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Category Finance
Type Policy
Approved by Vice-Chancellor, 5 March 2026
Date Policy Took Effect 5 March 2026
Last approved revision5 March 2026
Sponsor Chief Financial Officer
Responsible officerHead of Supply Chain

Purpose

The University is committed to:

  • The principles of leadership, social accountability, sustainability, community and partnership, and stewardship across all aspects of its operations, including in procurement, and
  • Ensuring the University obtains, as far as possible, the best whole-of-life value for its procurement expenditure

This Policy clarifies the application of these principles to the procurement by or on behalf of the University of Otago.

Organisational scope

This Policy applies to all staff, contractors, and agents of the University of Otago engaged in procurement activities.

Current and potential suppliers, contractors, subcontractors, service providers, consultants, and agents will be made aware of the relevant expectations of this Policy, including through contractual requirements imposed by the University.

Definitions

Procurement
All processes associated with purchasing goods and services, including the acquisition of goods, services, and works, regardless of funding source.

Content

1. Alignment with strategic vision and principles, frameworks and statements

  1. This Policy reflects the University’s strategic vision set out in Vision 2040:
    1. Our people and knowledge transforming lives, connecting communities, and nurturing the environment in Otago, Te Waipounamu, Aotearoa, the Pacific, and the world
  2. The Policy reflects the University’s strategic principles set out in Vision 2040, most relevantly:
    1. Academic freedom: acting as a critic and conscience of society
    2. Leadership: demonstrated through integrity, honesty and accountability
    3. Social accountability: contributing significantly to local, regional, national and global advancement; supporting and promoting equity, inclusivity, diversity and reciprocity; behaving ethically and with compassion
    4. Community and partnership: being a Te Tiriti led University and a partner of mana whenua; building and maintaining rewarding relationships with the city of Dunedin and other cities and local authorities, industry, government agencies, and other universities and organisations in Aotearoa, across the Pacific and beyond; and with alumni, friends and supporters
    5. Stewardship: maintaining and enhancing our intellectual capital and physical, digital, and financial resources
    6. Sustainability: demonstrated by the University’s ongoing commitment to the United Nations Sustainable Development Goals; and engaging with the wider community, external groups and authorities to encourage and support sustainability locally, nationally and globally
  3. Under this policy, ethical procurement includes processes and outcomes that align with the principles in the University’s strategic documents and frameworks. These include:
    1. Pae Tata | Strategic Plan to 2030 (PDF)
    2. Māori Strategic Framework 2030
    3. Pacific Strategic Framework 2022–2030 (PDF)
    4. Equity and Diversity Strategic Framework
    5. Tī Kōuka: The Sustainability Strategic Framework 2022–2030 (PDF)
  4. This Policy arises from and is to be read in conjunction with the University’s Statement on Institutional Neutrality (PDF)
  5. This Policy recognises that ensuring the University obtains, as far as possible, the best value for its procurement expenditure on a whole-of-life basis, will support the University in achieving its strategic vision
  6. While the University maintains autonomy, the University recognises that it is encouraged by the New Zealand Government to adopt the Government Procurement Rules, Principles and Charter, and recognises the New Zealand Government Supplier Code of Conduct

2. Ethical procurement principles

  1. The University will plan and manage for the best possible outcomes by:
    1. Identifying what the University needs, including what broader outcomes should be achieved, and then planning how to get it
    2. Being open to new ideas and solutions
    3. Choosing a process proportional to the size, complexity and any risks involved
  2. The University will be fair to all suppliers by:
    1. Creating competition and encourage capable suppliers to respond
    2. Seeking opportunities to involve businesses in Aotearoa, including Māori, Pacific, and local, Otago, and small businesses and social enterprises
    3. Clearly explaining how proposals will be assessed and communicate to suppliers the University’s ethical requirements in Clause 3 of this Policy
  3. The University will select the best supplier by:
    1. Choosing a supplier who can deliver what the University needs, at a fair price and on time
    2. Building demanding, but fair and productive, relationships with suppliers
    3. Identifying relevant risks and the right party to manage them
    4. Choosing a supplier that satisfies the expectations for ethical behaviour in Clause 3
  4. The University will get the best deal for all parties by:
    1. Obtaining best value and account for all costs and benefits over the lifetime of the goods, services or works
    2. Making balanced decisions that consider social, environmental, economic and cultural outcomes that should be achieved, including:
      1. creating positive opportunities and impact for Māori and Pacific people and communities
      2. contributing to sustainability goals, including the University's net carbon zero commitment and minimising waste
      3. promoting equity, inclusivity and diversity
      4. aligning with the University’s Fairtrade accreditation
    3. Having clear performance measures
  5. The University will play by the rules by:
    1. Being accountable, transparent and reasonable
    2. Making sure everyone involved in the process acts responsibly, lawfully and with integrity, including in compliance with relevant University policies:
      1. Acceptance of Gifts, Benefits and Gratuities Policy
      2. Procurement Procedure
      3. Conflicts of Interest Policy
      4. Financial Delegations Policy
    3. Protecting the University’s and suppliers’ commercially sensitive information and intellectual property

3. Ethical requirements of suppliers

  1. The University will require, through contractual arrangements, that its suppliers comply with the following requirements regarding ethical behaviour:
    1. Manage their activities and affairs, and conduct themselves, with integrity in accordance with applicable laws, regulations and ethical standards
    2. Not engage in any form of corruption, including offering, soliciting, or accepting gifts or inducements that could influence procurement decisions
    3. Be transparent about their policies and practices
  2. The University will require, through contractual arrangements, that its suppliers comply with the following requirements regarding labour and human rights:
    1. Adhere to international human rights standards in their workplace and within their supply chain, including the exclusion of entities proven to be complicit in systematic human rights abuses, including forced labour or child exploitation
    2. Comply with New Zealand employment standards including freedom of association and maintain a workplace that is free from unlawful discrimination
  3. The University will require, through contractual arrangements, that its suppliers comply with the following requirements regarding health, safety, and security:
    1. Comply with workplace health and safety laws and regulations and maintain healthy and safe work environments
    2. Adequately protect any information or assets provided by the University and destroy or return these promptly when requested
  4. The University will require, through contractual arrangements, that its suppliers comply with the following requirements regarding environmental sustainability:
    1. Maintain environmentally responsible and sustainable business practices and proactively improve their environmental performance
    2. Conduct their business in accordance with applicable laws, regulations and standards regarding the mitigation of impacts on, and protection of, the environment
  5. The University will require, through contractual arrangements, that its suppliers comply with the following requirements regarding corporate social responsibility:
    1. Be good corporate citizens and contribute positively to their communities
    2. Pay their subcontractors promptly
    3. Consider opportunities to include local, Māori and Pacific businesses as subcontractors
  6. Suppliers or their sub-contractors materially unable to comply with this Policy will be excluded from participation in University procurement activities
  7. Suppliers or their sub-contractors must comply with any reasonable requests from the University for information regarding their compliance with Policy, and failure to do so will result in exclusion from participation in University procurement activities
  8. Suppliers or their sub-contractors found to be materially non-compliant with this Policy may be given a reasonable opportunity to rectify their non-compliance. However failure to do so will result in exclusion from participation in University procurement activities, or will be considered as grounds for termination of any relevant contract or arrangement

4. Complaints

  1. Any member of the University community who wishes to raise a complaint regarding compliance with this Policy
    1. may do so by emailing cfo@otago.ac.nz in the first instance, or
    2. may make a disclosure in accordance with the Protected Disclosures Policy
  2. The Chief Financial Officer may, in response to a complaint, convene a group to investigate that complaint. The group, at the discretion of the CFO, may comprise:
    1. The Chief Financial Officer (Convenor),
    2. The Vice-Chancellor
    3. The Head of Supply Chain,
    4. The Head of Risk, Assurance, and Compliance,
    5. Other staff as appropriate
  3. The Chief Financial Officer or the group convened by the Chief Financial Officer will investigate the complaint, and:
    1. will advise the complainant of the outcome of their investigation,
    2. may notify, exclude from procurement activities, or terminate contracts with, the subject of the complaint as appropriate,
    3. may determine a further University response to the complaint,
    4. will record the outcome of the complaint and investigation for reporting purposes
  4. For the avoidance of doubt, nothing in this Policy prevents a member of the University community from expressing views about supplier or potential supplier's behaviour, consistent with the principles of academic freedom and the University’s Statement on Free Speech

Related policies, procedures and forms

Contact for further information

If you have any queries regarding the content of this policy or need further clarification, contact:

Head of Supply Chain
Email policycompliance@otago.ac.nz

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