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Procurement and Supply Chain Services Newsletter: October 2018

Director's Message

Darin Mathews Greetings to our UCSC colleagues.

With the 2018-19 academic year just beginning, we are excited to continue to provide service to our customers on campus and at other locations. Supporting you with your procurement and supply chain needs is why we are here.

This past year has been a rewarding year for our department. It has given us the chance to work on some very interesting projects with some wonderful people. Along the way we also realized some significant financial benefits.

Each year, our UC campuses (as well as Office of the President) set goals for cost savings. These can be reduced costs, avoided costs, or new revenue. Our goal in 2017-18 was to save our customers $2.5 million and we ended up doubling that amount. Scroll down to see more details about this effort. I am extremely proud of our team for this achievement.

Along with saving you money, it is also our goal to provide helpful advice and friendly service. If you ever have any feedback to share on how well we are doing this, I would love to hear from you.

Here's to another great year!
Darin-signature
Darin Matthews, CPPO, CPSM, Director
Procurement & Supply Chain Services

Kudos to Our Award Winning Staff Members

Over the past year our employees in Procurement & Supply Chain Services have continued to deliver a high level of service. In fact, several of our team members were recently recognized with notable awards for their accomplishments.
Award
Nico Feria from Copy, Mail, and Receiving Services was a recipient of a 2018 BAS Simplification Award. These awards are given annually to employees who have simplified a process or program that greatly benefitted the campus. Nico developed a system that allowed for the electronic capture of surplus property images, along with the ability to add details about the item. This provided additional information to potential buyers, allowed for timely email notices, improved the accounting process, and allowed the originating department to get their money more quickly. These improvements to our surplus property program have been very well received by our campus customers.

​On the Procurement side of the house, UCSC staff participated in two key projects led by the Office of the President. As part of the Supply Chain 500 Project, an initiative known as Normalization sought input from all ten campuses on how procurement practices could be more consistent and standardized. Paul Schell and Kathleen Rogers boarded the Queen Mary in Long Beach to participate in this two day event. Both were instrumental in the development of several recommendations that UC adopted.

Cal-U-Source is the new sourcing and contracting system for UC. It will allow for all campuses to use a common system for developing and issuing RFPs, as well as creating standard contracts that result from the RFP. This project was the first of its kind, as it involved all UC and CSU campuses in a common procurement effort. Cindy Rogers and Kathleen Rogers both played key roles in this project.

Paul, Kathleen and Cindy were all recognized with Starlight Awards from UCOP. These are awarded annually to employees that make significant contributions to the enhancement of procurement and supply chain practices.

We are all extremely proud of all these employees.
Award

Financial Affairs Contact Information

Several Financial Affairs departments are either directly or indirectly involved with CruzBuy. However, it is important to know how each Financial Affairs department relates to CruzBuy and our suppliers to ensure that questions and forms are directed to the correct department.

Procurement and Supply Chain Services (PSCS) is responsible for providing the business processes and tools for acquiring goods and services at UCSC. PSCS reviews CruzBuy requisitions to ensure the PO contract with the supplier will be in compliance with UC policies, state law, and federal regulations. Additionally, PSCS administers the CruzBuy e-Procurement tool and its day-to-day operations.
Financial Administrative Services and Transactions/Accounts Payable (FAST/AP) manages invoice and check processing to suppliers for honoring the terms of the Purchase Order contract. FAST/AP also manages travel, new employee relocations/moving, reimbursements, and the U.S. Bank Pro-Card program.
Financial Accounting and Reporting (FAR) oversees supplier management, entertainment/ERF related questions, tax issues, and policy related to financial accountability and controls.
Financial Information Systems (FIS) manages the integration between CruzBuy and Banner as well as CruzBuy roles and accounts, including password resets.
In addition, to better support our vendors and staff here are some important contacts to the newly added CMRS division who may also address your needs:

Campus Mail Services offers US Postal and intercampus mail delivery; outbound US Postal, FedEx and UPS shipping for Faculty and Staff; Bulk Mail services (sorting, metering, labeling, folding, inserting and mailing); and LiveScan (fingerprinting) services for campus jobs.
Copy Center is the preferred campus one-stop shop for your copy and printing needs providing easy to submit order payment via FOAPAL for business cards, envelopes, NCR forms, fliers, variable data printing, and all academic printing needs. Binding, stapling cutting and lamination services are also available.
Receiving Services offers shipping & receiving services, moving services, surplus services, rentals, and e-waste recycling services for the University and is co-located in Barn H with the Surplus Store. Contact: Peter Hobson (831) 459-4066 or Robert Kemp (831) 459-2354
Copier Program provides high-quality, self-serve multifunctional devices to the campus community on a cost-per-copy basis. These devices are set up for access control and account management with Pharos Uniprint®, or as sole source copiers with no access control.
Addressing questions/issues to the correct group will help ensure that your questions are answered consistently, correctly, and in a timely manner.

New Copy Center Services

With the addition of some new equipment the Copy Center has expanded its capabilities which will greatly enhance the services it can now offer the campus community. This will allow staff, faculty, and students to submit more types of jobs online or in person. The focus of the Copy Center in the past was producing copyright and non-copyright Readers as well as flyers, handouts, bound volumes, exams, and NCR forms. Geene Harbison and Luis Casillas who work on Copy Center production are excited about the added ability to produce business cards, and envelopes (window and non-window) and other jobs, all in high quality Color!

Surplus Auctions

Receiving Services is the point of contact for all surplus property at UCSC. In recent months, the focus has been on reaching a wider audience by expanding our reach of our weekly newsletter and using an online auction site. In the past few weeks, vans, trucks, large trailers, and even boats have been sold using this method via Public Surplus. Staff were very excited to see the activity of the online bidding for an older Chevy Astro Van and several very old electric vehicles that were headed for the scrap yard (after sitting in surplus for a very long time with not a person interested). By using Public Surplus, we were able to reach a customer in Los Angeles who outbid other potential buyers by offering something close to high blue book for the van! This method is allowing us to sell to a wider range of customers, and finding niche buyers for some of the more esoteric items we have. It is a win for both the campus and buyers.

Insourcing of Library Book Transportation Services

Moving Services has become increasingly involved with more complex and varied campus moves for an expanded campus constituency. This has resulted in added staff and vehicles due to the increased demand and confidence in our quality services. The regular moves between McHenry Library and the Northern Regional Library Facility in Richmond, CA are an example of this. By exhibiting the proper safety and concern in performing these moves, this quarterly run to move a truckload of materials between UCSC and the Richmond Facility (formerly perfmormed by an outside vendor) has been added to our calendar. Moving Services offers more than just competitive rates compared to outsourced companies previously used. The fact that we are a part of the UCSC Campus Family means that we provide service and value of the highest nature - we ensure the best customer service because we not only are on the job, we are colleagues and working for people we interact with each day. The fact that the McHenry Staff has asked us to perform this quarterly job highlights how Moving Services can meet the highest of expectations in quality care and the ever-changing needs of the campus departments: we tailor to the needs of the customer and we ensure the best quality because we are all part of UCSC.

Mail Services Q&A

To better help our campus community and vendors, here is a brief Q&A from CMRS Director Robert Kemp on what their most common issues are for Mail Services:

Q: The US Post Office site says my package has been delivered, why don’t I have it yet?
A: Campus Mail receives mail from the Post office at around 11:30 AM each day, “delivered” in this case means it was scanned at the Main Post Office downtown, and it may be on campus after 11:30. It will be delivered to the mailstop the next day, however, if you have received notice that it has been “delivered” and it is very important to determine whether we have it on campus, you can contact us via phone or email.

Q: Where is Campus Mail Services located?
A: Incoming mail is sorted at, and delivered from, Barn H. Outbound mail, including USPS, UPS, FedEx is shipped from Baskin Engineering room B25. Campus Mail only receives and delivers administrative (Faculty and Staff) mail. We do not receive or deliver Student Mail which goes directly from the downtown post office to each college mail room.

Q: What classifies something as Freight and where do you take care of that?
A: This depends on which carrier you choose. Please refer to the UPS and FedEx websites for weights, packing and restrictions.

Q: When are export documents needed?
A: Export documents or customs forms are needed any time you are shipping outside the U.S.A.

Q: Do you ship hazardous materials?
A: When shipping hazardous materials contact Environmental Health & Safety for assistance and policy.

Q: Where do I go for my personal shipping needs?
A: The USPS Postal Kiosk at Bay Tree Bookstore.

Employee Corner

Procurement and Supply Chain Services would like to spotlight two employees that exemplify our role in the University and community. These two employees both strive to provide a high level of customer service to our vendors, staff, and students alike, ensuring their work, and our services, stay to the standard that we all expect of UCSC.
Cary Nichols, Financial Analyst
Financial Affairs Team
Carey Nichols

If you ever wonder how Financial Affairs and Staff Human Resources compile their budget and ensure that their programs will continue to be funded into the future, Cary Nichols is the one to talk to. For the past 10 years he has worked with almost every unit in the BAS division on budget forecasting, risk assessment, hiring, and a myriad of other duties as our financial analyst.
When it comes to PSCS, he vigilantly monitors our complex budget and provides critical advice on management of our permanent, one-time, and recharge funds. In addition, his deep knowledge of HR enables us to navigate recruitment and other staff actions with confidence and accuracy. Cary says the favorite part of his job is getting to work with creative and collaborative people, seeking to ensure meaningful outcomes for all.
When he’s not in his office, you can find him collaborating with other UCSC faculty, staff, and students on music projects around the community, especially in Jazz and Arabic influences, reading up on history, or practicing yoga.

Lucie Kemp, Technical Service Coordinator
Copier, Mail, and Receiving Team
Lucie Kemp

On any given day you will see Lucie Kemp cutting across campus or driving to any one of the campus offsite locations, seeking to fix their problems. Based out of the basement of Baskin Engineering, Lucie watches over nearly 200 different copy machines throughout almost every UCSC building, ensuring that our employees and students can always fulfill their copy needs.
For the last 12 years Lucie has worked between the Copy Center and Printing Services. Her duties include ordering new equipment, training, maintenance and service calls, upkeep of supplies, driver installs, journal and budgeting entries, and so much more. She says she loves the spontaneity of the job, and getting to interact with all the interesting and diverse people throughout the campus and its extensions.
When not in the office, Lucie’s favorite thing to do is travel. She loves exploring new cultures and meeting new people. Whether it is flying to Australia and Greece or just camping here in the Santa Cruz Mountains, she loves being able to find new things, and gain new experiences.

Procurement Team Metrics

This bar graph shows the total number of requisitions processed by month from July 2017 through June 2018, including those processed by Procurement and Supply Chain Services buyers.

Approved

The bar graph shows the total number of requisitions processed by Procurement and Supply Chain Services including orders reviewed by Business Contracts during each month between July 2017 and June 2018.

Reqs 

The pie chart highlights all requisitions processed from July 2017 through June 2018 with turn time breakdowns for Procurement and Supply Chain Services staff. Turn times are based on time between final department approval and final Procurement approval.

Turn

Spend with Santa Cruz-based businesses often result in extra benefit to our community, such as local employment, charitable donations, and a smaller carbon footprint.

This chart compares non-local spend and local spend (Santa Cruz County) for FY18. Purchase orders issued to local suppliers constituted 7.5% of all CruzBuy spend.

Spend

During fiscal year 2018, UCSC buyers negotiated direct savings of $5,504,181, far exceeding their goal of $2,500,000 for the year. The graph below breaks down cost savings for fiscal year 2018 by division/department groupings, and the amounts include legacy agreements established prior to FY18.

When planning a large dollar/volume purchase, please reach out to Procurement Services at the earliest opportunity. Engaging Buyers early in the process allows them to develop the most ideal cost-saving strategy.

Benefits

The Value of Buying Local

There are many benefits of buying local. That is, doing business with contractors and suppliers in your geographic area. These businesses create local jobs, pay local taxes, create discretionary spending with other local businesses, and truly care about the community they live and work in.

The products provided by local suppliers are more readily available, not to mention easier to return if there is a problem. Is it services that you need? A local company is often quicker to respond than a larger one out of the area. Additionally, many local suppliers offer free delivery or the option for customer pick-up.

Buying Local
Small businesses are a key contributor to our local and national economies. In the last twenty years, 65 percent of new jobs have been created by a small business. They produce nearly 40 percent of the gross national product (GNP) and are responsible for more than half of technological innovations in the US.

In the past four years, approximately one fourth of the dollars spent by UC Santa Cruz have gone to local businesses. In 2017, this amounted to over $34 million dollars. Do we have a local preference? Of course not. But when our buyers consider cost, availability, and service in our sourcing decisions, many times this means a Santa Cruz supplier is the best value.

A few years back I saw a hand written sign in front of a small business that really sums it up for me: When you buy from a small business, you’re not helping a CEO buy a third holiday home. You’re helping a little girl or boy get dance lessons or their team jersey, and moms and dads put food on the table.

Million Light Bulb Challenge

-Kat Kerlin, UC Davis, article used with permission

The University of California is spearheading a statewide effort to advance the purchase of 1 million high-quality, energy-efficient light bulbs for campus buildings and residences across the state.

Under the new Million Light Bulb Challenge community buy program supported by UC's Carbon Neutrality Initiative, all UC students, staff, faculty and alumni can purchase light bulbs at nearly half the price of online competitors. “High-quality LED light sources help reduce our carbon footprint, reduce our energy use, and save money,” said UC President Janet Napolitano. “We are excited to launch this challenge and swap out at least a million inefficient light sources.”

About the challenge

Inspired by research conducted by the California Lighting Technology Center at UC Davis, the UC Office of the President spearheaded the Million Light Bulb Challenge to procure high-quality, energy-efficient light sources as part of UC's goal of reaching operational carbon neutrality by 2025. UC is collaborating with the California Community College system, the California State University system and the California Department of General Services in this large-scale effort. The collaborative is working with employees at all campus buildings and is providing a new community-buy program.

Making it easy for the consumer

As of January 2018, everyday light bulbs for sale in California must meet new efficiency standards. Light-emitting diode, or LED, bulbs will be the bulb of choice for most consumers. However, it is often difficult to know which bulb to purchase as stores are filled with products that vary in terms of color appearance, dimming and longevity.

To make it easier for consumers to purchase high-quality LED bulbs, the California Million Light Bulb Challenge partners used specific performance criteria to evaluate and select the light bulbs that will go into UC facilities and be available to the UC community for purchase.

The light bulbs being offered through the challenge cost about 46 percent less than the same light bulbs sold through online competitors.

“Our goal was to take the guesswork and confusion out of the process and ensure that everyone gets a great light at a great price,” said Michael Siminovitch, director of the UC Davis California Lighting Technology Center.
Million
California Lighting Technology Center Director Michael Siminovitch uses his hands to
compare the color quality of a light bulb meeting the California Quality Specification (right)
and one that does not.
Credit: Karin Higgins/UC Davis

In creating the challenge, the team leveraged a high-quality performance specification published by the California Energy Commission to ensure that light bulbs purchased meet both quality and efficiency goals. After a public request for proposal was launched in fall 2017, the collaborative selected the team of Consolidated Electrical Distributors Inc., and LEDVANCE, maker of SYLVANIA general lighting in the U.S., to provide lighting products for the first phase of the challenge.

Everyone in the UC community can participate

UC students, staff, faculty and alumni can purchase light bulbs via the secure Million Light Bulb Challenge website and have them shipped directly to their home. The website features a number of educational resources to help consumers understand their options and support their lighting purchases. Users also will be able to see the total number of light bulbs purchased, estimated energy savings and estimated reduction in carbon dioxide (CO2) emissions.

UC students, staff, faculty and alumni can purchase light bulbs via the secure Million Light Bulb Challenge website and have them shipped directly to their home. The website features a number of educational resources to help consumers understand their options and support their lighting purchases. Users also will be able to see the total number of light bulbs purchased, estimated energy savings and estimated reduction in carbon dioxide (CO2) emissions.

The Million Light Bulb Challenge could result in significant energy savings and reduced emissions. Replacing 1 million 60-watt incandescent bulbs that are used about three hours a day would save 55.8 GWh per year, or 85 percent. This decreases CO2 emissions by 41,461 metric tons, which is like removing 8,900 passenger vehicles from the road each year, according to the EPA’s greenhouse gas equivalency calculator.

“Energy-efficient lighting is a key step in reducing our carbon footprint as a society,” Siminovitch said. “Everyone can contribute to this effort by replacing incandescent and CFL light bulbs with high-performance LED options.”
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