Yale’s New eProcurement Solution Feedback Session Pilot Group Representatives September 7, 2004

Agenda Introduction 1:30-1:45 Introduction 1:30-1:45 Demonstration of Solution 1:45-2:15 Demonstration of Solution 1:45-2:15 Issues Discussion2:15-3:30 Issues Discussion2:15-3:30 Additional Q&A (if needed) 3:30-4:30 Additional Q&A (if needed) 3:30-4:30

Who is here? Representatives from the Pilot group Representatives from the Pilot group –Medical School –Central Campus –Business Office Staff –Lab Personnel –Project Management Team

Why you are here? Major Buy/Pay Improvement Initiative Major Buy/Pay Improvement Initiative Pilot Group was chosen, based on: Pilot Group was chosen, based on: –Nominees from the DUCs group –Volume of your department’s transactions through Phase 1 suppliers We need your feedback on some issues We need your feedback on some issues

What are the benefits of this solution? Benefits to the User/Lab Community: Benefits to the User/Lab Community: –buy from multiple suppliers at once –reduces the need for cost transfers –single log in and interface for all hosted contract supplier catalogs (~100 suppliers, to be rolled out in waves) –easy electronic requisition order form that is pre-populated with your profile information (ship to, charging instructions, etc.) –convenient shopping 24 hours a day –excellent deal combining price, quality and service –provides up-to-date catalog information –create efficient express orders using Favorites –cross-supplier searches in catalogs to find best price –faster turn-around time for orders and payments to suppliers –accounting commitment created in Oracle financials (i.e. to track real-time spend against a grant) –easy split charging when required

What are the benefits of this solution? Benefits to the University: Benefits to the University: –improves management and planning capacity –greater institutional costs savings by aggregating and leveraging University-wide transaction volume –faster turn-around time for orders and payments to suppliers –improves quality of service to Yale community and simplifies and streamlines the Buy Pay Process

What are the benefits of this solution? Benefits to the Business Office: Benefits to the Business Office: –review, routing and approval –accounting commitment created in Oracle financials (i.e. to track real-time spend against a grant) –easy split charging when required –upfront collection and validation of charging instructions (eliminates back-end handling of error invoices) –eliminates the handling of paper requisitions and paper invoices –reduces the need for cost transfers

Project Information eProcurement Solution is SciQuest eProcurement Solution is SciQuest –Specializes in large research institutions Go live, with Pilot group, 3 rd QTR FY05 Go live, with Pilot group, 3 rd QTR FY05 –Phase 1: ~20-30 supplier catalogs –Phase 2: ~60-70 additional catalogs 3 ways to requisition in the solution 3 ways to requisition in the solution –Shop in catalogs –Non-catalog request for existing supplier –Non-catalog request for new supplier

Demonstration

Issues Discussion Topic #1: See Supplier List Topic #1: See Supplier List –Are there any suppliers you use most often that are not on this list?

Issues Discussion Topic #2: Charging Instructions Topic #2: Charging Instructions A. Validation and Expenditure Item Date Use of pre-awardsUse of pre-awards B. Valid Tasks for a Project, but no description for the “Task” C. Use of VIP’s D. Expenditure type default for VIP E. The way they appear in the solution

Issues Discussion Topic #3: Frequency of Order Changes and Cancellations Topic #3: Frequency of Order Changes and Cancellations –How often do you change or cancel an order after you place it?

Issues Discussion Topic #4: Training Options Topic #4: Training Options –Classroom –Web-based, on demand –Train the trainer –No training

Issues Discussion Topic #5: User profile information Topic #5: User profile information –START for access and default profile information –Default Ship to addresses –Default approver name

Issues Discussion Topic #6: Department Views Topic #6: Department Views –What view of transactions do you need? (i.e. Division, Department or Organization level) –Who needs which level?

Issues Discussion Topic #7: Workflow Approval Thresholds Topic #7: Workflow Approval Thresholds –What kind of transaction approval do you require? (just Business Office or Lab Managers as well?)

Approval Workflow $ Limit Requirements Requisitioner’s $ Limits: Example $ limits and definitions: – $0 - Everything needs approval –<=$ 500 requisition does not require approval –<=$1000 requisition does not require approval –<=$2000 requisition does not require approval –<=$5000 requisition does not require approval Approver’s $ Limits: Example $ limits and definitions: –Business Office Staff person #1- Can approve to $10,000 –Business Office Staff person #2- Can approve to $25,000 –Business Manager- Can approve to $100,000 –Department Chair/Dean – notification of large $ orders

Statistics on current transaction volume UNP VIP Transactions FY 2004: UNP VIP Transactions FY 2004: RangeInvoice CountCumulative Count % Cumulative Total Between 0 - $200136,172139, % $200 - $50021,746161, % $500 - $1,0009,589171, % $1,000 - $2,0002,553173, % $2,000 - $5, , %

Statistics on current transaction volume (cont’d) PCard Transactions FY 2004: PCard Transactions FY 2004: Range Transaction Count Cumulative Count % Cumulative Total Between 0 - $200 78,06881, % $200 - $500 22,141103, % $500 - $1,000 7,624111, % $1,000 - $2,000 3,608115, % $2,000 - $5,000 2,079117, %

Statistics on current transaction volume (cont’d) Purchase Order Invoices FY 2004: Purchase Order Invoices FY 2004: Range Invoice Count Cumulative Count % Cume. Count Between 0 - $2007,0437, % $200 - $5004,29312, % $500 - $1,0003,06815, % $1,000 - $2,0002,87718, % $2,000 - $5,0003,41721, %

Questions & Answers Questions & Answers

Next Steps 1. Follow-up on any new issues that have been discussed today 2. Send out notes from today’s session to entire pilot group and the DUCs 3. Continue to solicit feedback via as issues arise 4. Have additional smaller feedback sessions (if needed)