BUKHATIR GROUP

Strength through Diversity

Group Policy and Procedure

Group Supply Chain (GSC)

Emergency & Crisis Procurement

Urgent Authority, 72-Hour Response & Risk Mitigation

Document No: P-POL-022

Copyright © 2026 Bukhatir Group

Revision Control

This document is issued under the authority of Bukhatir Group and applies when carrying out the activities described. Revisions may be issued as necessary under the authority of the Group Head of Procurement. Revision history is recorded below with every revised policy.

Revision History

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Distribution List

1. Purpose & Objective

This policy establishes controlled procedures for procurement under exceptional and urgent circumstances, such as natural disasters, pandemics, critical equipment failures or regulatory deadlines. Emergency procurement balances speed with audit and control requirements.

2. Scope

Applies to all Group Business Units and to procurements classified as 'Emergency' or 'Crisis'. Normal procurement rules (competitive bidding, DOA routing) may be suspended under this policy, subject to strict governance.

3. Definition of Emergency Procurement

An 'Emergency' is defined as an unforeseeable situation creating an imminent threat requiring procurement action within 72 hours to:

• Prevent or mitigate imminent risk to human life, safety or health.
• Comply with a regulatory deadline where non-compliance triggers material penalties.
• Restore critical operational capability (e.g., equipment failure causing production shutdown).
• Respond to a natural disaster, pandemic or other force majeure event.

4. Emergency Procurement Authority

Authority to execute emergency procurement (single-source without competitive bidding) is delegated as follows:

All emergency approvals must reference this policy, specify the emergency classification and document the business justification.

5. Maximum 72-Hour Response Time

Emergency procurement is designed for rapid execution. The standard response time is 72 hours from authorization to PO issuance:

• Hour 0–2: Confirm emergency classification, notify supplier, obtain verbal commitment.
• Hour 2–24: Issue written PO with payment terms and delivery requirements.
• Hour 24–72: Supplier delivers goods/services; BU receives and records GRN in Oracle.

If the requirement cannot be fulfilled within 72 hours, the emergency classification is reviewed and escalated.

6. Retrospective Documentation & Regularization

7. Crisis Procurement Team Activation

In the event of a major crisis (pandemic, multi-site disaster), the Crisis Procurement Team may be activated:

1. Composition: Group Head of Procurement, CFO, Head of BU affected, IT Security (if data-related).
2. Authority: Unlimited procurement authority for crisis-related goods/services, with daily reporting to the CEO.
3. Activation: Triggered by CEO or CFO verbal directive, confirmed in writing within 24 hours.
4. Duration: Remains active until the CFO declares the crisis resolved and procurement resumes normal authority levels.
5. Procurement Record: A dedicated 'Crisis Procurement Log' is maintained, separate from routine procurement records, for post-incident review.

8. Pre-Positioned Supplier Agreements

To accelerate emergency response, GSC maintains pre-positioned emergency supplier agreements for common categories:

• Generators & temporary power equipment
• Safety equipment and personal protective equipment (PPE)
• Medical supplies and emergency response services
• Temporary accommodation and accommodation services

These agreements outline rapid response protocols, standing pricing and delivery commitments. Agreements are reviewed annually and suppliers are tested semi-annually for activation readiness.

9. Emergency KPI Monitoring

The following KPI tracks emergency procurement volume and cost:

• Emergency POs as % of Total POs (monthly): Target <3%. Monthly report to CFO.
• Average emergency response time: Target <24 hours from authorization to issuance.
• Regularization timeliness: % of emergency POs regularized within 14 days (Target 100%).

Recurring or elevated emergency procurement triggers a root-cause review and preventive action plan by GSC.

10. Post-Incident Review

Mandatory within 30 days of emergency declaration closure, a post-incident review is conducted by GSC and Finance:

• Review scope: business impact, supplier performance, cost vs. estimate, process bottlenecks.
• Findings and lessons learned documented in the Crisis Review Report.
• Preventive actions logged and tracked to implementation (e.g., improved inventory levels, supplier agreements).

11. Reference Forms

• Form F-EMG-01 — Emergency Procurement Authorization Request
• Form F-EMG-02 — Crisis Procurement Log Entry
• Form F-EMG-03 — Post-Incident Review Report

12. Definitions & Acronyms