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The Challenge

A regional office of education is funded through multiple grants, donations, and tax payer money. This school is subject to an annual audit by the state. They have users at many different schools and offices and the accounting office is having to manage multiple vendor invoices. According to state law, any order over a certain dollar threshold must go out to a competitive bid of three vendors to ensure the ROE is getting the best value. The users are spending lots of time getting competitive bids to save less than their time is actually worth to put the bid together. The state is behind on their payments to the disctrict and now they are doing more work with less people.

 

This school district is doing more classes, events, and overall administrative work with fewer staff members to handle the workload.

 

ink and toner supply

 

Services Provided

Office Supplies
School Supplies
Copy Paper
Ink + Toner

 

Our Approach

After a quick meeting with the purchasing department about pricing, we quickly understood they had a lot to gain by utilizing a national cooperative buying contract where the cooperative who controls the contract bids out the pricing for the school district or government entity. It complies with state law so the need for multiple bids on each order was eliminated and they gained back a ton of time. Although the pricing was state approved the purchasing department wanted further control over what the users were buying to ensure the funding was available. We established an approval hierarchy approach so that any orders over certain dollar amounts would route to purchasing to ensure cash flow requirements could be met. The reduction of vendors by using this approach has saved the accounting department time of processing multiple checks.

 

We Utilized a National IPA Cooperative Purchasing Contract to reduce costs for this school district.

 

Project Outcome

Buying Contract Success. We implemented a National Cooperative buying contract agreement with this institution, allowing them to benefit from a single-big solution while still complying with state laws.

Ongoing Cost Management. We established and currently maintain a cost management system with triggered order reviews for fast ordering that sticks adheres to existing priorities and budgets.

Saved Time. Merely by consolidating all supply procurement to one-vendor, alone, allows this institution to save hundreds of hours on a quarterly basis.

Images used in this case study are representative of capabilities and products used.