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MODULE 3 . PURCHASING/INVENTORY MANAGEMENT Naomi Kelly

MODULE 3 . PURCHASING/INVENTORY MANAGEMENT Naomi Kelly. Learning Objectives. Understand the purchasing function. Understand the tools used by purchasing to acquire goods and services. Understand inventory management. Overview of the Office of Contract Administration (OCA).

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MODULE 3 . PURCHASING/INVENTORY MANAGEMENT Naomi Kelly

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  1. MODULE 3 . PURCHASING/INVENTORY MANAGEMENT Naomi Kelly

  2. Learning Objectives • Understand the purchasing function. • Understand the tools used by purchasing to acquire goods and services. • Understand inventory management

  3. Overview of the Office of Contract Administration (OCA) • OCA/Purchasing – Authority to procure commodities and professional and general services (except architects and engineers). • DPW – Authority to procure construction and architectural and engineering professional services.

  4. Vehicles: cars, trucks, vans, heavy equipment Petroleum: fuel, lubricants Office supplies Printed forms, paper Computer hardware and software Food and food services, for hospitals and jails Animal feed and supplies Medical equipment and supplies, pharmaceuticals Laboratory equipment and supplies Castings Chemicals Institutional clothing and laundry service Electrical supplies, lamps Glass Pipe, fittings, valves Hardware, tools, locks, shovels, rakes, lumber What the City Buys:Equipment and Supplies

  5. General Services Construction Professional Services • Janitorial • Security • Pest control • Landscaping • Moving • Buildings • Street repair • Park and playground improvements • Utility systems and repairs • Management consulting • Accounting & auditing • Medical • Legal • Software design • Facilities management • Architecture & engineering What the City Buys:

  6. DPW Bureaus • Building Repair • Urban Forestry • Street Environmental Services • Street and Sewer Repair

  7. Purchasing Tools • Competitive bidding process • Citywide Term Contracts • Requisitions • All others • Sole Source • Blanket Purchase Order • Delegated Departmental Purchasing (Decentralized Purchasing) • Direct Vouchers

  8. Procurement Services for DPW • Citywide Term Contracts • Concrete and Cement Material; Rock, Gravel, and Sand; Asphalt Products; Street Sweeper Brooms; Concrete Trash Receptacles; Lumber and Plywood; Glass; and Global Positioning System. • Departmental Purchase Orders • 80 Departmental Blanket Purchase Orders (trees, trash bags, hardware, plumbing supplies, electrical supplies, paints, etc.) • Requisitions • Graffiti Removal, street sweeping machines, etc.

  9. Inventory Management • Purchasing plan • Stocking • Storeroom for commonly used items • Just-In-Time (JIT) purchasing • Shifts warehousing burden to retailer • Optimizes inventory • Increases internal efficiencies • Frees up capital

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