MMU finance - procurement process

8/7/2019 MMU finance - procurement process

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MELAKA CAMPUS

CLERK

MOKHTAR OTHMAN

CLERK

NIK MARINA NIK ABDULL MALIK

HEAD OF PROCUREMENT

NORHISHAM A KARIM

CHIEF FINANCIAL OFFICER

NOOR LELA BABA

CYBERJAYA CAMPUS

CLERK

SHAHRIZAD PAKIMAN

CLERK

AZLINA AZIZ

ORGANIZATION CHART

ASSISTANT MANAGER

PREDEEBAN

OFFICER

FAZILAH MOHAMAD


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Main Objectives

To provide quality materials, equipment and servicesin a timely and cost-effective manner

To ensure adequate and dependable sources of supply

whilst focusing on quality, utility and total cost of

ownership

To contribute to corporate profitability through

judicious and ethical buying

To develop and manage efficient procurement

practices to adequately carry out the function


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Mode of Procurement

1. Electronic Procurement System (EPS)

2. Quotation (Call for quotation)

3. Tender

4. Direct Purchase

5. Vendor Program

6. Rental/Lease


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1 What is EPS?

A structured system

operated by Multimedia

University for commercial

transactions via the Internet.

EPS has been implementedsince 2001

Applied for Procurementvalue above RM 101 up toRM10,000.00


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1.1 The Objectives of EPS

To facilitate easy access on the procurement process

through private exchange on the web from vendor

information and product/services offered, call for

quotation to on-line purchase order

Transparency and confidence between the university and

vendor


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1.2 Procurement through EPS- quotation below RM10,000

a) Step To Be Taken by Cost Center/Faculty To identify goods/services to be purchased, select accounts c

and ensure budget availability

To prepare Lampiran C-Approval From Director/Dean/He

To key in technical specification and required info support s

To verify and confirm before submission to PU - Executive

To evaluate quotation after closing date - Executive

To approve the most competitive offer Head/Dean/Director

To prepare justification memo IF NOT the most competitive o


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1.2 Procurement via manual - quotation below RM10,000

a) Step To Be Taken by Cost Center/Faculty To identify goods/services to be purchased, select accounts c

and ensure budget availability

To prepare Lampiran C-Approval From Director/Dean/He

To request approval from Head, Procurement via e-mail

To prepare Lampiran E

To evaluate quotation after closing date Lampiran J

To approve the most competitive offer Head/Dean/Director


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2. Quotation

Only apply for purchasing above RM10,000 & below

RM500,000.00

Procurement Unit to facilitate the purchasing process

Evaluation Committee & Approval Committee

Evaluation Report to be completed within 14 days

Approval to be completed within 14 days


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2.1 Quotation Above RM10,000.00

Step To Be Taken by Cost Center/Faculty

To identify goods/services to be purchased

To ensure accounts code/budget availability

To estimate cost

Document to submit to Procurement Unit:

Lampiran D-Approval by Director/Dean/Head

Appendix 1-Technical Specification

Appendix 2-Technical Compliance

Appendix 3-Price Schedule

Appendix 4-Technical Questionnaire


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Quotation Process Above RM10,000.00Process Flow

COST CENTRE

* Identify goods/services to be purchased

* Prepare specifications and Lampiran D* Submit to Procurement Unit

* Approved the request to call for quotation

Upon approval by DOF/CFO

* Prepare the documents to call for quotation* To select names for supplier/vendor

* Call for quotation for at least 14 days

* Upon closing of quotation :

- to prepare SBB19B and to sent all documents to

- evaluation committee

Upon approval by Approval Committee :

- To prepare Letter Of Award/Key in Local Order

DOF/CFO

PROCUREMENT

UNIT


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3. Tender

Only apply for purchasing value of RM500,000.00 and above

Procurement Unit to facilitate the purchasing process

To advertise in 2 major daily news paper for at least 2 days

Minimum 5 Evaluation Committee appointed by the President

Evaluation Report to be completed within 60 days

Approval Committee applicable to Approved Authority Limit


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Tender

COST CENTRE

PRESIDENT

COMMITTEE

PROCUREMENT

UNIT

* Identify goods/services to be purchased

* Prepare specifications and Lampiran D

* Submit to Procurement Unit

* Approve to call for Tender

* To advertise in two major daily news paper for at

least 2 days.

* Upon closing of Tender :

Submit all documents to evaluation committee, for

evaluation report

* Upon approval by the Tender Committee:

To prepare Letter Of Award.

Process Flow


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Level Of Authority

(Subject to MOF approval)Above RM 100 M

Board Tender CommitteeRM 1 m RM10 m

Appointed Approval Committee

Management Tender CommitteeRM 10k below RM 500k

RM 500k RM1 m

Deans/ Directors/ Heads< RM 10,000

AuthorityAmount + (RM)

Above RM 10 M RM 30 M UTSB Board

Above RM 50 M - RM 100 M TM Board


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Purchase of goods and services in absence of three (3) quotations

Limits of Authority Ringgit Malaysia (RM

Direct Purchase Committee up to 100,000

President of MMU up to 1,000,000Board of Directors MMU up to 3,000,000

TM Board up to 50,000,000

MOF Above 50,000,000

Eligible cases for Direct Purchase:

Sole Distributor/AgentUrgent and emergency purchase

Repair & maintenance works which are not practical for Quotation

For services obtained from approved panel companies

Book publishers/on line journal subscription

Rental, leasing or hire purchase

Services provided by the government and government related bodies/companiesPendin new central contract or extension of central contract which has expired

4. Direct Purchase


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4.1 Guidelines

a. All requisitions must be approved by the Approval Authority as set out in the

Limits of Authority

b. Requisition can be made via e-mail or in writingc. Requisition must be submitted to the Procurement Unit with the following

information:-

Description of purchase

Name of vendor/supplier

Actual/Estimated Cost

Account CodeBudget Availability

Justification/Reasons

Letter for appointment of sole distributor/authorized dealer

d. Requisition via e-mail must be submitted to the Secretary of the Committee

e. Procurement Unit will issue purchase order or letter of award upon approval


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5. VendorProgram

A contract agreement entered between MMU and one or more

vendors where the price will be fixed for an agreed period of time.

Examples : Book publisher, spare parts, stationery, convocation

items, orientation items etc.

6. Rental/Lease

A contract agreement entered between MMU and appointed vendor

where the rental price will be fixed for an agreed period of time.

Applicable to photocopy machines and company vehicles

Mode ofPurchase : Tender, Quotation or Direct Purchase


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MMU finance - procurement process

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