Merchandise Vendor Payment Update

2

Background

• This document outlines

1. The key vendor requirements to ensure timely payment

2. Details our Commercial Document requirements and process

• Timing of document submission

• Document requirements

3

Contents

1. Vendor Payment Process

2. Commercial Document Requirements

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How the process works today..

Supplier Delivers Goods

Supplier Submits docs to DHL &

pays Origin Fees

DHL Issue Forwarders Cargo

Receipt (FCR)

Check Invoice v PO

Key Invoice into SAP

Pass?

Pass?

Payment ‘Clock’ Starts here

Y

N

Y

N

Vendor Query Report

Pass?

Y

N

Non compliant Vendor report

Payment Run to Supplier

Blocked Invoice Report

Pass?

Y

N

Supplier Receives Payment

Buyer / Coles Group Asia

Supplier

DHL

Intl VendorPayment Team

Payment ‘Clock’ Stops here

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When is my Payment Due

Create Invoice and Packing List

Deliver Goods to DHL Port

DHL cut Draft FCR

Confirm FCR Details

DHL Create Final FCR

Officeworks Process Payment

Process Steps

Example Timeline

Invoice Date1st September

Goods Delivered3rd September

Draft FCR5th September

Final FCR6th September

Payment Due13th September

Su

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lie

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ffic

ew

ork

sD

HL

8th Sept Payment is NOT due 7 days from invoice date

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How do I know if there is a problem?

If you have not submitted documents

If there is an issue with the commercial documents you have submitted

If there is a price or quantity discrepancy holding up your payment

You will be contacted by the Freight Forwarder

You will be contacted by the Vendor payment team directly, requesting an updated set

You will be contacted by your merchant or buyer in the event of a query with your payment. The Vendor payment team issue a daily exception report highlighting any price, quantity or banking detail issues to resolve

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Contents

1. Vendor Payment Process

2. Commercial Document Requirements

8

Commercial Document Requirements

The following documentation is required by Coles Group in order to process each shipment…

When Required Document If Not Submitted

Freight Forwarder Booking

• DHL Booking Form (Shipping Order)

CFS Goods Receipt

• Commercial Invoice from Supplier to Coles Group

• Packing List• All other documents as per the

Document Check List

Within 48 hrs of CY Container Delivery to Yard

• Commercial Invoice from Supplier to Coles Group

• Packing List• All other documents as per the

Document Check List

• Booking will be rejected and container not released

• Goods may be rejected or not shipped.

• Payment to supplier will be delayed until correct documents are delivered

• Payment to supplier will be delayed until correct documents are received

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Document Checklist for Suppliers

The following document checklist may be helpful to ensure you understand our document requirements

DOCUMENT REQUIRED WHEN REQUIRED & COMMENTSSupplier Check

& Date

Freight Forwarder Check

& Date

Copy of DHL Shipping Order Always   

Commercial InvoiceAlways. Supplier invoice must be provided, not manufacturers invoice.

   

Packing and Weight List Always   

Packing DeclarationAlways (except where AQIS approved annual is in place)

   

Factory Load Declaration For CY containers only.   

Fumigation Certificate If required for natural materials.   

Manufacturer Declaration / Age Certificate (for CGLG if required)

If required for certain materials (refer to Supplier Manual).

   

Cargo Release Confirmation (CRC)

When Coles Group Asia is buying agent.   

Other Certificates/Permits as required

Eg. Certificate of origin, Photosanitary Certificate, Dangerous Goods Certificate

   

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Where do I Deliver my Commercial Documentation?

All Origins (DHL) Deliver commercial documents to the Forwarder (DHL Supply Chain), who will forward

these on to our Vendor Payment team (scanned copy).

Refer to the Supplier SOP for specific details as to documentation required

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Warning!Freight forwarders will not accept goods

without suppliers invoice and packing list. No documentation, no receipt of goods!

The following process steps have been developed to ensure that all the required documentation is sent to the Supply Chain Team correctly so as to avoid any delays in payment for Suppliers.

Area What action/s do You need to take? What is the FULL pack You need to send to our FF?

Dispatch Documents All original documentation is to be delivered with the goods to the freight forwarder or sent via fax/email prior to delivery. In subject of e-mail include Supplier Name, Brand

One copy of:

Your commercial invoice Certificate of Origin Packing List Packing DeclarationFactory Load Plan Fumigation Certificate (where required) Photosanitary Certificate (where required) Permits (where required) Whiskeys require “Age” certificate (where required)

All Origins – Details of Document Receiving Process

* New Zealand Suppliers - Express Bill of Lading is used in place of the usual Ocean Bill of Lading.

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All Origins - Where You need to send the required documentation…

The following email address’s are to be used as follows;

Email – Commercial Documents

As per the contact list in the Supplier Manual (or delivered with goods)

Email – Accounts / Payments Queries

OW International Accounts – owinternationalaccounts@officeworks.com.au