Additional Resources

Procurement Manual
Section VI

PERSONAL PURCHASES

A Harvard University purchase order and the University's tax exempt number cannot be used legitimately for personal purchases. Inappropriate use of Harvard's tax exempt number could jeopardize the University's tax exempt status.

CREDIT APPLICATIONS AND REFERENCES

• Credit Applications must be completed by departments.
• Credit Reference Information
• The University does not authorize departments to apply for and use department or specialty store charge cards.

STANDING AND BLANKET PURCHASE ORDERS

From time to time, buyers will use standing or blanket purchase orders for commodities such as office or laboratory supplies. Some buyers feel these terms are interchangeable. However, these types of purchase orders are, in fact, different.

A Standing Order is used when the buyer and the vendor have agreed on:

• a fixed price
• specific goods
• specific delivery schedule

For example, the vendor will deliver three cases of copy paper, at $21 per case, to the Biology Department every Wednesday, effective July 1, 1995 - June 30, 1996. The delivery should occur automatically, once the order is placed. A Standing Order usually covers a period of one year. At the end of the year, a new purchase order number should be obtained and a new purchase order generated.

A Blanket Order is used when the buyer knows he will be ordering a variety of items, but has not determined specific quantities or delivery dates at the time the order is created. The order should include:

• a description or catalogue number of the items the buyer anticipates ordering
• the price or percentage of discount the buyer and vendor agree upon
• estimated quantities, if possible
• effective dates of the order

The buyer should include a "not to exceed" dollar value for individual order releases and the total amount of the purchase order. The order is delivered on request and the buyer should provide the vendor with a list of people authorized to request deliveries. A Blanket Order usually extends for a period of one year. At the end of the year, a new purchase order number should be obtained and a new purchase order generated.