I understand that where there are institutions, there must also be bureaucracy. I know that when I work with a new university, I need to fill in a New Supplier Form for their records, and someone will have to raise a purchase order before I can get paid. This is how most universities work. The initial form-filling can be a bit of a pain, and it can take a while to get set up on the system, but once that’s done, the admin is usually straightforward. I do a job, a purchase order arrives in my inbox, I create an invoice for the specified amount bearing the purchase order number, email it off, then some time later the money appears in my bank account.
That kind of administrative overhead seems reasonable and proportionate for the kind of work I do and the amounts I charge. Most of my invoices are in three figures or the small end of four. However, some universities have a massive administrative overhead for new suppliers. I’ve just come across one at the other end of a very long spectrum. Nameless University requires me to do the following:
- Complete a New Supplier Form
- Complete a Vendor Appraisal Questionnaire
- Read and understand their Terms and Conditions for Purchase
- Complete a Supplier Engagement Tool online
The New Supplier Form is on a spreadsheet and has 22 questions. The Vendor Appraisal Questionnaire is two pages of A4 and has several of the same questions that are on the New Supplier Form.
The Terms and Conditions for Purchase are 11 pages long. Being savvy in these matters, I skipped straight to the insurance section, where I found that they want me to hold £5m in public liability insurance and £1m in professional indemnity insurance. My own insurers, in whose interests it is to sell me as much insurance as possible, have told me that I only need £2m in public liability and £250,000 in professional indemnity for the kind of work I do. To raise my cover to the levels demanded by Nameless University would cost me more than I will earn from my work with them.
The online Supplier Engagement Tool was the icing on the cake. Sample question: ‘Is there someone in your organisation who is responsible for sustainability? To qualify, sustainability must form 50% or more of the person’s job role.’ Yes, there is someone in my organisation who is responsible for sustainability. It’s me. I make sure we buy recycled paper and compost our teabags. But is that 50% of my job role? Is it heck. For a start it only takes about one minute a week to ensure that my business is as sustainable as possible, and for a second thing, if I spent half my time on sustainability, I wouldn’t be able to earn a living.
Most of the questions in the Supplier Engagement Tool were irrelevant to me, so I ended up answering almost all of them with the ‘other, please specify’ option. At the end of the process I got a personalised action plan for my business. This turned out to be a pdf of a single page with my company name at the top and NOTHING ELSE AT ALL.
I said in an email to the person commissioning my work that Nameless University was by far the most bureaucratic I had come across (it is). That person forwarded my email to the Head of Procurement. The HoP wrote me a lengthy email saying, among other things, that it is ‘standard business practice’ to operate in this way for any contract over £1,000 in value. (As this is the first university which has done this to me, I’m not sure what the standard is here, let alone the business; even the local authorities I used to work with didn’t operate like this for costs under five figures.)
The HoP did acknowledge that there was duplication between the spreadsheet and the questionnaire, and said they are ‘looking to merge the documents into one in the future’ (a job that could be done in five minutes flat). The HoP also said that ‘insurances can be negotiated… with suppliers such as yourself’ – so why not put that in the Terms and Conditions of Purchase? Some suppliers will reach that point and conclude that they are ineligible. Bureaucracy is not only a nuisance, it can also exclude, which is unlikely to be in anyone’s best interests.
Apparently the Supplier Engagement Tool will enable Nameless University to ensure that all their suppliers ‘fully comply with the recently introduced Modern Slavery Act‘. I know I can drive myself hard at times, but I didn’t realise I was at risk of enslaving myself. More seriously, this Act is only applicable to businesses with a turnover above £36million. The UK Government evidently understands the need to keep red tape to a minimum for small and micro businesses; why can’t Nameless University get its head around this too?
Most galling of all, it will take me a couple of hours to jump through all their hoops. I’m debating whether to reply to the HoP asking who I should invoice for my time. What do you think? Is that a good way to make a point? Or is it a good way to shoot myself in the foot?