Deviation & Concession Request

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Deviation Request:

During bidding stage, the potential supplier should notify the client of any deviations requested by providing the reason for deviation. These deviations if accepted; shall constitute part of the purchase order.

 

 

Concession request:

Concession means supplier requesting relaxation from previously agreed requirement.

 

For example, when the supplier could not find the material agreed within purchase order or data sheet in the market and hence proposing to use a more expensive and superior material that is available at own cost. As you can see, even for an upgrade, a concession should be raised.

 

A responsible contractor should rarely use a concession request.

 

Suppliers are always encouraged to ask for Deviation before signing the purchase order because it shows that they have done their homework.

 

The same deviation if requested after signing the purchase order is not a deviation anymore, but called a concession.

 

Clients normally have a concession and deviation form to be filled by the supplier if requesting a concession.

 

The concession request shall normally have the following:

  • Description of the concession
  • Reason for concession
  • The Impact on the package from quality, safety and delivery perspective in case the concession is accepted.

 

If an NCR has been raised, a concession request can be issued that if accepted, can close the NCR.

 

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