Appendix 4 — GOODS_MANUAL

2.0Management Reporting 2.1 Procurement Key Performance Indicators and Management Reporting As in all management and financial functions, it is possible to measure the pulse of the procurement function by using certain Procurement Key Performance Indicators (KPIs). As part of management reporting, these KPIs can be devised to reflect the status of workload, throughput, and efficiency of the procurement function. Some KPIs are given in Appendix 5: Templates for Management Reports and KPIs.

2.2 Management Reports for Monitoring of Procurement Function 1. For proper monitoring and control of the procurement function, regular monthly reports to procurement managers should highlight throughput and stagnation at important milestones of the procurement process. The milestones where workload, throughput and stagnation need to be studied in procurement management are:

a) Receipt of indent; b) Issue of tenders; c) Finalisation of tender decision; d) Signing of contracts; e) Successful performance of the contract; and f) Payments for supplies/works/services.

2. This will highlight stages where urgent intervention is required for efficient procurement to the management. The procuring entity would compile these reports. Templates for management reports are given in Appendix 5: Templates for Management Reports and KPIs.

Appendix 4: Management of Public Procurement Function 1.0Organisation of Procurement Function (Refer para 7.5.1) 1. The procurement function should be so organised that procurement executives get an opportunity to develop expertise in a particular market segment, and internal customers may have to deal with only a single point of interface. Thus, work distribution in the procuring entity may be segmented based on markets, but there may be nodal officers who provide a single window interface to internal clients. 2. In a procuring entity, besides procurement activities, there are also ancillary activities. In a small procuring entity, these ancillary activities may be distributed among various executives. Ancillary procurement activities are: a) Administration and management services; b) Human resources development and training; c) Policy and guidelines; d) Procurement performance measurement and management reporting e) IT systems and master data management; f) Advertising, tender document sale/ issue/receipt, tender boxes, tender opening, custody of samples; g) Direct contracting/local purchase; h) Liaison and progressing; i) Supplier relations management and registration; j) Legal and arbitration matters.

3.0 Record Keeping