Subsequent change of purchase price after placing an order
1. When prices rise after placing an order and it is difficult to negotiate price adjustments, other vendors should be contacted. If goods of the same quantity, quality and within the same delivery frame are available at reasonable prices from other vendors, the original order should be cancelled and replaced with a new order to the other vendor.
2. If there is no alternative other than to accept increased prices, the existing purchase order must be cancelled and a new purchase order prepared. The revised purchase order should detail the reason for the revised order and be accompanied by the old purchase order form when sent for approval.