1. Financial Process and Procedures
Research Management Centre IIUM

2. RESEARCH FINANCIAL ACTIVITY
Purchasing
Approval Authority
Procurement
Quotation
Purchase Order
Advancement
Miscellaneous
Travelling
Reconciliation
Payment
Claims
Suppliers / Vendors

3. Direct Purchase
Quotations
Tender
PURCHASE

4. Recommendation from ITD
Direct Purchase Vs Quotations
TYPE OF PROCUREMENT
DIRECT PURCHASE
QUOTATION
Amount
Up to RM20,000
RM20,001 – RM500,000
Suppliers / Vendors
Registered with IIUM
Mechanism
Procurement Form
Proposal
No. of Quotation
One (1)
At least five (5)
IT related items
Recommendation from ITD
Recommendation
1. Principal Researcher
1. Head of Department / Head of Research
2. Dean of RMC
Attachment
1. Quotation
5 quotation
Letter invitation for quotation (if less than 5 quotations)
Tender quotation form
Integrity pact form
Approval
1. Dean RMC (RM20,000)
2. Director RMC Kuantan (< RM15,000)
3. Other Dep. Dean (< RM10,000)
1. Rector & Exec. Finance Director
(RM20,001 – RM200,000)
2. Chairman SFC & Rector
(RM200,001 – RM500,000

5. PURCHASING – Documents to be Submitted

6. Get 5 quotations from suppliers
Direct Purchase
Kuliyah
Get 5 quotations from suppliers
Prepare complete proposal and attachment
Get recommendation from HOD / HOR
ITD
Get recommendation for IT items
RMC
Get recommendation from Dean RMC FD
Get approval from Exec. Finance Director
Rector
Get approval from Rector
Key-in system / prepare for PO / send PO
Kuliyah
Get quotation from supplier
Prepare complete Procurement Form
ITD
Get recommendation for IT items
RMC
Get approval from Dean / Dep. Dean of RMC
Key-in system / prepare for Purchase Order (PO)
Send PO to suppliers

7. PURCHASING – Other matters
Do not split purchase requisition from the same supplier/vendor
Quotations sent by vendors must be in a sealed envelops before the specified deadline and opened by Quotation Opening Committee (at least 3 person including 1 finance rep).
Sole distributers – attach with support letter from manufacturer
Supplier registration – liaise with Purchasing Unit, Finance Division
Virement of allocation – liaise with Research Unit, RMC

8. Travelling
Miscellaneous
ADVANCEMENT

9. ADVANCEMENT – Miscellaneous
Get recommendation from Dep. Dean (Postgraduate & Research) / Head of Research (HOR) / Head of Department (HOD)
Maximum amount is RM10,000
Require to submit receipts for prior advancement taken at least 70% before request new advancement
Not allow for the purpose of Research Assistant (RA) salary / purchasing of assets / travelling
Shall be reconciled of total amount within 6 months from date of disbursement

10. ADVANCEMENT – Travelling
Complete application forms received one month prior the travel date.
Amount of advancement based on grade entitlement
Only for food allowance and hotel based on MSD circulars
Shall be reconciled within 14 days after arrival at Malaysia

11. ADVANCEMENT – Process and procedures
Miscellaneous
Travelling
Kuliyah
Prepare the complete Miscellaneous Advancement Form
Get recommendation from HOD / HOR
RMC
Get approval from Dean / Dep. Dean of RMC
Key-in system / prepare for Payment Voucher FD
Review and advice bank for payment
Bank
Transfer directly to Researcher’s account
Kuliyah
Get complete approval for travelling
Prepare the complete Travelling Advancement Form
RMC
Get approval from Dean / Dep. Dean of RMC
Key-in system / prepare for Payment voucher FD
Review and advice bank for payment
Bank
Transfer directly to Researcher’s account

12. Suppliers / Vendors
Research Exp. Claim
Travelling Claim
PAYMENT

13. Goods received / services provided
PAYMENT – Suppliers / Vendors
Received in good conditions
Quantity and specification as Purchase Order (PO)
Acknowledged by receivers on Delivery Order (DO)
Goods received / services provided
Review and verify to ensure price / amount is accurate against Purchase Order (PO) / Quotation
Invoices / bills

14. PAYMENT – Claims Original receipts only
Sort receipts according to Research Financial Vote
Certify on the form according to related votes
Travelling claims follow entitlement rate based on MSD circular
Travelling for Official Duties / Seminar or Courses
Use separate form for Travelling and Other Expenses Claim
Total claims shall be reconciled against ADVANCEMENT taken (if any)

15. PAYMENT – Research Financial Vote
RESEARCH VOTE
TYPE
DESCRIPTION
11000
Research Assistant
Honorarium for RA
22000
Transportation of Goods
Goods delivery – road & other transportation
23000
Communication and Utilities
Mail & courier / Telephone
24000
Rental
Ship / boat & other rental
26000
Supply of Raw Materials for Repair & Maintenance
Electrical / Computer maintenance & repair
27000 @
Research Materials & Supplies
(Vote is for E-science project only)
Office stationery
Journal & periodicals (books, journal, publication fee)
Disposable science supply
Research material supplies
Computer software and license (renew license existing software, new software below)
28000
Maintenance and Minor Repair Services
Scientific equipment maintenance & repair
Civil maintenance & repair (small renovation, install partition)

16. PAYMENT – Research Vote
TYPE
DESCRIPTION
29000
Professional Services & Other Services
(printing, hospitality)
Honorarium
Entertainment (refreshment)
Printing (photocopy)
Patent
Scientific & research services
Others services/data analysis
Professional membership
35000
Equipment
Inventory / Scientific equipment
Office furniture / equipment
Server
Software
Av equipment
Computer

17. Claim Entitlement for Official Duties
Food Allowance
24 hours or more
Not allowable if provided by the Organizer
If meals not provided
Breakfast- 20%
Lunch - 40%
Dinner - 40%
Daily Allowance
more than 8 hours but less than 24 hours
50 % of meal allowance
Hotel / Lodging Allowance
Flight / Mileage Claims

18. Travelling Claims Miscellaneous Exp.
Official phone, fax or postage charges
Laundry expenses supported by receipt for not less than 3 days stay
Airport tax supported by receipt
Excess baggage for official items; supported by receipt
Parking, toll or ferry charges supported by receipt
Mileage Claim
Need to use airplane or train unless:
Distance is less than 240 km
Officer has to discharge duties at several places within the journey
It is considered important for the officer to use his own vehicle
Officer has to bring others for the official duty

19. Travelling Claims 14 days after arrival
Departure and Arrival Date and Time must be clearly stated on the claim form
Food, Hotel or Lodging allowances are paid according to official duties entitlement
Original Receipts must be attached together with the claim form( if any)
Total claims shall be reconciled against ADVANCEMENT taken (if any)
Claim form must be sign by claimant, HOD and approved by the Dean/Deputy Dean RMC

20. Obstacle in RMC Financial Process
Incomplete document / proposal
(approval / recommendation ITD / quotation / integrity pact)
Goods deliver prior issuance of Purchase Order
Unregistered Supplier/Vendor with IIUM
Receipts are not properly arranged according to vote
Invoices are not surrender to RMC
Communication breakdown
Insufficient of Research Budget