating awareness seminars with internal Maersk stakeholders. Using e-learning tools to train internal customers in the. New processes, where appropriate. Utilising IT tools to monitor compliance. Naturally, we expect a future supplier to participate in these activities where relevant. What is next? If you feel that you can work constructively with Group Procurement, please contact us. We will invite you to take part in the sourcing process when appropriate.

Sourcing Step 6: Supplier Relationship Management

Our contract managers are in charge of contract roll-out and contract compliance, including:

Maintaining the lowest overall TCO. Ensuring agreement compliance. Full reporting on performance. Supplier Relationship Management (SRM) strategy Group Procurement works with an SRM strategy to handle relations and to optimise dialogue with our suppliers.


The SRM strategy allows us to efficiently optimise supplier relationships, refining the management strategies for each supplier segment. New and existing suppliers can register in our contact database. Suppliers categorise and assess themselves via the online contact tool and we segment the suppliers based on this information. Many of our existing suppliers have been working with us for a number of years and they are automatically managed through our internal SRM tool, allowing us to appraise these on-going relationships.

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