UWE Bristol Essential Purchasing Skills

UWE Strategic Plan Income & Financial Sustainability Services, Processes & Organisational Coherence Management Information UWE Campus Environment Purchasing Strategic Plan Service PlansFaculty Plans

What is Purchasing? The ‘Classic’ definition is:- To obtain goods / services of the right QUALITY In the right QUALITY From the right SOURCE Delivered to the right PLACE At the right TIME

Purchasing Cycle Identify need to buy Prepare a generic specification Find the suppliers Select the best value supplier (not necessarily the lowest priced) Place the order Monitor supplier performance Review the process

Purchasing Cycle Identify the need to buy Approach marketplace or agreement in place? Sources of information Web sites:

Competitive Selection EU directives. Over £172,514 k for life of contract (or 4 years) Expenditure aggregated by –Product –Supplier –Time scales * Example: Temp Staff*

Preparing Specification Elements of good specification –Clear, concise, logical –Sufficient information to price –Equal opportunity for suppliers –Comply with guidelines e.g. H&S, EC Law, E & D, Sustainability, CSR. * Take care not to over-specify (or under specify) *

Whole Life Costing Elements Equipment capital costs + Service / maintenance charges + Consumable costs + Energy costs = Total acquisition costs Lowest initial capital costs may not be the most cost effective option over 3 – 5 – 7 years. * Example: Vending Machines

Contract Law Contracts may be written or verbal Battle of the Forms Sales of Goods Act Unfair Contract Terms Act UWE Standard Conditions of Purchase Leave out Price Inflation Clauses

Sustainability Needs to encompass Whole life costs Energy costs Disposal costs Local sourcing Environmentally friendly options Local supplier = SME’s Equalities and diversity - CSR

Code of Ethics Uphold and enhance standing of your institution Confidentiality Business gifts Impartial and fair Personal interest Bribery Act 2010 * See CIPS ( for more details *

Dealing with Suppliers Relations with suppliers can be mutually beneficial but beware: –Trained salespeople –Information is valuable –Do not be pressurised – take time out! –Do not sign anything !

Case Studies Scientific equipment – single tender Fine art equipment – EU tender Printing Press – new / second hand advance payment

CHECK BEFORE YOU APPROVE! £5k or over – 3 quotes or SAW (Single Action Waiver)? £30k or over – Is there a tender or a contract supplier? Are all the documents attached: –Copies of Quotes –Summary of Quote Form –Copy of Contract –SAW –Tender Documents / Tender Number Budget Holders

Conclusion

Website & Address uwe.ac.uk / finance / purchasing