1. PROCUREMENT 101 Texas Woman’s University

2. Procurement Process Overview Department determines need and where to purchase Requisition created Requisition approved Purchasing reviews requisition for compliance Purchasing creates purchase order Purchase order is approved Purchasing sends the purchase order to the supplier Supplier delivers goods/services Department receives in Phoenix Supplier submits invoice to Accounts Payable Accounts Payable pays the invoice NOTE: POs must be issued before goods and/or services are ordered. Color Key: Department Purchasing Supplier A/P

3. Who is Procurement and Contract Services? We are responsible for making sure all TWU and State of Texas rules and regulations are followed. We are here to offer assistance and guidance throughout the purchasing/payment process. All purchases, contracts and payments flow through our office.

4. Check Out Our Website If you still have questions, don’t hesitate to contact us!

5. How do I Buy Stuff? Department determines there’s a need  TWU is decentralized purchasing Find a supplier Get a quote Ensure account has enough money for the purchase  Check Funds Available Inquiry Determine next steps  Less than $10,000?  Between $10,001 and $30,000?  Over $30,000?

6. What is a Requisition? A requisition is a request to use University funds to make a purchase It is entered and approved by the department Two types of requisitions:  One Off  Used to make a single purchase only  Only one payment can be made from the PO  Blanket Requisition  Used when you need to make multiple orders against the same PO  Often used for the entire fiscal year  Allows for multiple payments to be made  Encumbers the total amount

7. How do I enter a Requisition? Requisitions are entered in iProcurement Continue to check requisition status until PO has been approved.

8. The Bid Process Purchases less than $10,000  Choose the supplier with the best price Purchases from $10,001 to $30,000  Obtain at least 3 quotes, 2 must be from HUB suppliers  If you get a “No Bid” you must get a 4 th quote from either a HUB or non-HUB supplier  Provide complete quote information on line 1 of the requisition at distribution level Purchases greater than $30,000  Contact Purchasing  Work with Purchasing throughout the process Note: dollar amounts are for both one time and cumulative purchases of the same goods or services over the course of the fiscal year (Sep 1 – Aug 31)

9. Why HUB? Historically Underutilized Business  Small – does not exceed the size standards set by the State  Principal place of business is in Texas  at least 51% owned by a minority, woman, or service disabled vet State program to assist HUB’s with economic development The State of Texas has set HUB usage goals for all State agencies

10. How to find a HUB supplier The Centralized Master Bidder’s List (CMBL)  Link is on our website Search by commodity code Contact Purchasing for assistance

11. Where Should the Money Be? Capital  Unit cost is typically greater than $5,000 or  It is a controlled item M&O  Unit cost is typically less than $5,000

12. Object Code Part of the account number that describes what type of item is being purchased  11.410.30.1580.XXXX.00000000  Determines where the money comes from  Capital  M&O Defined by the State Purchasing is not able to change the object code

13. New Supplier Information If you don’t find supplier information in iProcurement  TWU has never done business with the supplier  The supplier has been inactivated  TWU has not done business with them for more than a year  TWU does not have proper documentation on file New supplier forms need to be obtained  W9  New Supplier Form  EFT Agreement – preferred but not required

14. What is a Purchase Order? A purchase order (PO) is the TWU contract and commitment to pay between the university and the supplier to make a purchase  Created and approved by Purchasing No order should ever be placed before an approved PO has been issued  This is called a confirming order  TWU is not obligated to pay The approved PO and TWU’s Terms & Conditions are sent to the supplier by Purchasing

15. Terms and Conditions Attached to every PO Supplier contracts and agreements must be reviewed by Procurement & Contract Services  Complete a Contract Routing Sheet (CRS)  Forward the CRS and the contract to twucontracts@twu.edutwucontracts@twu.edu  You will receive updates on the status of the contract Contracts can only be signed by someone with the authority to commit TWU to the financial obligation

16. Receiving When you receive in Phoenix you are confirming you have the good/service you requested  Do not receive entire blanket orders right away  Do not receive any order until you have what you need If you forget to receive – you will get an email alert from Accounts Payable (A/P). This means that A/P has processed the invoice but cannot process the payment.  The payment cannot be processed until you go in and receive in Phoenix.

17. Invoices TWU terms and conditions state that all invoices should be sent to twupayables@twu.edutwupayables@twu.edu  Invoices should not be going to the department  If you receive an invoice be sure to send it to A/P so it can get paid Payment terms are set by the State  30 days from receipt of a correct invoice or receipt of goods and/or services, whichever occurs last  Late payment rate established annually by the State shall be applicable after 30 days Invoices should always reference the PO number

18. iProcurement Training Online training available through UPK  Link to UPK is available on the Purchasing website

19. Procurement Process Overview Department determines need and where to purchase Requisition created Requisition approved Purchasing reviews requisition for compliance Purchasing creates purchase order Purchase order is approved Purchasing sends the purchase order to the supplier Supplier delivers goods/services Department receives in Phoenix Supplier submits invoice to Accounts Payable Accounts Payable pays the invoice NOTE: POs must be issued before goods and/or services are ordered. Color Key: Department Purchasing Supplier A/P

20. Wrap Up We are here to help you – this is a team effort! Remember to plan ahead  Allow a realistic amount of time for the processing of your requisition and delivery from the supplier Contact us with questions:  Purchasing email: procure@twu.eduprocure@twu.edu  Payables email: twupayables@twu.edutwupayables@twu.edu  Contracts email: twucontracts@twu.edutwucontracts@twu.edu

21. ? ? Questions?