Published reports

CUMMINS POWER GENERATION LIMITED

Company number: 00262310

This information is as reported by the business, and responses are in their own words.

Reporting period:

1 December 2017 to 31 May 2018

Report filed on:

29 June 2018

Approved by:

Antonio Leitao


Payment statistics

Average time taken to pay invoices: 43 days

Invoices paid:

  • within 30 days: 28%
  • in 31 to 60 days: 60%
  • in 61 days or more: 12%

Late and disputed:

  • payments due in the reporting period which have not been paid within the agreed period: 58%

Payment terms

Shortest standard payment periods

90 days

Longest standard payment period

Answer not provided

Standard payment terms

Global standard payments terms are 90 days, except where differing regional norms or government requirements exist. Inter-company supplies have 60 day payment terms.

Were there any changes to the standard payment terms in the reporting period?

Cummins made a global announcement in March 2018 that it would move to 90 day payment terms for all new businesses or new contracts, except where differing regional norms or government requirements exist. Cummins is still evaluating the extent to which the 90 day terms shall apply across all suppliers in the UK.

Were suppliers notified or consulted about these changes before they were made?

Suppliers were notified via the Cummins Supplier Portal.

Maximum contractual payment period agreed

120 days

No further comment provided

Any other information about payment terms

We actively encourage diverse suppliers and exercise discretion on the payment terms for such organisations.

Dispute resolution process

Cummins is committed to working with our suppliers to help achieve on-time, accurate payments. Any disputes will be dealt with first by the appropriate sourcing manager and, upon escalation, the Accounts Payable Department in Cummins Business Services located in the UK. The Accounts Payable team can be contacted Monday to Friday by email or phone. Further contact information and guidance on submission of invoices can be found on supplier.Cummins.com.

Other payment information

Has this business signed up to a code of conduct or standards on payment practices? If so, which?

For example, signatories to The Prompt Payment Code must commit to paying 95% of their invoices within 60 days.

No, this business has not signed up to a code of conduct or standards on payment practices.

Does this business offer e-invoicing in relation to qualifying contracts?

This is where suppliers can electronically submit and track invoices. It's not just allowing suppliers to email them an invoice.

Yes

Does this business offer supply chain finance?

This is where a supplier who has submitted an invoice can be paid by a third-party finance provider earlier than the agreed payment date. The business would then pay the finance provider the invoiced sum.

No

Under its payment practices and policies, can this business deduct sums from payments under qualifying contracts as a charge for remaining on a supplier list?

No

During the reporting period, did the business deduct sums from payments as a charge for remaining on a supplier list?

No