Procurement Services Forum Fall 2012 Recap: What did we talk about last time? Hackett Study New eProcurement Modules (eReimbursement & NonPO were just rolling out at.
Download ReportTranscript Procurement Services Forum Fall 2012 Recap: What did we talk about last time? Hackett Study New eProcurement Modules (eReimbursement & NonPO were just rolling out at.
Procurement Services Forum Fall 2012 1 Recap: What did we talk about last time? Hackett Study New eProcurement Modules (eReimbursement & NonPO were just rolling out at that time) New forms in the Tools & Templates section: 2 Sole Source Justification eforms PAS document attachment form Projects underway in the Strategic Sourcing Group: Catering, Hotels, Event Rentals Managed Print HP PurchaseEdge program & setting copiers to duplex mode Today’s Agenda: eProcurement Strategy Overview Metrics Current State Update on current modules Future State & Timeline eProcurement Catalogs: new & in process Strategic Sourcing 3 Launches in ePro Contract Pipeline Demo: The Contract Portal New Updates Changes to the way we’re paying suppliers New: Attaching scanned documents in eProcurement Changes to 1099 MISC Reporting Business Diversity Program Update Environmental Stewardship & Sustainability Update Procurement Services website demo eProcurement Strategy Overview Goal: Utilize eProcurement to manage all procurement functions creating a streamlined, single point of entry for all purchases. This should standardize the process and reduce costs. *Requisition/PO Contract Compliance *Non-PO *eInvoicing Non-Catalog Sourcing eProcurement Encumbrances Accounts Payable Payment Scheduling, Accruals, Payment Processing, APE Interface, 1099, etc. PAS *eReimbursements Payments to individuals Contract Management * Modules are Implemented Vendor Management eReimbursement and Non-PO Invoice Metrics eReimbursements Non-PO Invoice % of utilization 100% 100% # of transactions 10,089 3765 Total dollars processed $2.2M $5.1M Transaction process savings $423,700 $158,130 ** Go-live date February 2012 Non-PO Invoice Testimonial Testimonial from the Center for Lung Biology Moving rapidly away from ProCard to the simple & time saving Non-PO invoicing In the past: Called the supplier, confirmed each invoice number and charge, paid with ProCard Monthly ProCard reconciliation Cardholder matched each invoice to payment (budget, account codes, etc.) Invoices & all payment documentation sent to reconciler for 2nd reconciliation & filing It was both time consuming and labor intensive, but now: Go to eProcurement and pay each invoice using the "copy" for multiple payments A unique invoice payment number is generated and invoice resides in system Reconciler is automatically notified with an email “We are saving at least 2 hours in processing orders from one vender alone, and that doesn't even take into consideration time saved in looking up charges later. For budget reconciliation it saves even more time since you can click on the link to go directly to the eProcurement record with the supplier invoice attached.” “I strongly urge everyone to take advantage of this new system. It is a huge timesaver!” –Nan Holcomb, Center for Lung Biology, South Lake Union Campus Percentage of orders going through eProcurement 16000 eProcurement Vs. PAS (Transaction) 14000 12000 8000 6000 4000 2000 0 Apr -12 May -12 June -12 PAS Transactions July -12 Aug -12 eProcurement Transactions Sept -12 # of PAS Transactions 10000 eProcurement - Current State Requisition /POs eInvoicing eReimbursements Non-PO Invoice 8 using 42 eProcurement catalogs (punchout and hosted) electronic invoices for eProcurement catalog orders reimbursing UW employees for expenditures made on behalf of the UW up to $3,500 payments to suppliers when a PO is not required (up to $10K) eProcurement – Future State NON CATALOG ORDERING • opens up the functionality of eProcurement so that orders can be placed with suppliers that currently do not have catalogs PAYMENTS TO INDIVIDUALS • paying individual for services under the direct buy limit • This module is not to be used for paying UW employees or suppliers CONTRACT MANAGEMENT • contract authoring, negotiations and maintenance CONTRACT COMPLIANCE • assuring that we are paying the correct price once the contract is set up This module will also allow us to make more complex purchases SOURCING • automate and streamline sourcing events with an online transparent process 9 eProcurement Strategy Overview: 2011 Non-PO Invoicing Spring 2012 Summer 2012 Timeline Fall 2012 Winter 2013 Spring 2013 Summer 2013 Rollout Non-Catalog Ordering under direct buy Campus Rollout Receiving Non-Catalog Exceptions Non-Catalog Ordering over direct buy Encumbrances Supplier Enablement Implementation Team Other resources Rollout Analysis Analysis LEAN Scoping and Design Supplier Enablement Team eProcurement Strategy Overview: 2011 Contract Management Contract Compliance Spring 2012 Summer 2012 Fall 2012 Timeline Winter 2013 Spring 2013 Analysis Analysis Analysis Sourcing Implementation Team Other resources Summer 2013 Thank you to our Beta Testers!!! A special thank you to our Non Catalog Beta Testers!!! We sincerely appreciate your help! 12 Jim Pilon; UW Bothell Finance & Administration Heidi Tilghman & Monica Cohn; Humanities Shared Services Center Zenaida Quitlong; HR Administration & Information Systems Elizabeth Mounce; Bioengineering Wilma Boyd; School of Art Rich Leibfried; UW Medicine IT Services Joseph Sabo, Ping Huang, Daniel Yoon, Felix Velasco, Aris Gempesaw, Chris Payne, Liza Plotkin, Heather Nicholson & Robert Patton; UW Procurement Services ePro Strategy Overview: Life Sciences • • • • DigiKey – March 2012 R&D Systems – March 2012 Henry Schein – July 2012 Roche Diagnostic – May 2012 Furniture • Business Interiors Northwest – July 2012 • Ebony Furniture – February 2012 MRO • Fastenal – Sept. 2012 AV • B&H Foto – Sept. 2012 13 New Catalogs ePro Strategy Overview: 14 Catalogs in the Pipeline Up Next: Strategic Sourcing & UW Contracts 15 Strategic Sourcing Launches in ePro Contract Pipeline Contract Portal: - What is it? - Where can it be found? - Why should departments use it? Strategic Sourcing What is “Strategic Sourcing”? Analyze spend across the UW Identify best contract opportunities Structured, long term approach Actively manage relationships with suppliers How do we do it? Analyze what the UW buys Target best opportunities for savings Establish strategic partnerships with suppliers 16 We are using Strategic Sourcing to reach overall UW Goals of consolidating spend and increasing savings. Create savings –> contract savings of ~8% More efficient processes – i.e. eProcurement Reduce risk for the University Better, more collaborative relationships with suppliers Strategic Sourcing & Contract Pipeline Strategic Sourcing Projects 2012 PS completed four major strategic sourcing projects in 2012 which resulted #55 new contracts available for campus wide usage in the following areas: Hotels Catering Event Rentals IT Servers Contract Pipeline Current strategic sourcing projects underway to streamline process for customers and reduce costs are: Managed Print Services, Audio Visual Design Services and Optics. In addition, the commodity areas undergoing analysis for potential 2012/2013 projects are: bus charters, town car services, air travel, logistics (air/sea/ground freight), marketing, video production & event planning services to name a few. 17 UW Contracts UW Contracts An online, contract repository within the Procurement Services Website Designed especially for UW customer usage Easily accessible and searchable 18 Update: eReimbursements What is it? An online tool in eProcurement used to reimburse UW employees for expenditures under $3500 What’s new? Rejecting manual check request reimbursements to employees When not to use it? Do not use for Travel reimbursements Do not use for equipment over $2000 Not for supplemental income, incentives, stipends, prizes, awards, or gifts How to find training Classes can be found at: f2.washington.edu/fm/ps/training-events/classroom-training 19 Update: Non-PO What is it? An online tool in eProcurement used to make a payment to a supplier. When to use it? An official PO copy is not required by the supplier The invoice is under the “Direct Buy Limit” The goods are not on the exceptions list f2.washington.edu/fm/ps/nonpo-exceptions How to find training The Introduction to Preparing a Non-PO Invoice Class is offered monthly For a complete list of training opportunities, see f2.washington.edu/fm/ps/training-events/classroom-training 20 What’s new? Cancellation of Small Dollar PAS Reqs Attachments are now the official record as part of the UW records retention policy Changes to the way we’re paying suppliers Supplier onboarding is a two step process: Step 1: Supplier completes the online Supplier Registration Form (SRF) Step 2: The Supplier signs up for electronic payment Two Options: Who should complete this? (1) ePayables: UW preferred method of payment Why is it preferred? All new suppliers o o 21 Any former suppliers that have been placed in either a hold or delete status payment takes 2 to 3 working days no additional fee to UW (2) PayMode (ACH) (2 step process) o The Supplier enrolls in the payment program and completes the PayMode application form o PayMode authenticates the account Scanning Policy Attaching documents in eProcurement Effective August 1, 2012, supporting documents should be electronically attached within eProcurement to be retained as the document of record The size limit for an attachment in eProcurement is 4MB For destruction of documents after scanning, each department must create a scanning policy that is in compliance and on file with Records Management For more information, see f2.washington.edu/fm/ps/tools-for-reconciling/scanning/ariba 22 Changes to 1099 MISC Reporting in 2013 Beginning in tax year 2013, we will be reporting all payments made to reportable suppliers on Form 1099 MISC Effective tax year 2013 (January 1 – December 31, 2013): all payments to 1099 reportable suppliers, including travel expenses, will be captured and reported on Form 1099 MISC Forms mailed January of 2014 Suppliers will be responsible for deducting associated expenses on their tax return, if applicable Departments should advise their suppliers to retain all original receipts. If receipts are submitted, they should be returned to the supplier Exception: Travel expenses associated with honorarium payments. Honorarium travel reimbursements should be processed through eTravel and will not be captured for 1099 reporting Reimbursements through eTravel subject to State travel rules More information to come. Contact Rachel Wipf in the Tax Office at 206-685-0159 or [email protected] with any questions 23 Procurement Desktop Reports Update: Procurement Desktop Reports (PDR) What’s new? What reports are available? Accounts Payable Procard Central Travel Account Purchase Order Department Dashboard Where can they find them? http://f2.washington.edu/fm/ps/tools-for-reconciling/pdr Why is this useful to the campus customer? Provides copies of invoices Assists with budget reconciliation Management of department resources 24 Requisition Status Report Expiring POs by Budget Department Dashboard Business Diversity Program Mission • Proactively engage with and support the UW’s commitment to creating a diverse business environment Vision • The UW will utilize businesses whose ownership is representative of our diverse and local community Economic Impact • For every $1 of direct UW spending, $1.275 of indirect spending is generated for the state economy • Small businesses represent 96.2% of all registered businesses in WA Finding Suppliers • Procurement Services UW Contracts Search • eProcurement • Business Diversity Program Diverse Supplier Search Contact US • http://f2.washington.edu/bdp/ 25 Environmental Stewardship & Sustainability Sustainability Executive Order signed by President Young on August 30, 2012 Stay up to date with events: o Third Annual Sustainability Summit, October 24 Stay involved with our programs: green.washington.edu Sustainability: It’s in our nature. Procurement Services Website: Home Page / Quick links UW Contracts, eProcurement, Non-PO, eReimbursement, PDR, etc. How to Buy, Pay & Reconcile Training & Events Upcoming classroom training eLearning tutorials (expanding) Procurement Forums (registration & presentation materials) Communications & Outreach Newsletter Procurement Project Pipeline Procurement Services News Supplier news & Promotions 27 Primer Procurement Services Website: http://f2.washington.edu/fm/ps/