Evaluation on Suppliers
The evaluation on suppliers consists of two parts: quarterly evaluation and annual evaluation
Quarterly evaluation: Relevant personnel in System Management Department and/or Purchasing Department will perform quarterly evaluations on suppliers to give evaluation scores on such aspects as quality warranty capability, production/delivery capability and serving capability. The results of quarterly evaluations will be taken as an important basis for purchase quota adjustment and annual evaluations. According to the accumulated results of its quarterly evaluation scores, certain adjustments will be made on the purchase quota for a supplier, including reduction of purchase quota, suspension of purchase and request of rectification within a time limit, and disqualifying the supplier by terminating the purchase.
Annual evaluation: It is usually performed at a time just before Suppliers Conference by an evaluation team made up of relevant personnel from System Management Department, Purchasing Department or other related departments. Excellent suppliers will be determined according to the results of annual evaluations and awarded with the title of “Excellent Supplier” at the Suppliers Conference and with other rewards including priority in supply to Jushi, increase of purchase quota and priority in getting the goods payment.