Uwe bristol essential purchasing skills
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UWE Bristol Essential Purchasing Skills. UWE Strategic Plan. UWE Strategic Plan. Income & Financial Sustainability. Services, Processes & Organisational Coherence. Management Information. UWE Campus Environment. Purchasing Strategic Plan. Faculty Plans. Service Plans. What is Purchasing?.

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UWE Bristol Essential Purchasing Skills

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Uwe bristol essential purchasing skills

UWE BristolEssential Purchasing Skills


Uwe bristol essential purchasing skills

UWE Strategic Plan

UWE Strategic Plan

Income & Financial Sustainability

Services, Processes & Organisational Coherence

Management Information

UWE Campus Environment

Purchasing Strategic Plan

Faculty Plans

Service Plans


What is purchasing

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

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 cycle1

Purchasing Cycle

  • Identify the need to buy

  • Approach marketplace or agreement in

    place?

  • Sources of information

    Web sites: www.gem.ac.uk

    www.buyingsolutions.gov.uk


Competitive selection

Competitive Selection

  • EC directives. Over £173k for life of contract (or 4 years)

  • Expenditure aggregated by

    • Product

    • Supplier

    • Time scales

      * Example: Temp Staff*


Preparing specification

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

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

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

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

Code of Ethics

  • Uphold and enhance standing of your institution

  • Confidentiality

  • Business gifts

  • Impartial and fair

  • Personal interest

  • Bribery Act 2010

    * See CIPS (www.cips.org) for more details *


Dealing with suppliers

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

Case Studies

  • Scientific equipment – single tender

  • Fine art equipment – EU tender

  • Printing Press – new / second hand advance payment


Uwe bristol essential purchasing skills

Budget Managers

CHECK BEFORE YOU SIGN!

  • Cost Code?

  • Authorisation Levels?

  • £5k or over – 3 quotes or SAW (Single Action Waiver)?

  • £30k or over – Is there a tender or a contract supplier?

  • Is all the paperwork correct and together?


Conclusion

Conclusion

If this were your money,

would you spend it this

way?

Spend wisely!


Website email address

Website & Email Address

uwe.ac.uk / finance / purchasing

[email protected]


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