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Draft Changes
3
Impact Assessment
4
Review & Compare
5
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Budget Impact
+₹2,79,212
15.1% increase over original PO value
Exceeds 10% threshold
Schedule Impact
0 Days
No delivery date changes proposed
No delay
Compliance Impact
Compliant
Clause 7.3 escalation applies
Within policy
Vendor Relationship
Neutral
Vendor-initiated, contractual basis
Standard process

Risk Matrix

Low
Likelihood
Medium
Likelihood
High
Likelihood
High
Impact
Medium
High
Critical
Medium
Impact
Low
Medium
High
Low
Impact
Low
Low
Medium
Overall Risk: Medium
Price increase is contractually justified but exceeds the 10% auto-approval threshold. Requires CFO sign-off per procurement policy PP-2024-07.

Approval Requirements

Updated
Amendment value exceeds ₹2,00,000 — additional CFO approval required.
RN
Rajesh Nair
Procurement Head
Required
SM
Suresh Menon
Plant Director, Bangalore
Required
PG
Priya Gupta NEW
Chief Financial Officer
Added
SYS
System Auto-check
Budget Validation & Compliance
Automated
Estimated approval time: 3-5 business days (was 1-2 days for amounts under ₹2L)

Cost Comparison by Line Item

Original Amended Difference
SS Work Table
5,40,000
₹5,40,000
6,04,800
₹6,04,800
+64,800
+₹64,800
SS Sink Unit
2,31,000
₹2,31,000
2,58,720
₹2,58,720
+27,720
+₹27,720
Balance Table
2,08,000
₹2,08,000
2,32,960
₹2,32,960
+24,960
+₹24,960
Fume Hood Frame
1,59,500
₹1,59,500
1,78,640
₹1,78,640
+19,140
+₹19,140
Total Original: ₹18,43,750
Total Amended: ₹21,22,962
Net Change: +₹2,79,212 (+15.1%)

Detailed Impact Analysis

Budget Overrun Risk

The ₹2.79L increase pushes Project AIIMS-BLR-2026 procurement budget utilization from 82% to 94.3%. Only ₹1.12L headroom remains for the quarter.

Precedent Risk

Approving this escalation may set a precedent for other SS-based vendors (3 active POs worth ₹42.5L) to request similar revisions.

Contractual Compliance

Amendment is within the scope of escalation clause 7.3. WPI index confirms raw material price movement of 14.2%, exceeding the 8% trigger.

GST Implications

No change in GST rate (18% under HSN 9402). Additional IGST of ₹42,592 will be fully eligible for input tax credit.

Financial Summary

Original PO Value (excl. GST) ₹15,62,500
Amended PO Value (excl. GST) ₹17,99,120
Increase in Base Value +₹2,36,620 (+15.1%)
Additional GST (18%) +₹42,592
Total Amendment Impact +₹2,79,212
Project Budget Impact
94.3%
₹1,12,038 remaining of ₹19,65,000 quarterly budget