Faculty of Medicine
Administrative Forum
Purchasing Services (Financial Services)
Programs and Processes
Presented by:
Mr. Paul Dugal, C.P.P – Manager
Mrs. Ellowyn Nadeau, P.Eng – Assistant Manager
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Overview
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Key Contacts
Services
Programs
Purchasing Thresholds
Competitive Bidding
Requisition to Purchase – tips
Contracts
ICA vs PO
Shipping/Receiving – Bannatyne
Questions
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Purchasing Services – Key Contacts
 Customer Service (Judith/Kristine 474-8348)
Track Requisitions, payments to suppliers
 Sr. Purchasing Consultant, Research (Jurgens)
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High dollar purchases, consults on specifications
 Sr. Purchasing Consultant, Contracts (Linda)
 ICAs, Systems Contracts
 Sr. Buyer, Bannatyne (Candy)
 All non-CFI related scientific purchases
 CFI Buyer, Fort Garry (John)
 All CFI, Shipping, Customs concerns
 Assistant Manager (Ellowyn)
 Manager (Paul)
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Website Information
 Purchasing Services website:
http://www.umanitoba.ca/admin/financial_services/purch/index.shtml
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Programs and Processes
Contact information
Bid/Quote/RFP Opportunities listed
 This presentation will be posted on the Faculty of Medicine website
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How Purchasing Services Can Help You
 Consulting & Advisory Services
 Purchasing programs, suppliers, specs
 Competitive Bidding (Public Tendering)
 RFIs, RFQs, RFPs
 Purchase Orders
 Terms & Conditions, Warranty issues, Delivery
 Contracts
 ICAs, Secondments, Design Contracts, Negotiated
Agreements, Service Agreements
 Communication with Suppliers
 Education & Training
 Taxes, Duties, Customs
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Systems Contracts
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Tendered contract, terms/pricing negotiated
University wide (realizes greater savings)
Overall “Best Value”
Best pricing/Service Levels
Contractual obligation to buy
Order direct from supplier for < $1,000
Invoice direct to Supplier Payment Services
(A/P)
 FOAP charged when invoice paid
 Sierra/Fed Ex Courier issue
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Preferred Agreements
 Similar to Systems Contracts except no
obligation to buy
 Order direct from supplier
 Pricing negotiated
 Set-up to monitor usage
 Once value established, may be tendered
and a Systems Contract established
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VISA PCard
 Program managed by Supplier Payment Services
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(Dianne Schilling)
Added convenience when ordering direct from
suppliers for goods/services <$1,000 not otherwise
available through Purchasing Agreements such as
Systems Contracts
Limit of $999.00 per transaction per supplier per day
(Cdn)
Memberships, subscriptions, registrations and other
low dollar goods/services
Purchase negotiated by cardholder as required
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Standing Orders
 Set up like a Purchase Order (PO)
 May be competitively tendered like a PO
 Outlines the value of goods or services
required over a fiscal year
 Purchasing helps negotiate the best price
 Value committed to FOAP at the time of setup
 Initial value can be an estimate that is revised
over the course of the year with a change
order
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Programs
 Petty Cash
 Bookstore
 Computers on Campus
 Requisition for Payment Form
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(in development)
Where supplier does not accept VISA or over VISA limit
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Value of Purchase <$1,000
 Systems Contracts/Preferred Agreements
 Visa Pcard
 Standing Orders
 Petty Cash reimbursement
 Bookstore
 Requisition to Purchase if no other means
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Value of Purchase - $1,000 to $5,000
 Requisition to Purchase
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May be an asset – recorded & tracked
Describe good/service in detail
Attach any information about suggested
supplier
If quotes already solicited, attach ALL to Req
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Buyer will either reconfirm or requote
Decision based on buyer experience, fair
competition and information provided
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Value of Purchase – $5,000 to $100,000
 Requisition to Purchase
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Describe good/service in detail
Attach requirements/specifications
Request a quotation process be initiated
Identify any known suppliers
Brand or equivalent may be specified
May be Nationally advertised
 Single Source Justification
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Technical justifications
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Value of Purchase >$100,000
 Requisition to Purchase
 Legislated by Agreement on Internal Trade
(AIT)
 Describe in detail
 Attach technical specifications
 Identify mandatory and optional requirements
 Request a formal RFP process
 Identify known suppliers
 Nationally advertised
 Formal sealed bids
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Competitive Bidding
 Request for Information (RFI)
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Used for high value purchase (>$100,000)
Early in process (Grant application stage)
May be “Subject to Funding”
Identifies suppliers that have the ability to
meet your needs
Identifies Expression of Interest (REI)
Provides budget pricing
NO PO or CONTRACT AWARDED
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Competitive Bidding
 Request for Quotation (RFQ)
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Usually used for less than $25,000
Standard specifications
In stock equipment
Lowest technically compliant bidder
recommended
Usually PO issued with standard terms &
conditions
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Competitive Bidding
 Request for Proposal (RFP)
 Used for higher dollar value >$25,000
 Identifies research objectives with mandatory
and optional requirements
 Can be linked to a RFI
 May have a design/customization component
 PO/ICA or negotiated contract covers terms &
conditions of award
 Evaluation criteria part of RFP document
 “Overall Best Value” not just lowest bid
recommended
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Purchase Order
 PO is generated from a Requisition to
Purchase (legal document)
 U of M has standard terms and conditions
associated with the PO
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Developed by legal
If countered by supplier
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Negotiations, legal involvement, risk management
 Suppliers not paid unless have PO #
 POs over $1,000 need “Receiving” to record
asset
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Requisition to Purchase - Tips
 More information the better – fair competition
 State a realistic delivery date
 Print clearly or type information in on the
Requisition
 If CFI related – state CFI line # on body of
Requisition
 If there is any kind of affiliation or
collaboration agreement between the U of M
and the supplier, note it on Requisition
 If the researcher holds an adjunct position,
note it on Requisition
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Requisition to Purchase – Tips
 More information the better
 Example:
 Description given: Clinical Chemistry Lab Charges
 Should be:
Clinical chemistry lab charges for XYZ analysis as part of
Dr. A’s research grant.
Dr. A holds an appointment with (supplier) and has a
direct relationship with the lab completing the analysis.
Attached is information from Dr. A’s grant regarding these
charges.
 Template/checklist in development (website)
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Requisition to Purchase - Tips
 More information the better – fair competition
 State a realistic delivery date
 Print clearly or type information in on the
Requisition
 If CFI related – state CFI line # on body of
Requisition
 If there is any kind of affiliation or
collaboration agreement between the U of M
and the supplier, note it on Requisition
 If the researcher holds an adjunct position,
note it on Requisition
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Contracts
 Any agreement between two entities can be
considered a contract
 ONLY the VP (Administration) can sign a contact on
behalf of the University
 Purchasing has numerous standard contracts:
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The ICA (Independent Contractor Agreement)
Purchase Order
CCDC, DCA, RAIC (construction)
 Purchasing uses hundreds of contracts
 Service agreements, extended warranties, license
agreements, etc
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ICA vs PO
 A PO is used for tangible “Goods”
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Typically “off the shelf” equipment
Minimal customization
No intellectual property, patent or copyright
issues
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ICA vs PO
 An ICA is usually used for a “Service”
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Consulting work
Specialized design for custom equipment
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Entire order would fall under the ICA
The design as well as the actual piece of
equipment
The ICA would replace the standard terms and
conditions of the PO
Patent, Intellectual Property, copyright concerns
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ICA (cont’d)
 U of M standard ICA was drafted by legal counsel
 Changes to the ICA must be reviewed by the legal
counsel
 A CAR form is used in lieu of a Requisition to
Purchase when processing an ICA
 ICA and schedules are available on the Purchasing
website
 Department sends to contractor for signature
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Can send to Purchasing for review prior
 Purchasing will process (send for VP signature)
 Special PO and ICA term document for <$5,000 (in
development)
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Shipping/Receiving - Bannatyne
 One loading dock for all of Bannatyne (Brodie
Centre)
 Currently two employees
 Manage all deliveries –Systems Contracts,
specimens, small appliances
 Manage all returns not handled by supplier
 Protocols for shipping goods
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Hazardous goods identified
Packaging required
Proper labeling required
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Questions?
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Thank you for your time and the opportunity to
present our information!
Please feel free to call any one of the team for
help anytime.
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