STRICTLY PRIVATE AND CONFIDENTIAL October, 2010 Contract and Procurement Specialists (CPS) and Buyers - Roles and Responsibilities

STRICTLY PRIVATE AND CONFIDENTIAL

October, 2010

Contract and Procurement Specialists (CPS) and Buyers - Roles and Responsibilities

HCNS

EO

Strictly Private and Confidential 2

3SO

Agenda

Objectives

Review Rules of Engagement

Review Roles of 3SO Contract and Procurement Specialists

Review Roles of EMH Buyers (namely, Buyers, Contract Coordinators, Purchasing Assistants, Purchasing Clerks)

Discuss and develop an clear understanding of the roles and responsibilities

Next steps

Other

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3SO

Meeting Objectives

Develop a set of working guidelines for the contract and procurement specialists and buyers which clarify the roles and responsibilities

Provide a clear delineation of the roles and responsibilities, wherever possible

Identify grey areas within the roles and responsibilities, including resolution actions

Provide a foundation for process and procedural development

Embrace the roles and responsibilities as agreed today

Identify teams to complete next steps

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3SO

Rules of Engagement

Provide input

Share ideas

Be objective and factual

Listen – let one person finish their ideas

Discuss and develop an clear understanding of the roles

Don’t personalize, and don’t take anything personally

Embrace your role and responsibilities

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3SO

3SO Contract and Procurement Specialists – Roles and Responsibilities

Responsible for generating group procurement efficiencies through the development of strategic sourcing contracts between vendors and partnering hospital for in-scope capital/non-capital and clinical supplies

Follows hospital policy, government guidelines pertaining to the Broader Public Sector (BPS), and best business practices

Responsible for the negotiation, contracting and overall management of the procurement cycle on behalf of 3SO and its equity member hospitals

Facilitates the development of, and the execution of a contract management strategic plan for 3SO equity member hospitals.

Leads Regional Focus Groups ( RFG’s) across the region in an effort to drive cooperation, collaboration, & consolidation of regional contract opportunities Initiate and drive product standardization initiatives

Coordinates buying activities for the buyer(s), contract coordinator(s), and purchasing assistant(s) across the region.

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3SO

3SO Procurement Specialists – Roles and Responsibilities (cont’d)

Initiates and drives new contract development opportunities

Ongoing management of existing and new contracts and vendor relationships

Leads the competitive bid process through RFx development and assessment

Maintains/ Manages the SAP Material Master and Vendor Master file database on behalf of 3SO and its equity members

Responsible for data analysis on product/service usage, vendor service, vendor performance, and in support of the overall regional contract management process and adherence

Resolves discrepancies with Accounts Payable when created by the contract

Leads back order/recall process, identifying substitutions wherever possible with the assistance of the EMH staff

Follows up on elevated back orders or expedited items

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3SO

EMH Buyers – Roles and Responsibilities

Assists the Contract and Procurement Specialist(s) in the development of cost containment, product standardization, vendor consolidation and other supply chain management strategies

Follows hospital policy, government guidelines pertaining to the Broader Public Sector (BPS), and best business practices

Supports the Contract and Procurement Specialist within the procurement cycle on behalf of 3SO and its equity member hospitals. Collaborate with the Contract and Procurement Specialist while assisting in developing and executing the competitive bid process i.e. RFQ, RFI, etc. excluding RFPs. Assist the Contract and Procurement Specialist(s) in implementing negotiated contracts, by entering the Purchase Orders in a timely and accurate manner

Supports the Contract and Procurement Specialist in the development of contract management strategic for 3SO equity member hospitals, through opportunity identification and analysis

Assists the Contract and Procurement Specialist(s) with product and equipment trial and evaluation processes

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3SO

EMH Buyers – Roles and Responsibilities (cont’d)

Updates new contract specifications

Gatekeeper to stop direct departmental visits from vendors and competitors

Works with vendors to resolve discrepancies

Resolves vendor issues i.e. delivery, quality, returns

In collaboration with the CPS, orders samples, collects data as required in support of the RFx development and assessment

Initiates material masters and vendor masters as required, using the 3SO forms provided.

Responsible for collecting data on product/service usage, vendor service, vendor performance, and in support of the overall regional contract management process and adherence

Resolves discrepancies with Accounts Payable when created by the Purchase Order

Manages product and equipment recalls and alerts at the site level

Executes a timely review and processing of requisitions using SAP either manually or through SRM

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3SO

EMH Buyers – Roles and Responsibilities (cont’d)

Direct face-to-face, day-to-day client stakeholder interaction

Manages product returns/repairs with Supply Clerk/Assistant/Receiver

Expedites orders and follows-up on back-orders

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3SO

3SO Contract and Procurement Specialist and EMH Buyer –Roles and Responsibilities

Contract and Procurement Specialist

– Responsible for generating group procurement efficiencies through the development of strategic sourcing contracts between vendors and partnering hospitals for in-scope capital/non-capital and clinical supplies

• KGH all in scope, extending to QHC, BGH, PC , and HD (in order or priority and determination of buy in)

• Foundation/donor money (policy to be developed – David/Karen ) • Includes revenue contracts• Coaching for competitive process will be provided by CPS to Buyer/Contract Coordinator and EMH

stakeholder. Provide contract templates, and T&C’s Competitive process will be managed at 3SO, and contract will be managed at 3SO. (Provide training to buyers – Karen/John?)

• Accountability lies with CPS Buyer

– Assists the Contract and Procurement Specialist(s) in the development of cost containment, product standardization, vendor consolidation and other supply chain management strategies

• Coordinate with PS any minor equipment/capital under $2k Issue PO. Request for quote process.• Guidelines for moving contract to 3SO – need for metrics• No contracts to be issued, and reinforce compliance with existing contracts. • Could participate in competitive process• No contracts are managed at EMH level.

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3SO


Contract and Procurement Specialist – Follows hospital policy, government guidelines pertaining to the Broader

Public Sector (BPS), and best business practices • Risk management - Liability and insurance statements – to develop a liability and

insurance statement with BPS lawyer (David)

Buyer– Follows hospital policy, government guidelines pertaining to the Broader

Public Sector (BPS), and best business practices

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3SO



– Responsible for the negotiation, contracting and overall management of the procurement cycle on behalf of 3SO and its equity member hospitals

• Service contracts created as a 45…, which indicates departmental signoff for approval? (Karen to investigate with HR) • Printing option within EMH SAP to be investigated. (Julie to investigate)• Copy of signed contracts are sent to vendors/suppliers, when required.• Feedback to all buyers on completion of non-stock contracts.• Copy of Health Pro and services/equipment contracts provided to the site.

Buyer

– Supports the Contract and Procurement Specialist within the procurement cycle on behalf of 3SO and its equity member hospitals. Collaborates with the Contract and Procurement Specialist while assisting in developing and executing the competitive bid process i.e. RFQ, RFI, etc. excluding RFPs (competitive process). Assists the Contract and Procurement Specialist(s) in implementing negotiated contracts, by entering the Purchase Orders in a timely and accurate manner

• Buyers complete discreet PO’s.• Create PO’s from copy of contract, when required.• If item is ordered a number of times to create material master. (Provide reports PO being created without material

numbers, when requested by SCM (Julie) To provide instructions Training to be shared with all SCM s)• Buyers are set up to see plant specific contracts and not 3SO (Julie to follow up)• Completion of requisition process within PC and KGH (Training to be provided Karen BGH to be retrained )• Buyer and CPS to discuss new material master prior to submission of form • Checklist for new material master • Visibility into item master into Purchasing Tab(Karen to investigate seeing Purchasing tab)

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3SO


Contract and Procurement Specialist – Facilitates the development of, and the execution of a contract management

strategic plan for 3SO equity member hospitals.

Buyer– Supports the procurement specialist in the development of contract

management strategic for 3SO equity member hospitals, through opportunity identification and analysis.

• Proactive approach to the execution process in support of strategic plan• Review requests from stakeholders• Ask the appropriate questions

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3SO


Contract and Procurement Specialist – Leads Regional Focus Groups ( RFG’s) across the region in an effort to drive

cooperation, collaboration, & consolidation of regional contract opportunities. Initiates and drive product standardization initiatives.

• Initially monthly• Value analysis • Clinical participation • Trial results to be formalized. Provide format for formalized trial results to the Buyers

Buyer– Assists the Contract and Procurement Specialist(s) with product and

equipment trial and evaluation processes• Within EMH• Lead standardization of product within hospital • EMH provides Purchase Order for samples and its direction to appropriate person• Provide trial results

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3SO


Contract and Procurement Specialist – Coordinates indirectly buying activities for the buyer(s), contract

coordinator(s), and purchasing assistant(s) across the region.• Work with SCM on day to day issues, and resolution

Buyer–

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3SO



– Initiates and drives new contract development opportunities.• Review of existing items and develop new contracts Already set up at SCI but not

extended (BGH and PC) • Items not currently on a contract with SCI, during ONB or arise during day-to-day

operations• Value added services i.e. Microsoft review • Gatekeeper of vendor visits i.e. new product or technology • Vendors must present ideas to. • Vendor Visitation Policy (David)

Buyer

– Updates new contract specifications• End user should not be meeting with salesperson, buyer should be meeting with CPS. • Direct salesperson to Contract and Procurement Specialist • Stakeholder must become a gatekeeper and stop visits with vendors and competitors

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3SO


Contract and Procurement Specialist (Begin Session 2)– Ongoing management of existing and new contracts and vendor

relationships • Ongoing contracts will be updated including freight charges, and minimums• Communication of existing, new and changes to contracts

Buyer– Works with vendors to resolve discrepancies on the PO

• Pricing – verify last updates on pricing within SAP. If not recent phone CPS if contract pricing phone vendor to indicate contract pricing applies, but if vendor indicates no, then this will be raised to the CPS’s

– Resolves vendor issues i.e. delivery, quality, returns • Day to day issues, if multiple/recurring issues contact CPS

– Communication of existing, new and changes to contracts

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3SO


Contract and Procurement Specialist – Leads the competitive bid process through RFx development and

assessment.

Buyer– In collaboration with CPS, orders samples, trials, collects

information(contacts, processes) as required in support of the RFx development and assessment

• Issue PO’s for samples and trials, etc. • Involvement will be on an and RFx by RFx basis, based on participation within the

hospitals, $ value of purchase • Follow and comply with the BPS Supply Chain Guidelines

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3SO


Contract and Procurement Specialist – Maintains/ Manages the SAP Material Master and Vendor Master file

database on behalf of 3SO and its equity members• As applicable to contracts only.• Verifies if there is an existing contract for a request made by the Buyer prior to issuing

material master

Buyer– Initiates material masters and vendor masters as required, using the 3SO

forms provided. • Additions to contracts must be discussed with CPS prior to issuing the Material Master

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3SO


Contract and Procurement Specialist – Responsible for data analysis on product/service usage, vendor service,

vendor performance, and in support of the overall regional contract management process and adherence.

Buyer– Responsible for collecting information on product/service usage, vendor

service, vendor performance, and in support of the overall emh contract management process and adherence.

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3SO


Contract and Procurement Specialist – Resolve discrepancies with Accounts Payable when created by the contract

Buyer– Resolves discrepancies with Accounts Payable when created by the

Purchase Order• Determines if contract issue and brings to the CPS• Will need to fix the PO in all instances

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3SO


Contract and Procurement Specialist – Leads back order/recall process, identifying substitutions wherever

possible with the assistance of the EMH staff. Seeks approval from the clinician.

• Communicates recall with SCM immediately.• Communicates SCI back orders to emh Buyer

Buyer– Manages product and equipment recalls and alerts at the site level.

• Bringing in samples, etc • Determine criticality at emh and communicate to CPS • (SCM) Coordinate with Stores Attendant.

– Manages back orders at EMH site.• Review back order report daily and forward any inventory items you do not have the

substitutes for are elevated to the CPS

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3SO


Contract and Procurement Specialist – *****(monitoring requisitions at SCI – IT? )

Buyer– Executes a timely review and processing of requisitions using SAP either

manually or through SRM.• Monitor requisitions to ensure they are converted to a PO.

– Direct face-to-face, day-to-day client stakeholder interaction

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3SO


Contract and Procurement Specialist – Follows up on elevated backorder or expedited items.

• Escalate as required

Buyer– Manages product returns/repairs with Supply Clerk/Assistant/Receiver,

including SCI – Expedites orders and follows up on back-orders

• Ensure dates and information are maintained in SAP• Escalate non-conformances to the CPS

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3SO

3SO Contract and Procurement Specialist and EMH Buyer –Roles and Responsibilities - Parking Lot

Debbie/David – Purchasing Clerk title in PSFDH

Tiger – Contract Specialist

Karen – Initiate Procurement Policy and Procedure Manual

SCM’s to participate in a competitive process

Forms - custom and BPS available for Buyers

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3SO

3SO Contract and Procurement Specialist and EMH Buyer – Next Steps

Embrace the roles and responsibilities

David – slide for breakouts for EMH’s to be reviewed

David/Karen – Policy to be developed for Foundation/Donor Money

Train the buyers on the competitive process (Karen/CPS?)

David – Develop a liability and insurance with the BPS lawyer.

Karen – Investigate 45 contracts in SAP with HR

Julie – To investigate printing 45 contracts initiated at 3SO at the EMH’s

Julie – To provide instructions on creating report for PO’s created without material masters

Julie – Buyers visibility into contracts ie 3S0

Karen – to investigate the Buyers having access to other sites Purchasing tab

Karen – To train and implement requisition process in PC and KGH

Karen - To retrain buyers in BGH on requisition process

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3SO

3SO Contract and Procurement Specialist and EMH Buyer – Next Steps

Karen – To investigate possibility of Buyers seeing Purchasing tab on material master.

WSIB certification – vendor to provide. Who expedites?

SCM – All SCM’s to participate in a competitive process

CPS - Forms – Custom, BPS to be supplied for buyer training

Julie – Printing options for PO’s created at 3SO

Karen – 4500….input vs CLA

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3SO

3SO Procurement Specialist and EMH Buyer – Purchases <$100k

Guidelines <$100k $0-10 $10-25 $25-100

Goods PO PO withThree Quotes Invitiational Competitive Bid

Services PO PO withThree Quotes Invitiational Competitive Bid

Contruction PO PO withThree Quotes Invitiational Competitive Bid

Documents

STRICTLY PRIVATE AND CONFIDENTIAL October, 2010 Contract and Procurement Specialists (CPS) and Buyers - Roles and Responsibilities