Greater responsibilities in relation to municipal rules must necessarily apply at the level of the purchasing manager.
Municipalities naturally turn to a purchasing manager for guidance as to the terms that should be included in the rules and also with respect to the limits that should attach to each rule in question.
Purchasing managers need to advise council realistically as to the need for flexibility in order to defend the interests of the municipality as a customer of goods and services.
In purchasing, one size does not fit all. Naturally, the purchasing manager is also called upon to play a leadership role within each municipal purchasing department.
In order to discharge these broader responsibilities properly, a purchasing manager must do at least the following:
- Provide a sufficient level of training and support to buyers with respect to meaning and application of the rules.
- Develop workable systems to monitor and confirm compliance with applicable rules.
- Document apparent violations of rules and report such violations to the appropriate senior management official within the municipality.
- Compare the rules in effect at his or her municipality with those prevailing at other public sector organizations and identify any inconsistencies.
- Provide advice to council as to possible changes that should be made to the rules in light of emerging practices.
Looking at municipal purchasing rules in general, the purchasing manager should refrain from any of the following:
- Changing or applying any of the purchasing policies in a manner inconsistent with the Municipal Act, or an applicable bylaw or council-approved policy. No charge should be made unless it is consistent with best practices.
- Arguing with councillors when proposals are not adopted at council meetings.
- Bypassing applicable policies (e.g., to save time) governing procurement process in any particular case without appropriate authorization.
- Issue purchase orders without checking with the departments as to the specifications on construction projects.
- Altering standard contract documents (such as the CCDC 2 construction contract) without a complete review as to the reason for doing so.
- Not working with client departments to understand their objectives in relation to new product procurement.
- Not attending department meetings.
It is important to demonstrate interest in how each area of the purchasing department works and in the relationship with other branches of municipal administration.
The purchasing manager must be prepared (i.e., both equipped and willing) to give the best service possible to each department required.
Fundamentally, the purchasing department is at all times a service department. It is there to help the rest of the municipal administration deliver services to the public.
Beyond these minimum compliance measures, a purchasing manager should do the following as a matter of best practice.
One of the most long-term important responsibilities of a purchasing manager is to encourage the municipal purchasing staff to take on leadership roles in procurement. Staff training should emphasize understanding (rather than memorization) of the rules, including the reasons for them. Staff need to understand the risks that must be managed and the role that the rules play in the process.
They need to be able to help client departments identify and avoid risk. Opportunity should be provided for municipal purchasing staff to have direct input into the process of ongoing rule revision.
Staff should be encouraged to become familiar with the needs of their client departments and must develop the ability to deliver purchasing services to their client departments on a timely basis. For instance, if staff and other resources permit, a placement period of working inside the department for a few weeks, may enhance the feeling of team spirit.
Listen to the advice from the using departments. They have a direct contact with the suppliers and products.
When new ideas are brought to your attention from suppliers, make sure this information gets to the correct people.
Stephen Bauld is a government procurement expert and can be reached at [email protected]. Some of his columns may contain excerpts from The Municipal Procurement Handbook published by Butterworths.
