Government Procurement Card – what suppliers think
Last year we reported that the highly-successful Government Procurement Card (GPC) framework agreement, delivered in partnership with Visa Europe and six issuing banks, had been extended for a further two years.
The benefits of GPC are well documented. Users enjoy a secure, streamlined and transparent process for low value purchases. For suppliers in particular, GPC offers the certainty of swift payment, usually within four days.
We spoke to two suppliers for their own first hand accounts of the benefits they see their organisations – and their customers – enjoying by using GPC.
This was the view of Terry Ray from Argos:
"Argos is an approved supplier on the OGCbuying.solutions Retail Trade Framework, offering over 20,000 products to the public sector. Over 700 superstores nationwide make it easy to source both regular orders and unplanned purchases without any need for further tendering.
Argos accepts the Government Procurement Card as a method of payment at all its stores
"A 5% discount off the low prices brings increased savings and efficiencies. Orders can be placed using GPC by phone, fax or even email and a low cost delivery service ensures goods where you want them without leaving your desk.
"The GPC is welcome at all Argos stores and used with the Argos Corporate Link Card will provide line item detail and VAT recovery invoicing for greater control and savings."
Meanwhile Steve Foster of Banner Business Supplies says:
"We have been using the Government Procurement Card (GPC) since its inception in 1995. We process more GPC orders than any other supplier in our industry and operate the largest GPC-based contract in the public sector.
"We have more than 500 customers who purchase using the GPC and the number of transactions conducted in this way has grown year-on-year. In 2005 we processed over 250,000 orders via the GPC. A key reason for this growth is our secure 'lodged' card process, in which we hold card details in a secure (and regularly audited) environment, allowing customer orders to be automatically charged against the stored card.
"The benefits of GPC for both customers and suppliers have been self-evident for many years. Efficiency savings in order processing and invoice/financial administration are realised at both ends of the transaction. This enables customers to redeploy staff to essential tasks and suppliers to ensure that they offer the most competitive prices to the public sector.
"In addition, the use of GPC (especially when combined with electronic ordering) contributes to environmental initiatives by reducing paper-based processes throughout the public sector."
Do you accept GPC Visa? If you do, have you updated your OnLine entry to make it clear that you do?
If not, you may be at a disadvantage when doing business with the public sector. Call 0845 410 2222 to discuss how to become GPC Visa enabled.
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