communication
materials – including
authorization forms
in the Addendum –
please contact your
American Express
Representative
SAMPLE - Senior Management Endorsement Letter <Your Company Letterhead>
Date
Dear (employee name):
<INSERT CLIENT NAME> is consistently looking to improve business practices and processes. As best practices are identified, it is essential that the organization embrace these new initiatives. With this background, I would like to strongly encourage the (name) division to begin using the Corporate Purchasing Card for your non-travel and entertainment expenses. I understand that in some cases the Card is already in use. However, it is important to fully understand what this product offers and its strategic importance to the company.
Using the Corporate Purchasing Card allows you to purchase products and services essential to your daily activities, without delay or cumbersome approval processes. As a Cardmember, you are equipped to order maintenance, repair and operational supplies directly from preferred suppliers without filling out purchase orders or requisitions. Your use of the Corporate Purchasing Card also benefits the company as a whole: − Since the launch of the Card in (date), <INSERT CLIENT NAME> has generated real cost and time
savings. You will reduce the processing cost for that item by approximately 40% and free up purchasing department personnel to concentrate their efforts on negotiating better prices with our suppliers.
− Corporate Purchasing Card transactions are tracked by an American Express system that provides comprehensive data back to our finance departments electronically. Important data including sales tax information and legal business status is automatically applied to the company general ledger, eliminating time-consuming manual procedures.
− As <INSERT CLIENT NAME> employees consolidate their purchases among a base of Corporate Purchasing Card preferred suppliers, individual supplier transactions increase and promote volume discounts. When emergencies occur, you will always have the flexibility to purchase from one of two million American Express merchants.
The attached Policy And Procedure Guide explains how and when the Corporate Purchasing Card should be used. Once you have met with your manager and determined that the Card would be appropriate to your needs, I invite you to sign-up at your earliest convenience. Should you have any questions regarding the approval and training process, please contact your Corporate Purchasing Card Program Administrator at (phone #). He/She will be able to answer all your questions.
I believe that your participation in the Corporate Purchasing Card Program will help our company achieve our goal of heightened efficiency.
SAMPLE – Supplier Communication Letter Dear SUPPLIER NAME:
<INSERT CLIENT NAME> has identified several key initiatives aimed at improving our procurement and accounts payable processes. The goal of these initiatives is to improve the way we run and conduct our business. As part of these process improvements, <INSERT CLIENT NAME> is utilizing the American Express Corporate Purchasing Card as our preferred method of payment for procuring goods and services. The use of this card is an important tool that our company can use to attain this goal.
In order for <INSERT CLIENT NAME> to realize these process improvements, it is important that our preferred suppliers participate in the American Express Corporate Purchasing Card Program. We have verified that your company already accepts the American Express Corporate Purchasing Card for payment. We are encouraged by this and would like to begin using the Corporate Purchasing Card to procure the goods and services your company provides us.
Therefore, effective XXXXXXX, 2010, <INSERT CLIENT NAME> will begin using the American Express Corporate Purchasing Card for payment to our preferred suppliers. As one of our preferred suppliers, we ask that you follow these steps to ensure the success of this initiative:
− Always ask for Cost Center information to be put in the Cardmember Reference Field.
− Provide packing slips with itemized pricing detail, including freight and tax, with each shipment. − Label packing slips “CPC transaction”.
− Do not send invoices for Corporate Purchasing Card transactions. − Do not put the card number on any documents.
− Card number for all transactions is 3785 – XXXXXX-XXXXX
We at CLIENT NAME look forward to your participation in this program, as we believe there are mutual benefits that our companies stand to gain from it. If you have any questions regarding our request, please feel free to contact XXXX at (XXX) XXX-XXXX.
Sincerely,
AMERICAN EXPRESS CORPORATE PURCHASING CARD APPLICATION/ACKNOWLEDGEMENT FORM Your use of the American Express Corporate Purchasing Card (“the Card”) issued to you is subject to the following terms and conditions. You must comply with the terms and conditions as part of your employment.
1. You are being entrusted with a valuable tool – a corporate charge card – and will be making financial commitments on behalf of the company. You must strive to obtain the best value for the company by using “preferred suppliers” when identified by the Purchasing Department.
2. You understand the company is liable to American Express for all charges made on the Card. 3. You must use the Card for approved purchases only and must not charge personal purchases. The
company will audit the use of the Card and report and take appropriate action on any discrepancies. 4. You must follow the policy and procedures established by the company for the use of the Card. Failure to
do so may result in either revocation of your use privileges or other disciplinary action, including termination of employment.
5. You will be given a copy of the Corporate Purchasing Card Policy and Procedure. You are required to read and understand the requirements of the Card’s use.
6. You must return the Card immediately upon request or upon termination of employment (including retirement). Should there be any organizational change which causes your cost center to change, you must return the Card and arrange for a new one, if appropriate.
7. If the Card is lost or stolen, you must notify the Corporate Card Administrator and American Express immediately.
8. The company may change these terms and conditions or its policy and procedures concerning the use of the Card and you must comply with those changes.
As the employee being issued the Card, I have read and understand the terms and conditions stated above. Employee name____________________Phone________________Social security number _______________ Business address__________________________________________________________________________ Employee signature_______________________________________________Date _____________________ As the employee’s management, I acknowledge that I am responsible to ensure that the employee abides by the above conditions. I am responsible for taking appropriate action in situations involving misuse of the Card. I am responsible for canceling Cards if the Cardmember is terminated for any reason, or if the Cardmember transfers to another unit within the company. I am also responsible for making certain that any reports I receive are checked for accuracy.
Cost center number_____________________Cardmember Manager’s name___________________________ Cardmember Manager’s signature _____________________________________________________________