|Approved by||VCAG, 8 June 2015|
|Date Policy Took Effect||8 June 2015|
|Last Approved Revision|
|Sponsor||Chief Financial Officer|
|Responsible Officer||Procurement Manager|
|Review Date||8 June 2017|
The aim of this policy is:
- to ensure that the University obtains, where possible, the best value for its expenditure; and
- to ensure purchases are made in an open, fair and transparent manner.
This policy is based on the recommended procedures and principles outlined in the following publications:
(a) Mandatory Rules for Procurement by Departments (“the Rules”) – published by the Ministry of Economic Development and endorsed by Cabinet, 18 April 2006;
(b) Procurement: A Statement of Good Practice – published by the Office of the Auditor-General (June 2008);
(c) Government Procurement in New Zealand: Policy Guide for Purchasers – published by the Ministry of Economic Development (August 2007);
(d) New Zealand Public Sector Syndicated Contracts Review and Endorsement Terms of Reference –published by the Ministry of Economic Development (August 2007);
(e) Sustainable Government - Standards, Guidelines and Targets for Core Public Service Departments –published by the Ministry of Economic Development (August 2007).
This policy applies to all University employees, contractors or consultants acting on behalf of the University in procuring goods or services (including consultant services) by any contractual means.
The policy does not apply to employment contracts or funding agreements (e.g. sponsorship, memoranda of understanding, deeds).
Procurement - All the business processes associated with purchasing goods and services.
Total Cost of Ownership - The full cost of a good or service across its life span.
(a) The University will specify and secure required goods and services of appropriate quality, on economically-favourable terms, in a timely and efficient manner adhering to the principles laid out in clause 2 of this policy.
(b) All purchases must adhere to the University’s financial delegation policy and be approved prior to the goods/service being ordered.
2. Procurement Principles
(a) Accountability – the University is accountable to the New Zealand Public to deliver University priorities and objectives in a manner that is socially, economically and environmentally sustainable.
(b) Openness – the University will be transparent when conducting the procurement function, both to support accountability and to promote clarity and shared understanding of respective roles and obligations between the University and external parties entering into contractual arrangements.
(c) Competitiveness – the University will look to seek responses from Industry when requesting for goods and/or services that serve to foster sustainable competition within the marketplace.
(d) Value for Money – the University will look to use its resources effectively, economically, and without waste with due regard for the total cost and benefits of the outcomes to be achieved. To that end, the University may not necessarily select based on the lowest price, but rather on the best possible outcome for the Total Cost of Ownership.
(e) Lawfulness – the University’s procurement process will be conducted within New Zealand legal requirements.
(f) Fairness – the University will act fairly and reasonably. It will be impartial in its decision-making, and will pay due regard of its ability to influence the marketplace in its relationships with its trading partners.
(g) Integrity – the University will conduct its procurement activities with the upmost integrity and honesty.
(h) Impartiality – the University will be impartial in its procurement decisions. A staff member’s behaviour must not be influenced by a gift, benefit or consideration to show favour or disfavour to any person. No gift or consideration should be accepted.
(i) Confidentiality – the University shall ensure all commercially sensitive material will be kept in confidence.
Related Policies, Procedures and Forms
- Acceptance of Gifts, Benefits and Gratuities Policy
- Procurement Procedures
- Conflicts of Interest Policy
- Financial Delegations Policy
Contact for Further Information
If you have any queries regarding the content of this policy or need further clarification, contact Stephen Hall, Procurement Manager on firstname.lastname@example.org