Loyola University Chicago

Ever have questions on how to buy something?  What goes on a purchase requisition, check requisition, purchasing card?  Here's a quick list of the different ways to acquire goods and services.  Keep in mind that there are generally five processes to request, acquire,  and pay for goods and services. They are

• Purchase Requisition
• Check Requisition
• Procurement Card
• Travel Expense Reimbursement
• Contract

Here are the guidelines you should use:

First Tip:  Contacting suppliers to place orders directly is not advised.  If the item is under an agreement that makes it a supplier direct item, then you should make the purchase commitment.  If you are using a purchasing card, you should contact an approved supplier.  Otherwise, "after the fact" purchases (contacting the vendor and acquiring goods first) only makes for a very slow, if any, vendor payment and loss of volume leverage for better prices for everyone. Additionally, the supplier is not going to like the inevitable delay in the payment of their invoices -- if the invoice is paid at all.  

Our goal is to get as many items on supplier direct agreements as possible so that we can step out of the process.  We want to leverage our dollar volumes first. We're working on it!

Second  Tip:  Don't mix the above processes - unfortunately, our systems don't talk to each other very well!!  An example of a mixed process would be if you make a deposit for goods or services with a purchasing card and then try to complete the remaining balance of the payment with a purchase requisition.  That's a hard track for any auditing trail to follow under the best of circumstances.

If an item is not a supplier direct item, the process goes like this: request the goods or services on the appropriate form and have your request approved by the budget administrator.  You can complete the approval process yourself or you can have Purchasing do it for you.  After approval, submit the request to Purchasing; Purchasing will check pricing, availability, etc., and order the product.  The product will either be delivered to you directly or to Central Stores at the Lake Shore Campus; acknowledge receipt of the item; the invoice is then submitted to Accounts Payable and the item is then paid for.  

1. Requisition
2. Approve
3. Order
4. Deliver
5. Receive
6. Pay

There are only six steps here.  You can now complete step 1 on-line for faster turnaround and ordering ease. This fiscal year, we have been able to complete steps 2 and 3 within 24 hours 96% of the time.  So, don't use the excuse that it takes too long - it just doesn't wash. 

Steps 4 and 5, of course, depend upon the product and the vendor.  We are constantly evaluating vendors so that we can reduce lead times and hold our suppliers to certain performance standards.   We are also increasing the number of items that must go through step 5 so that you might receive products directly to your desktop.  

In general, most orders over $500,  (this may be increased to $1000 in the very near future), printed material, capital equipment, computer hardware, software licenses, furniture and related products such as carpeting.

Subscriptions, books, periodicals, catering, membership dues/fees, instructional material, utilities, royalty fees, transportation expenses for athletic events/outings, advertisements, conference or seminar registrations, professional services that are required to be under a contract, messenger or couriers.

Items under $1,000 (possible increases here), retail products, repairs, maintenance products such as tools, light bulbs, landscaping supplies, subscriptions, books, periodicals, membership dues/fees,  instructional material.  

Hotels, lodging, airfares, and any service connected with a business-related trip.