Policies and Procedures

A coal mining operation in the Bowen Basin was recently acquired by a non-mining company and had a lack of procurement policies and procedures. The mine recognised that it required policies and procedures to ensure the correct level of governance and to deliver the best outcomes in tenders, and in managing contracts. The mine also recognised that it did not have the internal capability to develop suitable policies and procedures.


To develop the complete suite of procurement policies and procedures, which included:

  • Developed the new procurement policies and procedures for the company and worked with the operations to embed into all future procurement activities.
  • Completed a review of all forecast spend and current contracts, and developed a 12-month sourcing plan.
  • Managed the tenders to ensure all large spend items are under contract.
  • To provide on-going strategic procurement advice and procurement probity services as required.
  • To provide contract management assistance on as ‘as required’ basis.


Caliba delivered the following outcome for the client:

  • The mine now has in place procurement policies & procedures that suite a mining operation. These include procurement policy, procurement guidelines, tendering procedure, and contract management procedure.
  • There is a sourcing plan in place for the next 12-months.
  • All key spend is under contract at competitive pricing, with KPI’s and mechanisms for pricing adjustments.
  • There new policies and procedures provide the joint venture partners with ‘peace of mind’ that proper governance is being followed.
  • The client achieved attractive savings as an outcome of the tenders with a ROI of 1:8.