INSIDE PEMEXs INTERNATIONAL PROCUREMENT Who is PPI? A U.S.A. - - PowerPoint PPT Presentation

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INSIDE PEMEXs INTERNATIONAL PROCUREMENT Who is PPI? A U.S.A. - - PowerPoint PPT Presentation

INSIDE PEMEXs INTERNATIONAL PROCUREMENT Who is PPI? A U.S.A. Corporation wholly owned by Petrleos Mexicanos (PEMEX), with the main purpose of satisfying International Procurement Services to PEMEX Group. Operating since November 1994


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INSIDE PEMEX’s INTERNATIONAL PROCUREMENT

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A U.S.A. Corporation wholly owned by Petróleos Mexicanos (“PEMEX”), with the main purpose of satisfying International Procurement Services to PEMEX Group.

Operating since November 1994 Incorporated in Delaware Authorized to do Business in Texas

Who is PPI?

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PEMEX: Organization

Corporate Subsidiaries Affiliates

Board of Directors President & CEO Chief Administration Officer Chief Financial Officer Pemex Affiliates (46) Chief Information Technologies & Business Processes Officer Chief Legal Officer Chief Operating Officer

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Legal advice – IT - HR – Accounting – Treasury – Logistics Strategic projects - QMS - Research & Development - Business intelligence

Customer

  • Market research
  • Customer service
  • Purchasing
  • Public tenders
  • Restricted tenders
  • Direct assignments

Supplier Strategic Planning

  • Supplier directory and evaluation
  • Contract negotiation
  • Contract administration
  • Contract compliance
  • New contracting schemes

Operation Support Business Partners Business Partners

Business Model

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Legal Framework

PPI operates under service contracts with PEMEX Group. Allows PPI to act on behalf of PEMEX Group for contracting with international companies Allows OEM/OSP to implement any commercial scheme, including the participation of Mexican entities

Our services are designed to comply with the legal and regulatory framework applicable to PEMEX Group.

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  • Purchase for itself
  • Take title of the goods
  • Mark-up
  • Resell

PPI does not:

  • Directly or,
  • Through PPI, on behalf of

PEMEX Group. The buyer is PEMEX Group

  • perating:

PPI acts as a facilitator, an agent for a fully disclosed principal – PEMEX Group - by contributing with comprehensive management solutions for the supply chain of imported goods and services.

Our Role

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PEMEX defines requirements

  • Technically identifies and

defines procurement requirements

  • If a Framework

Agreement is not in place, a request for PPI’s opinion is released and eventually implemented

  • If a Framework

Agreement is in place, a PO is issued

PPI advices a procurement execution

  • Upon PEMEX’s request

PPI:

  • Performs a market

research

  • Validates

commercialization channels

Purchase is executed

  • International

Public Tender.

  • Restricted Tenders.
  • Direct Assignment.
  • Framework

Agreement

(Blanket or/and supply order)

Decision Process

Blanket Order

  • A minimum and a maximum amount to be

purchased is predefined for a specific period

  • f time
  • PEMEX Group is committed to buy at least

the minimum amount The supply order specifically defines:

  • Products/quantities required
  • Date of delivery or completion

Supply Order

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2.- Services 4.- Public Works Services 1.- Spare Parts 3.- Goods and Services 7.- Process Technology Licensing and Engineering 6.- Information Technologies 5.- Consumables

Framework Agreement Evolution

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Early Procurement Process

Reverse Bids JIT Strategic Inventory Joint Proposal

  • New commercial initiatives
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Operating Benefits

PEMEX Group uses a single

procurement channel via ERP Standard delivery, monitoring and

compliance process

Reduction in inspection, freight,

insurance, and customs costs Performance and quality warranties provided by suppliers

For PEMEX For Supplier

Centralization of administrative,

contractual follow-up and compliance

Flexibility to use delivery terms

that fit all parties’ needs

Expertise on PEMEX´s contracting

procedures and their application in the international arena

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PPI’s forecast for 2013 to execute 5,230 operations +27% vs. 2012 Is a company with a team of 100 colleagues 181 Framework Agreements in operation with suppliers from all the continents PPI is planning to growth 300% in 2013 in operations value which represents $11,600 USD MM

Facts

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Adds Value to the PEMEX procurement process Develops Innovating Commercial Schemes Has a Strategic Orientation Develops strong alliances with Business Partners Focuses in Knowledge Development

PPI Today

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http://www.pemexprocurement.com

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