Standard Flow of Contractual Procedures
-  Request a new business transaction with JR East → Complete and send the application form
- When applicants request a new business transaction with JR East, the applicants will complete and send the application form to JR East. The application form is attached in the page titled, "Inquiry (Application Form for a New Business Transaction)." Required items of the form include Company Name, Person in Charge, Business Content, Sales Volume, and Major Production Item (product line), etc. Please refer to the application form for details.
-  Confirmation of the contents of the application
- Under this process, JR East will check as to whether there is a blank and/or ambiguous item in the application form. If there is a blank and/or ambiguous item, JR East will ask the applicant to submit any additional required documents.
-  First screening
- JR East will examine the possibility and benefit of introducing the goods, based on the association between the needs of JR East and the information such as financial condition, past track records, and the goods of the applicant derived from the application form, etc. Except in a situation where there is no possibility in the foreseeable future or no benefit of introducing the goods, the application will be transferred to the second screening.
-  Second screening
- If JR East recognizes the possibility and benefit of introducing the goods in the first screening, JR East will conduct a second screening.
JR East will ask the applicant to visit JR East's office, to provide a more detailed explanation of the goods to JR East. For some goods, if necessary, JR East may request that the applicant submit samples or perform quality checks or testing. Also, JR East may perform quality checks or testing independently.
If JR East recognizes the necessity for the goods after examining them, JR East will provide the applicant with the necessary documents in order to examine management soundness and technological capabilities, etc., and then, the applicant will submit the documents to JR East after they are prepared.
Based on the submitted documents and samples, etc., JR East will examine comprehensively all or any of such factors as demand for the product the applicant wishes to supply and benefits of dealing with the applicant, quality, performance, reliability, and price of the goods, compatibility with the existing equipment, devices, and/or systems of JR East, accident response and after-sales service system, reliability of delivery, continuity, quality control system, supply capabilities, facility capabilities, track record, technical capabilities, comprehension of safety, management soundness, credit worthiness, information control system, compliance system, and conduct for corporate social responsibility and protection of the global environment, etc. The applicants may be requested to visit JR East's office for further information.
-  Signing of a master agreement and registration as a supplier
- When a continuous business relationship is expected by JR East, JR East will request the signing of a master agreement of JR East's designation. After that, the applicant will be registered as a supplier.
-  Request for an estimation, examination of technologies, and negotiation of conditions such as price
- In principle, JR East requests competitive estimates. When a need for procurement arises, JR East requests estimates from the relevant registered suppliers which JR East determines after comprehensively taking into consideration, among others, the factors such as quality, performance, reliability, and price of the goods, compatibility with the existing equipment, devices, and/or systems of JR East, accident response and after-sales service system, reliability of delivery, continuity, quality control system, supply capabilities, track record, technical capabilities, comprehension of safety, and information control system, etc. In the case where JR East requires technical proposals from registered suppliers from whom JR East requests estimates, JR East will notify the registered suppliers when the estimates are requested. Upon receiving this request, the relevant registered supplier will submit an estimate (and a technical proposal) for the goods in need of that procurement. After examining and comparing the estimates received and the technologies required, JR East will select a supplier from among the registered suppliers, and negotiate and determine the conditions for procurement, such as the price, with the selected supplier. JR East will place JR East's order with the selected supplier, following these procedures.
-  Order placement, delivery of goods, and acceptance inspection
- Upon receiving an order from JR East, the selected supplier will deliver the goods to the designated delivery point by the designated delivery date. JR East will conduct an acceptance inspection after the delivery.
-  Payment
- After passing the acceptance inspection, JR East will make payment based on the terms and conditions.
* Note :
- 1. In procurement, Japanese will be the language of business. However, only the application forms may be submitted in either Japanese or English.
- 2. With regard to a contract, it will be governed by and construed in accordance with Japanese law.
- 3. Based on JR East's terms and conditions, JR East may request late fees and compensation for damages.
- 4. The above is a standard contractual procedure. If a procedure is used which significantly departs from the standard contractual procedure, the specific features of this other procedure will be outlined on JR East's website.
- 5. Please contact "firstname.lastname@example.org" for any questions regarding procurement.
- 6. The supplier or the applicant is expected to submit the documents or the information that JR East reasonably requests.
(As of October 28, 2014)