Purchasing and Inventory An important part of the business of teaching

Performance Objective Using your own laboratory and classroom setting, build a “wish list,” identify one piece of equipment needed, secure bids, and complete a purchase order that meets your school division’s purchasing guidelines.

Enabling Objectives Identify equipment needed Write specifications Secure bid or bids Complete appropriate purchase order Receive shipment Process Invoice Enter inventory Maintain a “wish list”

Public monies School division budget approved by Board of Education Superintendent allocates funds to school –Principal allocates school funds to departments –Vocational (Career & Technical) Director may allocate vocational funds to programs Administrators almost always hold back funds for contingencies at all levels Not your money

Program Budget Supplies & Materials Repairs & Maintenance Equipment Budgeting –Previous budgets –Available monies –Contingency hold backs –May or may not seek teacher input

Purchasing Superintendent sets purchasing policy Purchasing Department/Office sets and monitors purchasing procedures Purposes: –Get the best prices possible –Safeguard public funds Squandering Theft –Protect school employees

Purchasing Procedures Central purchasing and warehousing –Common supplies –Common equipment –Teacher requisitions Individual program purchasing –Small purchase –Large purchase

Definitions Varies between school divisions Small purchases may not require bids Low cost at Tech < $2,000 Typical school defines low cost < $500

Small purchases Simple process Complete PO Submit through administrative channels

Large Purchases Secure bids –Write specifications –Secure 3 (typically) bids Written bid from local vendor Find catalog prices –Sole source Document unique nature of product or vendor Complete PO Submit bids & PO through administrative channels

“Spec-ing Out” Write detailed description of what you want Usually cannot specify brand Must be specific enough to avoid mistakes Generic enough to allow vendors to fill order

Specifications Digital camera –Zoom lens capability, 3 X optical, 10 X digital –Automatic focus, and light exposure –Built in flash –Rechargeable batteries –Battery charging pack –3-1/2” diskette storage –Case included

Secure bids Lee Hartman & Sons, Roanoke submits written bid MicroWarehouse, Web Site printout OfficeMax, photocopy catalog page Attach printed copies of bids to PO

Receiving/Authorizing Payment Inventory on receipt Compare items to PO Compare items to invoice Sign invoice for all items received Submit signed invoice through administrative channels for payment

Received, 9/21/00 D. Smith

Inventory Control School division typically maintains equipment inventory Teacher should maintain departmental inventory On receipt, enter durable equipment in inventory

ItemDate Purchased NumberCost (ea) VendorWarra nty Remarks Camera, digital, Sony Mavica SN - SO F SN – SO K 7/21/ Micro Warehouse 7077 Collection Ctr Dr Chicago, IL daysEric has 1 Shannon has 1 Departmental Inventory

Wish List There is always money –Contingency money from every level –Cancelled POs –Unexpected new funds Usually short fuse Develop wish list –Write specs –Locate vendors for quick bids –Secure a tentative price –Prioritize –Maintain current at all times Don’t wait for the money to come to you – seek it

Summary Purchasing is important Following policies and procedures is critical –Safeguards public money –Safeguards you Enter in inventory on receipt Always keep a current wish list No job is complete until the paperwork is done!!