Purchase Order Format Description
It is Cisco policy to distribute purchase order requests by email or fax. Be sure to provide in the Global Supplier Enrollment Package (GSEP) the email alias (preferred) or fax number where you wish to receive purchase orders. Make sure that the notification method is up to date. If the method to receive purchase orders changes, go to Supplier Guidelines and Information for details on how to update this information.
All requests by email are in PDF format, so you must have PDF-reading software to view the purchase orders.
Purchase Order Exceptions
Purchase order exceptions are now consistent globally, across the Asia Pacific, Greater China, Japan, Emerging Markets, Europe, Latin America, U.S. and Canada theaters. Refer to the following purchase order exceptions guidelines for all theaters and localities:
- Legal services, specifically, Outside Counsel, Investigations, and Litigation
- Advanced Services Partner Procurement
- Purchases made by the CEO, including but not limited to Philanthropy, Corporate Fees, Dues, Memberships, etc.
- Spending authorized by the Board of Directors and its committees for strategic development and corporate governance, as included in their approved annual budgets/operating plans.
- Investment portfolio costs and fees; Mergers, Acquisitions and Divestitures
- Banking fees and related expenses deemed non-negotiable
- Corporate insurance fees and related expenses deemed non-negotiable
- Corporate taxes and related expenses deemed non-negotiable
- Fees related to Customs, Duties, and associated services deemed non-negotiable provided they are in accordance with the Foreign Corrupt Practices Act
- Rent/Lease payments and associated expenses which are covered under a long term lease agreement or similar document which has been duly authorized and executed by Cisco Legal or GPS contracts negotiators
- Telecommunications expenses where regulated costs are incurred and the ability to negotiate competitive contracts may not exist
- Some exceptions may apply in geographic locations where iProcurement has not been fully implemented. Business function spend owners are required to engage GPS prior to engaging with vendors in any buying decisions that commit Cisco to buying terms and conditions.
- Royalties and associated fees deemed non-negotiable or otherwise covered under a duly executed agreement by Cisco Legal
- Utilities and associated taxes and fees deemed non-negotiable
- Non-negotiable fringe benefits regulated by governmental agencies (foreign or domestic). Please note that costs of service for fringe benefit providers are not exempted.
- Postage / Freight expense deemed non-negotiable due to local regulations; freight and shipment expenses that are managed and negotiated by the Direct Procurement teams in the Supply Chain organization which support the production and distribution channels for Cisco products. Costs of services related to freight providers in support of indirect expenses is not exempt.
- Any expense related to Travel & Expense are exempt. Reference the Global Expense Policy for guidance specific to this category of expenses
- Any expense related to approved charges made to Corporate Credit Cards are exempt. Reference the Global Expense Policy for guidance specific to this category of expenses
- Any payment made to an employee for reimbursement for approved goods or services provided is exempt as governed by the Global Expense Policy.
- Additional categories of exempt expenses may be identified in the future based on an analysis to determine the following items:
- Materiality of total spend
- Opportunity for negotiations exists
- Fees, taxes or expenses regulated by local legislation where opportunity for negotiation is not present
- Where the cost of the effort required to negotiate is far greater than the anticipated cost savings achieved through negotiations
If you have questions, contact Global Procurement Operations