Welcome to Procurement Services 2015 Spring Forum

Transcription

1 Welcome to Procurement Services 2015 Spring Forum

2 Forum Agenda UW eprocurement (Ariba) Update Status BPO Receiving Exceptions Purchases over Direct Buy In Development Ariba 9r2 Upgrade Implementation Payment Scheduling Payment Loop-back from PAS to Ariba Announcements We re Moving State of Washington Required Procurement Training Training Availability Classes & Online Biennium Close Website Q & A Session 2

3 The Retirement of PAS Campus no longer can create PAS purchase orders A few exceptions still apply while we re in transition Household Moves With some foreign suppliers if they re not on the Ariba Network The PAS purchase order functionality has been replaced by eprocurement Other PAS functionality will still be used PAS vendor file is still the system of record 4

4 UW eprocurement (Ariba) Update Status

5 Procurement System Modernization Transaction Impacts Done In Process EPROCUREMENT CATALOGS NONPO INVOICE EREIMBURSEMENTS NON-CATALOG > $10,000 BLANKET PURCHASE ORDERS FOREIGN SUPPLIERS RECEIVING EXCEPTIONS SOURCING CONTRACT COMPLIANCE Annual Transactions: 132,000 Key Benefit: Leverages prenegotiated contracts No dollar limit Annual Transactions: 20,000 Key Benefit: No PO Required Fast payment for low dollar transactions Process Transparency Annual Transactions: 26,000 Key Benefit: Replaces manual check request processing Annual Transactions: 33,000 Key Benefit: For items not in eprocurement catalogs Leverages same approval process as eprocurement Estimated Annual Orders: 3,000 Key Benefit: Supports blanket and standing orders Requires receiving Annual Transactions: 5,000 Key Benefit: Efficient & secure purchasing through Ariba Current: BPOs only. Future: Catalog and non-catalog EI orders. Key Benefit: Must receive to allow payment of invoice Current: Catalog, noncatalog, non- PO orders. Key Benefit: Be able to purchase all items that were only possible through PAS Estimated Annual Events: 300 Key Benefits: Standardization of documents Process Transparency Improved cycle times for solicitations Estimated Annual Transactions: 12,000 Key Benefits: Ensures consistent contract pricing/terms by suppliers Integrates with Sourcing Before modernization: All transactions, either partially or completely, manual After modernization: All transactions electronic 6

6 Procurement System Modernization Quick Reference Guide *Direct Buy Limit is the dollar limitation set by state law under which purchases may be made without securing competitive pricing. For more information visit the web Page. 7

7 Benefits All Buying Modules Provides visibility to department approvals, work flow, and status Greater flexibility for split-accounting (e.g., multiple budgets or PCA codes) Allows ordering of tax-exempt Machine and Equipment (M&E) Open balances are visible in MyFD Electronic invoicing (reduces paperwork) Helps with reconciliation & records retention Links to online invoices from MyFD IMPORTANT! Suppliers must be registered with the UW before orders can be placed for any of the eprocurement buying modules. 8

8 eprocurement Blanket Purchase Order A Blanket Purchase Order (BPO) is An agreement to spend a specific amount or order a specific quantity with a supplier over a period of time It may or may not specify the items or services you are going to purchase Suppliers must be registered with the University and be registered on the Ariba network What does this replace? This replaces blanket purchase orders or standing orders that are currently open in PAS 9

9 Benefits of BPO Allows you to create a standing order for goods or services over a period of time Requires Receiving in eprocurement for goods/services to allow invoices to be paid and provides campus the opportunity to ensure Goods are in good condition or services are delivered to satisfaction Invoices are correct For goods received, packing lists can be scanned and attached to the receipt in eprocurement BPOs provide cumulative information so you can see how much has been spent and how much is remaining as an open balance 10

10 BPO Examples Order Type Blanket Dollar Amount Ability to set up a blanket maximum dollar limit without needing to provide detailed item descriptions Allows the supplier to invoice at various amounts over time up to the maximum Recurring Item Order Ability to set up a recurring order by specifying maximum line item quantities with detailed item descriptions Allows supplier to periodically ship items and send partial invoices for the quantity shipped Examples Service Contracts Orders for complex, configurable systems Line item total quantity of 20 to be delivered once each quarter in 4 shipments of 5 each 11

11 Receiving for a Blanket Purchase Order When to Receive a BPO Order Read daily summary to identify BPOs needing to be received If you are the department contact for an Ariba BPO, you will receive a daily summary of orders and contracts that must be received before payment can be made Or run the BPO Receiving Exception Report periodically to see if there are any BPOs needing to be received 12

12 Receiving for a Blanket Purchase Order How to Receive a BPO Order Click on the Invoice tab to review your invoices DO NOT click the purple Invoice button that may be visible in the header Any invoices in the Reconciling status will need to be reviewed and received against the order If there are multiple invoices in the Reconciling status, start receiving with the OLDEST invoice first DO NOT include tax when you do receiving, even if it is indicated on the invoice Enter and receive the amount for the line items only. 13

13 Exceptions Now Available in eprocurement It is the policy of Procurement Services that all orders should be placed through eprocurement (Ariba). that previously did not have an eprocurement purchasing solution can now be purchased using eprocurement Examples of previous exceptions now using eprocurement: Blood, Blood Serum and Platelets, Firearms, Ammunition, and Explosives, Lab Refrigerators / Lab Freezers, Radioactive Chemicals / Materials / Equipment, etc. Foreign Suppliers if a supplier is in eprocurement, use eprocurement If a supplier is not in eprocurement, please request Procurement Services to work with Ariba to register the supplier on the Ariba Network Household Moves: use PAS to place your order 14

14 Purchases over the Direct Buy Limit The Direct Buy Limit for goods and services is up to $10,000 including shipping and handling (excluding tax) UW has established competitive contracts with most of the catalog suppliers in eprocurement You can purchase at any dollar amount approved by your dept. Catalogs listed in the non-contract category are the exception Purchases or Payments over the Direct Buy Limit will be reviewed by a P.S. Buyer for the following processes: Non-Catalog eprocurement Blanket Purchase Orders (BPO) Payments to Individuals (P2I) Non-PO Invoice payments are not allowed above the Direct Buy Limit Except where prior approval or MOU has been established between department and Procurement services. 15

15 In Development

16 In Development & Coming Soon Procurement Services is in the designing and development stages for: Ariba 9r2 Upgrade Implementation Payment Scheduling Payment Loop-back from PAS to Ariba 17

17 Announcements

18 Announcements Procurement Services is moving Effective May 12 th we ll be in our new location at s and phone numbers will remain the same Customer Service availability on May 8 th & 9 th will be limited More information coming as we get closer to the move Ariba (eprocurement) Code Freeze from May-September Ariba system upgrade: going live with 9r2 in September Programming & testing will be performed New features cannot be installed during this time Requested system enhancements will be queued up 21

19 Announcements eprocurement Training Independent Study, How to Guides & Classroom Options In addition to primary training topics, Buying & Paying in eprocurement, many new for new processes are available such as: Exception Item Ordering in eprocurement How to Approve eprocurement Orders for Exception Items How to Run Exception Item Reports in eprocurement Creating a Blanket Purchase Order Tip: Users can practice the instructions from these elearnings in the. Use it in conjunction with the elearning videos or after to practice what you learned before working in the live Ariba system. 16

20 Announcements Biennium Close Website Updated for Biennium Cut-Off Dates web page These dates are the recommended dates on which various transactions must be received, and or processed, to ensure the greatest opportunity for posting to the current Biennium Planning & Budgeting Office guidelines Requests for changes and new budgets and/or organization codes Self-sustaining, Research & Training and Gift Budget Deficits MyFinancial Desktop Calendar System Availability Biennium Close Awareness Training 17

21 Announcements State of Washington Required Procurement Training State of Washington Procurement Reform All state agencies staff who execute, manage procurement or contracts Training completion deadline: October 1, 2015 UW will use a combination of DES developed & existing UW training Different levels of training for different levels of personnel responsibility Executives delegating procurement P.S. Buying staff & managers UW dept. personnel managing procurement Personnel purchasing with Pcard or epro 21

22 A Few reminders: elearning is available Adding new elearning sessions to help you. See the on our website for a listing of training sessions available Stay Informed Ariba modules/functionalities will change as our needs develop. Stay informed by subscribing to the Procurement Services Campus Newsletter Department Outreach is an opportunity! Contact to discuss needs and schedule 23

23 Thank you for being great partners in building our eprocurement Marketplace

24 Questions & Answers

25 Appendix

26 eprocurement Catalog Ordering Web-based tool that allows campus users to place orders electronically with suppliers through online catalogs that are either punchout or hosted 63 supplier catalogs and more coming Leverages Pre-negotiated Contracts that include: Volume and Non-volume pricing discounts Sometimes no freight charges (depends on negotiations) Dedicated support staff Better return policies NO Sole Source justification required Some Catalogs Support the Ability to Convert a Quote into an Order 27

27 Non-Catalog Ordering A Non-Catalog Order can now be used for purchase amounts over the Direct Buy Limit A Non-Catalog Order is an eprocurement purchase order for items that are not available in either a hosted or punchout catalog It can be used to send orders for non-catalog items to suppliers who do not have special quoting capabilities through their punch-out catalogs This feature can be used when: Purchases over the will be reviewed by a buyer Goods not yet ordered Supplier requires a Purchase Order See for goods/services not allowed. 28

28 Non-Catalog Orders > $10K Departments can now use Non-Catalog Ordering to: Place orders over the Place orders with Consider purchasing commodities from a, to leverage University-wide benefits Create a Non-Catalog order only after searching for the desired items in the hosted and punchout catalogs first Before placing an order, collect: current, correct item pricing, item part number(s), commodity code(s), full item description, quote number (if applicable), contact name and address/fax number for supplier. 29

29 Non-Catalog Ordering vs. Non-PO Invoicing Function Ariba Prefix Description Non-Catalog Order Non-PO Invoice EI INV Ordering process you want to order an item or service that is not in an eprocurement catalog. An EI is created. Payment process - you have an invoice that needs to be paid and there is no PO. The ordering has taken place outside of any financial system Department contacted vendor directly and vendor shipped the product Equivalent to a PAS 905 Confirming Order (department has done own ordering process and just wants the invoice paid-under 10K) Blue=Buying Green=Paying 30

30 Non-PO Invoice Non-PO Invoice is an online tool in eprocurement for making a payment to a vendor when The vendor does not require a hard copy purchase order The invoice amount is within the direct buy limit Items are not on the direct buy limit exceptions list There are no attachments (i.e., quotes) Some examples include purchases for lab supplies, scientific items, memberships, subscriptions 30

31 ereimbursements UW Faculty & Staff reimbursement proces Used strictly to reimburse for purchases of goods made on behalf of the UW A form in eprocurement used for reimbursing UW staff and Non-UW individuals for UW business-related expense Should be used instead of department revolving funds, petty cash, and check request for qualifying purchases 31

32 Payments to Individuals Payments to Individuals (P2I) is a form in eprocurement used for making payments to an individual for: Honoraria Royalties and associated payments Awards or Prizes Non-UW Scholarships Services Expenses Associated with Honoraria or Services Performers Replaces the paper Check Request form for the above 33

33 Procure to Pay Extension Goal: Replace PAS procurement functions with ARIBA adding enhanced functionality not in PAS to reduce procurement administration costs Non-PO Non-Catalog ereimbursements Invoicing Payments to Individuals Sourcing ARIBA Contract Compliance Open Balances Contract Management PAS purchasing functionality is going away Vendors *Accounts Payable PAS Vendor Management *Accounts Payable: Scheduling, Accruals, Payment Processing 34

34 Procurement System Modernization Roadmap Non Catalog Orders over the direct buy limit Winter 2014: Spring-Summer 2014: Fall 2014: Gather requirements Technical Analysis and Development Campus rollout and implementation Blanket Purchase Order (BPO) Receiving Oct 2013: Winter 2014: Fall 2014: Fall 2014: Sep-Dec 2013: Feb-Oct 2014: eprocurement Winter 2015: Implementation working through required customizations BPO Pilot working with campus and suppliers Team of buyers transfer all existing PAS open orders to Ariba Campus rollout and implementation Phase 1: Pilot with UW-IT, UW-IT Medicine and Auto-receiving Phase 2: BPO Receiving Migrate BPOs from PAS to Phase 3: Receiving required for Equipment by organization Sub-Contracts Winter : Spring 2014: Fall 2014: Gather requirements Technical Analysis and Development Work with OSP to move transactions over to Ariba New Requisition Approval Roles Summer 2014 Summer 2014: Fall 2014: Gather requirements Technical Analysis and Development Campus rollout and implementation 35

35 Procurement System Modernization Roadmap (cont.) Foreign Vendors Spring-Summer 2014: Summer 2014: Fall - Winter : Gather requirements Technical Analysis and Development Campus rollout and implementation Exception Items Winter 2014: Spring-Summer 2014: Fall - Winter : Gather requirements Technical Analysis and Development Campus rollout and implementation Payment Loop back From PAS to Ariba Spring 2014: Summer 2014: Winter 2015: Gather requirements Technical Analysis and Development Campus rollout and implementation Payment Scheduling Spring 2014: Summer 2014: Winter 2015: Gather requirements Technical Analysis and Development Campus rollout and implementation 36

36 eprocurement Buying Process Flow 37

37 Punch-out Catalogs vs. Hosted Catalogs Punch-out Internet Office Depot CDWG Catalog items stored within eprocurement. Searching for, and ordering, products is performed within eprocurement. UW Arnold Dental ebioscience ROCHE VWR Users are directed to a supplier website to search for and order products. 38

38 eprocurement Transaction Prefix Quick Reference Function Ariba Prefix Authorization Required to Access Catalog Order EI UW NetID Non-Catalog Order EI Non-Catalog Preparer (ASTRA)* Blanket Purchase Order BPO Contract Agent (Ariba role)* Non-PO Invoice INV Non-PO Invoice Preparer (ASTRA) Payment to Individual XP UW NetID ereimbursement XR UW NetID Blue = Buying Green = Paying 39

39 Approver Terminology Approver ASTRA Role that is a group of individuals who can approve a request Budget Approver/Org Approver Authorized to approve for a budget or organization code for certain dollar amounts Receives notifications to approve Requests needing approval appear in the To Do list Watcher Receives notifications only no actions required If the Preparer and Requester are different, the Requester is automatically added as a Watcher Funding Approver Required for Non-PO Invoice, P2I and ereimbursements Compliance Approver Optional for Non-PO Invoice, P2I and ereimbursements 40

40 Preparer and Requester Terminology Preparer User who logs into and initiates a transaction Requester In some modules, the Preparer can change the Requester by selecting another user name for the On Behalf Of field System Default Preparer = Requester For a BPO The user who logs in and creates the BPO is the Preparer The Department Contact specified on the BPO is the Requester 41