NORTHROP GRUMMAN UK LIMITED
Company number: 05989428
Reporting period:
1 January 2019 to 30 June 2019
Report filed on:
29 August 2019
Approved by:
Roger Wiltshire
Payment statistics
Average time taken to pay invoices: 43 days
Invoices paid:
- within 30 days: 49%
- in 31 to 60 days: 37%
- in 61 days or more: 14%
Late and disputed:
- payments due in the reporting period which have not been paid within the agreed period: 54%
Payment terms
Shortest standard payment periods
30 days
Longest standard payment period
45 days
Standard payment terms
When approving payments, the following process applies, although site specific requirement can vary the exact process:
A - Automated Process:
Invoice received and matched to PO
Automated work flow will present to invoice approver
System will continue to prompt approver until approved or rejected.
In the event of a discrepancy invoice is presented to the buyer to resolve.
B - Manual Process:
Where the buyer is involved in invoice approval, verify the accuracy of the associated invoice;
End user or originator approval is required to verify that the requirement has been satisfactorily completed prior to processing non-receivable invoices for payment;
Where appropriate, document the receipt of non-receivables.
Were there any changes to the standard payment terms in the reporting period?
No
Were suppliers notified or consulted about these changes before they were made?
N/A
Maximum contractual payment period agreed
45 days
N/A
Any other information about payment terms
N/A
Dispute resolution process
If a suitable resolution cannot be agreed between the buyer and supplier, then either party can resort to the dispute resolution language in the agreed contract terms and conditions which permit either party to provide written notice prior to arranging a meeting for nominated representatives to discuss. Our contracts typically allow for escalation within the organisations with mediation and ultimately arbitration as next steps to resolution if required. In the event an invoice is agreed by both parties to be incorrect then the invoice is then rejected and returned as unpaid to the supplier. A new invoice and or credit note will then need to be issued by the supplier.
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 Fair 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.
No
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