Blanket PO Guidance

University Overview 

Blanket POs are applicable only for specific circumstances given: 

  • Blanket PO activity results in skewed financial reporting and encumbrances.
  • Requires unconventional use and workarounds to Workday functionality.      
  • Each invoice, regardless of amount, must be approved in the system at the department level which can delay supplier payment.
     

Blanket RQ Format  

The University developed an updated Job Aid for the proper formatting of Blanket RQs.   The Job Aid is available on the ARCReminder:  Blanket POs to BuckeyeBuy (catalog) suppliers must not be processed through MarketPlace.   A “blanket non-catalog requisition” must be submitted to workflow.
 

Blanket PO Business Standards  

The University implemented multiple reviews/approvals to verify:

  1. Frequency:  Supplier is used, on average, 50+ transactions per year (e.g., weekly or more).
  2. Business Purpose:  Narrative and comprehensive justification with supporting documentation.
  3. Supplier Type:  Catalog suppliers given priority.  Non-catalog suppliers vetted for allowability.
  4. Goods or Services:  Blankets are to primarily support “goods” and catalog supplier “services”.  Non-catalog “services” permitted on limited basis and may require a “University Service Agreement”.
  5. Invoice Approvals:  Departments must approve each blanket invoice regardless of amount. 
  6. Exception Requests:  On occasion, extenuating or extreme circumstances may warrant an exception request.  Exception requests must be proactively discussed with CFAES Service Center prior to RQ entry and workflow.  Exceptions should be requested infrequently and supported by an objective business argument.  Exception requests may require multiple reviews/approvals. 
     

“Term” PO

Workday does not have “Term PO” functionality.  The University will allow, on occasion, a Blanket PO be used if “Term PO” requirements are met:

  1. Pre-Scheduled Transactions:  Documentation supporting regular pre-scheduled transactions.   
  2. Business Purpose:  Narrative and comprehensive justification with supporting documentation.
  3. Supplier Type:  Catalog suppliers given priority.  Non-catalog suppliers vetted for allowability.
  4. Goods or Services:  Blankets are to primarily support “goods” and catalog supplier “services”.  Non-catalog “services” permitted on limited basis and may require a “University Service Agreement”.
  5. Term PO Examples:  Bi-weekly water cooler service, monthly carpet/rug cleaning, monthly pest control, quarterly elevator maintenance and inspection, monthly lab equipment calibration, etc.

Supplier Invoice Request (SIR) NOTE:  The University allows use of Supplier Invoice Request (SIR) in lieu of a Blanket (Term) PO for required operational transactions including public utilities, rent payments for PARE leases, etc.  SIRs are not eligible for goods or services requiring a PO.
 

Business Purpose

The University expects all expenses be supported by a comprehensive narrative (tell-the-story).  Business Purpose should include scope and be easily understood by others.      

  • Who:  Provide person or department.
  • What:  Describe goods or services.
  • Why:  Provide purpose of goods/services, and, PO type “blanket” or “term” (see below). 
  • Where:  Explain location(s).
  • When:  Provide projected timing or frequency.
  • How:   Supplier type, and, methodology to calculate requested dollar amount.

Example Blanket PO:  Blanket PO for Waterman Farm to perform weekly applications of liquid fertilizer/nutrients to crops and fields.  Waterman does not have on-site liquid storage tanks.  Non-catalog suppliers must make weekly deliveries.  No catalog suppliers provide the specialized required liquid fertilizers/nutrients.  Previous FY costs averaged $300 per delivery x 52 weeks = $15,600.

Example Term PO:  Term PO for Academic Programs (Ag Admin) to use Martin Carpet Cleaning given volume of daily visitors in the office.  Martin Carpet Cleaning is a catalog supplier.  Attached quote documents monthly swap of rugs and protective mats (12 times per year), and, deep cleaning of carpets every 6 months (2 per year).