This tool contains two sample policies that define and establish the responsibilities, internal controls and required authorizations for the creation, processing and issuance of purchase orders related to company vehicles. The first sample outlines the framework and procedures for the procurement of vehicles, parts and services at a company. It specifies that the creation of a purchase order (PO) is mandatory before any purchase can be made, ensuring that all acquisitions are pre-approved and documented to maintain financial control and accountability.

Sample 2 of this policy details the roles and responsibilities within the company, highlighting the involvement of the supply chain department in the PO creation and the necessity of obtaining requisite approvals from management based on the PO's dollar value. Authorization levels for approving POs are clearly defined and vary depending on the financial amount, with the chief financial officer (CFO) and the director of logistics playing significant roles in this process. This policy aims to streamline procurement activities, enhance internal controls, and ensure that expenditures on vehicles and related services are made transparently and efficiently.

According to this policy, the director of logistics must note the following items on the bid sheet:

• Expected dollar value of the purchase
• Description of vehicles, parts or services up for bid
• Date
• Vendors selected for bidding