Mealzo Local Purchasing Policy

First effective date 11 February 2021

Updated 11 February, 2025

Purpose

The purpose of this Local Purchasing Policy is to support our local economies, promote sustainable practices, and foster strong community relationships by prioritising the procurement of goods and services from local suppliers.

Scope

This policy applies to all departments and employees involved in the procurement process within Mealzo

Policy Statement:

Mealzo is committed to supporting local economies in which we operate and achieve sustainability by giving preferences to local suppliers when purchasing goods and services, provided that these suppliers meet our quality, cost, and delivery requirements.

Definitions:

• Local Supplier: A business or vendor located within 25 miles of our operation centres.
• Goods: Tangible products that are purchased to support the operations of Mealzo.
• Services: Activities or tasks performed by a supplier to support the operations of Mealzo.

Policy Guidelines:

1. Identification and Engagement of Local Suppliers:

   • Maintain a database of local suppliers that meet Mealzo's quality standards.
   • Engage with local business associations and chambers of commerce to identify potential suppliers.
   • Encourage departments to seek quotes from local suppliers for all purchases.

2. Evaluation and Selection Criteria:

   • Evaluate suppliers based on quality, cost, delivery, and service.
   • Give preference to local suppliers when their offerings are competitive with non-local suppliers in terms of quality and cost.
   • Consider the environmental and social impact of purchasing decisions, favouring suppliers with sustainable practices.

3. Promotion and Communication:

   • Communicate the importance of local purchasing to all employees involved in procurement.
   • Provide training and resources to help employees identify and engage with local suppliers.
   • Promote successful local purchasing initiatives internally and externally.

4. Monitoring and Reporting:

   • Track the percentage of total procurement spend allocated to local suppliers.
   • Report on local purchasing activities and achievements annually to senior management.
   • Review and update the local purchasing policy periodically to ensure its effectiveness and alignment with organisational goals.

5. Exceptions:

   • In cases where local suppliers cannot meet the required quality, cost, or delivery standards, procurement from non-local suppliers is permitted.
   • Document and justify any exceptions to the local purchasing policy.

Responsibilities:

• Procurement Department: Oversee the implementation of this policy, maintain the local supplier database, and ensure compliance.
• Department Heads: Encourage their teams to prioritize local suppliers and provide support in identifying suitable vendors.
• Employees: Adhere to this policy when making purchasing decisions and seek guidance when necessary.

Policy Review:

This policy will be reviewed annually by the Procurement Department and updated as needed to reflect changes in the local market, organisational goals, and best practices.

Approval:

This policy has been approved by our Chief Operations Officer.