Page 397 - Board Member Onboardin August 2019

C4-Managing relationship and contractual obligations with distributors
R3-Continuity of supply Distributor Services Agreement
through period review of the Distributor Services Agreement (DSA) & Preventive
Distributor BP 200 Distributor Status Change Logistics R4-Food Safety C53-Market Distribution Agreement (MDA) Periodic P1 QA's Email
Relationship R5-Compromised product quality C15-CSCS holds joint and collaborative discussions with QA to Corrective Market Distribution Agreement
Management determine a solution
Supplier/ Distributor Funding
C16-Managing relationship and contractual obligation with Questionnaire on brand
R11-Fradulent activities which are subject of public suppliers/distributors through Supplier/ Distributor Funding registration website and Approval
scrutiny and investigation Questionnaire and Approval
BP 210 Distributor Funding & Contributions Logistics Periodic Preventive P1 CSCS Code of Conduct
R9-Damage to brand and company reputation by C29-Follow CSCS Code of Conduct
unethical behavior or incompetence Reconciliation Spreadsheet
C32-Segregation of duties showing committed vs. received
amounts
C4-Managing relationship and contractual obligations with distributors
through period review of the Distributor Services Agreement (DSA) &
R4- Food Safety C53-Market Distribution Agreement (MDA). Preventive Distributor Services Agreement
BP 230 Facility Audits Logistics R9, R15, R16 Periodic P1
R5-Compromised product quality C15-CSCS holds joint and collaborative discussions with QA to Corrective QA's Audit Database
determine a solution
R11-Fradulent activities which are subject of public
scrutiny and investigation
R12-Legally unsound contracts heavily biased in C4-Managing relationship and contractual obligations with distributors
distributor’s favor through period review of the Distributor Services Agreement (DSA)
BP 520 Distributor Contracts Logistics R1, R2, R4, and C53-Market Distribution Agreement (MDA). Periodic Preventive P1 Distributor Services Agreement
R5, R9
R13-Exploited and manipulated by monopolies,
cartels and hostile contractors
R14-1-Poorly designed contracts' terms and
conditions
Procurement/ R3-Continuity of supply C15-Dine Brands' risk management function initiates conversations Periodic P1 Correspondence between CSCS
and QA and supplier
between parties to determine a solution.
Brand
BP 630 Critical Event Management (Storms, Fire, etc.) Management/ R18 Corrective
Product Logistics R4-Food Safety C36-Maintain data visibility around products, vendors, and suppliers Continuous P1 HAVI (CSCS Integrated Supply
to quickly react to unexpected events
Chain System)
Management &
Enforcement Procurement/ C15-CSCS holds joint and collaborative discussions with QA and Email correspondence between
Logistics / R4-Food Safety supplier to determine a solution CSCS and QA
BP 660 Quality Holds on Products at Supplier or DC R9 Periodic Preventive P1
Brand R5-Compromised product quality C36-Maintain data visibility around products, vendors, and suppliers HAVI (CSCS Integrated Supply
Management
to quickly react to unexpected events Chain System)
Authorization by different
personnel
C32-Segregation of duties
Contract Guidelines
Rebate Procurement/ R11-Fradulent activities which are subject of public C29-Follow CSCS Code of Conduct
Management BP 47 Freight Rebates Administration scrutiny and investigation R9, R18 C54-Executed Freight Agreements Continuous Preventive P1 CSCS Code of Conduct
Executed Freight Agreements
C55-Volume Report from Distributor
Volume Report from Distributor
C32-Segregation of duties
Produce DC R4-Food Safety C54-Executed Produce Distribution Agreements Executed Produce Distribution
Agreement
Compliance BP 690 Produce Distributor Compliance Logistics R5-Compromised product quality R9, R11, R18 Continuous Preventive P1
C55-Volume Report from Distributor and Danaco (Third-party DC Volume Report (Danaco)
Produce Solution)
DC Price Procurement/ R17-Pricing discrepancy or disadvantage C37-Conduct Price Variance Analysis to detect the incorrect pricing
Variance BP 20 Price Variance Analysis Administration R18-1-Unfavorable impacts on cost of goods sold R23 charged by distributors Continuous Preventive P1 Price Variance Analysis reports
PROCUREMENT
Control Characteristics
Business Process CSCS Secondary Control Frequency Primary 1 (P1 - Critical Control),
Category BP ID Business Process Name Business Unit Primary Risk (s) Risk (s) CONTROL ACTIVITY (IES) (continuous, daily, Control Primary 2 (P2 - Significant Control), EVIDENCE OF CONTROL
monthly, periodic) Nature Secondary (S)
C1-Managing relationship and contractual obligations with Dine Review of Mutual Confidentiality
Brands through periodic review of Mutual Confidentiality Agreement / Agreement / Rules of Engagement
BP100 New Supplier Procurement R1-Ineligible supplier or distributor who does not meet R2, R3, R4, Rules of Engagement (MCA/ROE) Periodic Preventive P2 (MCA/ROE)
R5, R9
CSCS and Dine Brands' standards and qualifications
Havi Registration
C29-Follow CSCS Code of Conduct CSCS Code of Conduct
C6-Selecting eligible supplier based on reviewing responses from Havi
Request for Proposal (RFP) process, if applicable
BP110 Supplier Selection / Approval Procurement R1-Ineligible supplier or distributor who does not meet R2, R3, R4, Periodic Preventive P1 Emails between CSCS and QA
R5, R9
CSCS and Dine Brands' standards and qualifications
C7-CSCS engages QA in the selection process. CSCS does not
move forward with final contracting without QA approval Facility Approval
Brand notifications
C6-Selecting eligible supplier based on reviewing responses from
R1-Ineligible supplier or distributor who does not meet R2, R4, R5, Request for Proposal (RFP) process, if applicable Review with the Board evident in
BP120 Sole Source Supplier Approval Procurement CSCS and Dine Brands' standards and qualifications R9, R17, R18- C7-CSCS engages brands and QA in this process. CSCS does not Periodic Preventive P1 Board Material
1
R3-Continuity of supply move forward with final contracting without QA and brands' approval. Sole Source Supplier Tracking
Category managers submit business cases to brands.
Sheet (by Pam)
C1-Managing relationship and contractual obligations with Dine
Brands through periodic review of Mutual Confidentiality Agreement /
Rules of Engagement (MCA/ROE) Review of Mutual Confidentiality
R1-Ineligible supplier or distributor who does not meet R2, R3, R4, Agreement / Rules of Engagement
BP125 Supplier Selection for Proprietary Product Procurement CSCS and Dine Brands' standards and qualifications R5, R9, R17, C6-Selecting eligible supplier based on reviewing responses from Periodic Preventive P1 (MCA/ROE)
R18-1 Request for Proposal (RFP) process, where applicable
R22-Leak of Confidential Information
Brand notifications
C7-CSCS engages brands in the process. CSCS does not move
forward with final contracting without brands' approval
Procurement / C7-CSCS engages QA in this process. CSCS does not move Correspondence between CSCS
BP 140 Facility Approval R4-Food Safety R3, R5 Periodic Preventive P1
Logistics forward with final contracting without QA approval and QA showing QA's approval
Correspondence between CSCS
R2-Ineligible product which does not meet CSCS and C7-CSCS engages QA, brands, and supplier in the process. CSCS and QA showing QA's approval
BP 150 Product Approval (Food and Non-food) Procurement Dine Brands standards and qualifications R3, R4, R9 does not move forward with final contracting without QA and brands' Periodic Preventive P1 (For Food only)
approval
Supplier R5-Compromised product quality Approved Supplier and Product
Relationship List by QA (For Food only)
Management
R3-Continuity of supply C13-Monitoring key, high-risk, and high-value inventory through Brand Emails
BP160 & Procurement/ R2, R15, Authorization for Inventory Purchase, where applicable Continuous Preventive S
BP170 Supplier Performance Management (DB or CSCS Issues) Brand R4-Food Safety R17, R18-1 Supplier Risk Management -
Management C15-CSCS holds joint and collaborative discussions with QA and Quarter Tracking Sheet (by
R5-Compromised product quality supplier to determine a solution through Alternate Sourcing Process Hanna)
Supplier Services Agreement
C2-Managing relationship and contractual obligations with suppliers (SSA)
through period review of the Supplier Services Agreement (SSA)
R3-Continuity of supply Supplier Services Agreement
BP 190 Supplier Status Change Procurement R4-Food Safety R2, R17, R18- C3-Managing relationship and contractual obligations with suppliers Periodic Preventive P1 Addendum (SSA-A) & Business
through period review of the Supplier Services Agreement (SSA)
1 Terms
Addendum & Business Terms Corrective
R5-Compromised product quality Brand and QA Emails
C15-CSCS holds joint and collaborative discussions with QA to
determine a solution
Change Control Notifications
Supplier/ Distributor Funding
C9-Undergoing the Board of Directors' Review (Audit and Finance Questionnaire on brand
R11-Fradulent activities which are subject of public Committee) registration website and Approval
scrutiny and investigation
Procurement / C16-Managing relationship and contractual obligation with
BP 210 Supplier Funding & Contributions Administration R9-Damage to brand and company reputation by R18-1 suppliers/distributors through Supplier/ Distributor Funding Periodic Preventive P1 CSCS Code of Conduct
unethical behavior or incompetence Questionnaire and Approval Reconciliation Spreadsheet
C29-Follow CSCS Code of Conduct showing committed vs. received
amounts
Correspondence between CSCS
C7-CSCS engages QA, brands, and supplier in the process. CSCS
Product Audits (QA Process) Procurement / R4-Food Safety does not move forward with final contracting without QA and brands' Preventive and QA showing QA's approval
(Change Control Notifications)
BP 220 Logistics R5-Compromised product quality R9, R15 approval (Integrated Supply Chain System generates Change Control Continuous S
See BP 150 for further details Notifications to QA regarding any change to a product and QA also Corrective Approved Supplier and Product
has access to the system to approve products) List by QA
Facility Audits (QA Process) R4- Food Safety Preventive
BP 230 Procurement / R9, R15, R16 C7-CSCS engages QA in this process. CSCS does not move Continuous S Correspondence between CSCS
forward with final contracting without QA approval
Logistics
and QA showing QA's approval
See BP 140 for further details R5-Compromised product quality Corrective