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Non-Catalog Orders

• Welcome! We will begin at 1:30 p.m.
• Make sure your first and last name displays in the “Participant” list so we

can mark your attendance.

• Training materials: https://go.iu.edu/buyhandouts
• BUY.IU training site: https://trn.one.iu.edu
• Click on the “BUY.IU TUIT” task tile.

Non-Catalog Orders

INDIANA UNIVERSITY

Office of Procurement Services

Agenda

• Purchasing review.
• Non-Catalog orders.
• Contracts.
• Activity 1.
• Supplier search and entry.
• Break
• Submit a Non-Catalog order.
• Activity 2.
• Break
• Recurring and Blanket orders.
• Activity 3.
• Change Requests.
• Activity 4.
• Wrap-up.

Learning Objectives

• Recognize when a Non-Catalog order or Recurring order is appropriate.
• Recognize when a contract is required.
• Describe the supplier request and onboarding process.
• Initiate and submit Non-Catalog and Recurring orders.
• Determine when a Change Request is appropriate.
• Initiate and submit a Change Request.

Purchasing review

Who can make purchases in BUY.IU?

Individuals with the Requestor role which include:

• Full-time staff
• Part-time staff
• Faculty
• Employed students

Affiliates and students have the Shopper role. Can build orders but cannot place orders.

What are the four procurement methods used at IU?

Hosted or Punchout Catalog

First choice

Check Request form

Second choice

Non-Catalog

• rder

Third choice

Procurement Card (P-Card)

Fourth choice

*P-Card may be preferred for hospitality purchases – consult your campus.

What rules must be followed when creating a Shopping Cart?

• Cannot combine multiple suppliers in the same cart.
• The cart is used to build an order which will be sent to a supplier.
• Cannot combine Catalog and Non-Catalog orders with Check Request

forms.

• Catalog/Non-Catalog orders and Check Requests route differently, thus they

cannot be combined.

What is a Purchase Order?

• An official order distributed to the supplier.

– What the supplier uses to return goods or services to your department.

• Purchase Order is generated using information entered in Requisition.

Non-Catalog orders

When is a Non-Catalog order appropriate?

• Used when the good or service you need is not attainable via Catalog or

is unallowable on a Check Request form.

• Driven by business relationship. Use a Non-Catalog order if relationship is
• ngoing, or if you will be making multiple purchases.
• Driven by purchasing lead time. If you are aware of a purchase ahead of

time, use a Non-Catalog order if possible.

• The Purchase Order protects IU and holds supplier accountable.

Always use a Non-Catalog Item for…

• Capital purchases.
• Payments for computer software and/or upgrades.
• Consulting fees.
• Trophies, plaques, and other prizes.
• Telecommunication charges.
• Advertising.
• Credit and collection services.
• Temporary services.
• Workshops.
• Exhibits.
• Hospitality (exceptions require approval).
• Legal services.
• Online subscriptions and/or data sets.
• Magazine and newspaper ads.
• Photographs.
• Photographers and videographers.
• Printing.
• Sponsorships.

Contracts

A contract is required when…

• A service is performed domestically which totals $10,000 or more.
• There are exceptions to the $10,000 threshold which always require a contract (see

next slide).

• A supplier presents a contract to your department for the goods or services

being provided.

• A service is performed internationally which totals $5,000 or more.
• Non-US entity performing services overseas,
• Non-US entity performing services in the US, or
• US entity performing overseas.

Always request a contract for…

• Ownership of products.
• Licensing of products.
• Photography or videography.
• Risk mitigation, including high-risk entertainment.
• Programs involving children.
• Critical or restricted data usage.
• Additional situations as determined by Purchasing.

Who can sign contracts?

• Signatory authority: legal power delegated by an authoritative body.

– Delegated by the Board of Trustees to the Treasurer, then delegated further. – Contract managers in Purchasing have signatory authority and may legally sign documents on behalf of the university.

If you haven’t been told you can sign a contract assume you can’t.

Submitting or requesting contracts

• Use the Contract Request Form
• Two types of forms:

– Purchasing Review Office Contract.

• Used to request agreement for purchasing goods or services, or to submit a

supplier-provided contract for review/signature. – Contract Request for General Counsel’s Office (OVPGC) – Coming Soon!

• Used in conjunction with OVPGC’s web templates (see reference guide).
• Not associated with purchases. If you also need to purchase a good/service,

use the Purchasing Review Office Contract form.

Contract request timing

• Whenever possible, submit a Contract Request Form prior to submitting

the related Requisition.

– Reference Contract Request Form name and number in Comments section of Requisition. – Purchasing begins contract review when Requisition routes for approval. – Remember to check “Order Restricted?” box if Requisition is less than $5,000 to force routing through Purchasing.

Other agreements

• Signing an agreement with another IU organizations does not represent a

contract.

– Agreement does not involve an external party. – Essentially, an agreement with ourselves.

• If you are unsure whether the agreement with an external party constitutes a

contract:

– Attach the agreement in the Comments section of Requisition. – Check box next to “Order Restricted?” in General section of Requisition.

Questions? Contact a buying team!

Commodity Email Phone IT and Software purtech@iu.edu (812) 855-3720, option 3 Maintenance, Repair, & Operations purmro@iu.edu (812) 855-3720, option 5 Professional Services purpro@iu.edu (812) 855-3720, option 4 Scientific Products & Services pursci@iu.edu (812) 855-3720, option 2 Real Estate and Storage rhalter@iu.edu (317) 274-7746 Architecture, Construction, & Engineering thellis@iu.edu (812) 855-5294

All of this information – and more – is available on the “Who Buys What?” page on Purchasing’s site.

Activity 1

Is a contract required?

Question 1

A sales representative from Storyteller Studios, a film studio located in Indianapolis, contacts your department. They offer to provide videography services for the upcoming Science Olympiad. You research the company and decide to pursue the relationship. Based on your initial conversations, Storyteller Studios estimates the production will cost $4,000. Is a contract required? Why or why not?

• Yes – for a few reasons:
• Videography services.
• Program involving children.

Question 2

Hans Zimmer, an Associate Professor from the Frankfurt University of Music in Germany, has been in contact with Professor Goldberg in the Jacobs School of Music. Prof. Zimmer proposes a collaboration between the two schools on a composition restoration project. Prof. Goldberg agrees, and requests that Prof. Zimmer be compensated $2,000 for his contribution to the project. Is a contract required? Why or why not?

• No – international services under $5,000.
• However, if we want to own the end product or have usage rights, a contract is

required.

Question 3

The School of Informatics holds a welcome celebration for its newly accepted PhD students. IU Catering, the preferred caterer on the Bloomington campus, will cater the event. IU Catering presents your department with a catering agreement which

• utlines the event. The agreement must be signed and returned prior to the

event. Are you able to sign this agreement?

• Yes – this represents an internal agreement.

Supplier search and entry

Before you initiate your order

• Search for the supplier in the Supplier module.
• Suppliers which are active and have a Registration Status of “Approved”

are ready to use.

Registration status

*Ensure supplier is active and has supplier number.

Registration status Description None Supplier has not been invited or completed the registration process. Invited Onboarding invitation has been sent to supplier. In Progress Supplier has accessed portal and started onboarding process. Profile Complete Supplier has submitted information; under review by Purchasing. Approved All registration workflow steps complete. Ready to use.* Rejected Supplier is ineligible to work with Indiana University.

What if my supplier is inactive or not listed?

• Use the Non-Catalog Order (Purchase Order) supplier request form to

request their addition to the network.

• Purchasing reviews the request and determines if the supplier should be

invited to complete the onboarding process.

Onboarding required process

Department submits Non-Catalog Order (Purchase Order) supplier request form. Purchasing reviews request and invites supplier to portal. Supplier enters tax, payment, and other information in portal. Purchasing verifies supplier information and activates supplier record. Department enters and submits Non-Catalog Item order.

Monitoring progress

• You will receive an approval notification when the supplier is invited.

– Send New Supplier Flyer to supplier to prep them for onboarding process.

• Monitor supplier onboarding progress using My Supplier Requests.

– Registration Status indicates how far they are in process.

• You will receive another email notification when the supplier is active and

ready to use.

• Send the New Supplier

Flyer to suppliers to prep suppliers for invitation and

• nboarding process.
• Link in reference guide.

Break

Submit a Non-Catalog order

How to enter a Non-Catalog order

• Use Non-Catalog Item shortcut on Shopping homepage.
• Navigate to the Non-Catalog Item shortcut in the Shopping module flyout.
• Search for the supplier in the main search on the Shopping homepage.

– Click “Order Non-Catalog” link next to supplier in results.

Activity 2

Submit a Non-Catalog order

Activity 2

You work at UITS in the Administrative Support group on the Bloomington

• campus. Your group decides to invest in new Surface Pro 6 tablets. A local

contracted supplier, Pier Group, offers to fulfill the order at a price of $1065.00 per tablet. This price is significantly lower than the price offered by CDW-G, so you decide to purchase the tablets from Pier Group. Purchase the following from Pier Group:

• 10, 12.3”, 16 GB RAM Microsoft Surface Pro 6 tablets
• 10, Surface Pro 6 carrying cases

Use account 1912440, subaccount ADSUP, and object code 5215 (Expendable Computer Equipment). Is a contract required for this purchase? Why or why not?

• No. Purchasing goods.

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Activity 2

Break

Recurring and Blanket orders

What is a Recurring order?

• A Non-Catalog Item order used over a period of time.
• Common uses:

– Lease or rental payments. – Utility payments. – Service agreements, regardless of number of payments.

What is a Blanket order?

• A Blanket order is a type of Recurring order.
• Used to encumber a pool of funds for purchases from a supplier.

– Items purchased don’t matter – only money spent.

Scenario: Recurring vs Blanket order

Over the course of the school year, art supplies are purchased from a local art supply store as needed. This year, the department anticipates spending $5,000. Last month, the following items were purchased: Item Cost Colored pencils $16.00 Clay erasers $3.00 Easel stands $20.00 Total: $40.00

Recurring invoice

Invoice itemization entered in BUY.IU.

Blanket invoice

Line Item Cost 1 Colored pencils $16.00 2 Clay erasers $3.00 3 Easel stands $20.00 Total: $40.00 Line Item Cost 1 Colored pencils, clay erasers, easel stands $40.00 Total: $40.00

NO Invoice itemization entered in BUY.IU.

Establish a Recurring order

• All Recurring orders start as Non-Catalog orders.
• Complete the Recurring Payments section of the Requisition.

Establish a Recurring order cont’d

• Complete “Recurring Payments” section of Requisition.

– Check box under “Recurring Payment?” and define receiving schedule. – Complete PO begin and end dates. – Reference previous PO, if applicable.

• This information is communicated to the supplier on the PO and

searchable in BUY.IU.

Establish a Blanket order

In addition to Recurring order instructions:

• Start each line item with “BPO” or “Blanket.”
• Enter Quantity of “1.”
• Enter spend amount over life of PO in Price Estimate field.
• Leave Packaging field as “EA – Each.”

Activity 3

Submit a Recurring order

Activity 3

You work at the Student Outreach Clinic located in Indianapolis. Each year, a new Purchase Order is established with Workplace Health Services LLC which processes various tests for clinic visitors. The volume of testing needed varies as it is dependent on patronage of the clinic. Based on projections, your Fiscal Officer anticipates $13,000 worth of testing services will be performed. Is a contract required for this purchase? Why or why not?

• Yes:

– Payment for services totaling more than $10,000.

Activity 3

You work at the Student Outreach Clinic located in Indianapolis. Each year, a new Purchase Order is established with Workplace Health Services LLC which processes various tests for clinic visitors. The volume of testing needed varies as it is dependent on patronage of the clinic. Based on projections, your Fiscal Officer anticipates $13,000 worth of testing services will be performed. Is a Recurring Order appropriate in this situation?

• Yes:

– Purchases happen over a defined period of time.

Activity 3

You work at the Student Outreach Clinic located in Indianapolis. Each year, a new Purchase Order is established with Workplace Health Services LLC which processes various tests for clinic visitors. The volume of testing needed varies as it is dependent on patronage of the clinic. Based on projections, your Fiscal Officer anticipates $13,000 worth of testing services will be performed. Should you establish this as a Blanket Order?

• Maybe. It depends:

– Is Invoice itemization important?

• Yes, it is. DO NOT establish a Blanket Order.
• No, it isn’t. Establish a Blanket Order.

Activity 3

You work at the Student Outreach Clinic located in Indianapolis. Each year, a new Purchase Order is established with Workplace Health Services LLC which processes various tests for clinic visitors. The volume of testing needed varies as it is dependent on patronage of the clinic. Based on projections, your Fiscal Officer anticipates $13,000 worth of testing services will be performed. Establish a Blanket order for Fiscal Year 20, and fund the Requisition using account 2383397 and object code 4520 (Contractual Services). Reference Contract Request Form #23698 “Workplace Health Services FY20” in the comments section of the Requisition.

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Activity 3

Change Requests

What is a Change Request?

• A document initiated by departments from a Purchase Order used to

amend that PO.

– PO must be in completed status. – If changes are needed to an in process Requisition, contact an approver to request changes or that the order be returned for edits.

• Initiated by departments, reviewed by fiscal reviewers and Purchasing.

– Anyone can initiate a Change Request. – Reminder: segregation of duties.

Change Request review

• Every Change Request routes for review from:

– Fiscal reviewers. – Purchasing staff.

• Only one Change Request may be enroute at any given time.

– This includes returned Change Requests.

When is a Change Request appropriate?

• Changes needed to a PO which will continue to be used.

– Change Requests enroute are invalidated by new Invoices. – It is not necessary to initiate a Change Request in order to approve an invoice for payment.

• Common changes:

– Funding changes, account, object code, or amount. – Quantity changes. – Extend PO begin/end dates due to contract extension.

Activity 4

Submit a Change Request

Activity 4

Think back to Activity 2. You are contacted by your Supervisor. The original Surface Pro 6 tablet order was incorrect. Your department needs to order three additional tablets and cases. Locate your completed Purchase Order and submit a Change Request. Update the quantity to reflect the new total of 13 tablets and 13 cases. Request the updated order be distributed to Pier Group when available.

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Activity 4

Wrap-up

Next steps:

• Review your reference guide.
• Visit the BUY.IU resource page: https://go.iu.edu/buyiu.
• Subscribe to the BUY.IU news list.
• Submit questions or issues using the BUY.IU Support Form.
• Sign up for additional training.

Additional training

Getting Started in BUY.IU Catalog Orders Receiving and Accounts Payable Non-Catalog Orders Check Requests

Training evaluation

How was the session? Let us know! Complete our anonymous survey (1-2 minutes) https://go.iu.edu/eval