M1 – Procurement

Approver: President and CEO
Policy Owner: Vice President, Finance and Administration
Date Approved: April 29, 2025
Last Reviewed: April 29, 2025
Next Review Date: Five years

See the M1 – Procurement Procedures ›

1. Purpose

The purpose of this Policy is to:

• Establish clear guidelines for the procurement of all goods and services at RRC Polytech, defining the overall approach, scope, and responsibilities to ensure ethical, sustainable, and socially responsible purchasing practices that obtain the best possible value.
• Establish clear roles and responsibilities so that RRC Polytech employees can manage their respective areas of responsibility in an effective, efficient, and transparent manner.
• Ensure sound stewardship of financial resources.
• Contribute to the Canadian economy by prioritizing the procurement of Canadian-made Goods and Services whenever feasible and cost-effective.

2. Definitions

2.1

“Construction” means the building, renovation, repair, or maintenance of infrastructure, facilities, or other physical structures

2.2

“Diverse Supplier” means a supplier that is at least 51% owned, managed, and controlled by equity-deserving people, including Indigenous persons, women, visible minorities (racialized persons), persons with disabilities (as defined in the Employment Equity Act and the Federal Contractor’s Program) or persons of the 2SLGBTQIA+ community.

2.3

“Fiscal Responsibility” means ensuring that all purchasing decisions are made with careful consideration of cost-effectiveness, sustainability, and alignment with RRC Polytechnic objectives, while minimizing financial risk and maximizing operational efficiency.

2.4

“Goods” means tangible products, materials, supplies and equipment acquired for use in operations, production or resale.

2.5

“Indigenous Business” means a business that is at least 51% owned, managed, and controlled by Indigenous people.

2.6

“Invitational Quotation” means a procurement process in which selected suppliers are invited to submit responses or quotations for goods or services.

2.7

“Purchase Order (PO)” means a legal contract that formalizes an order for goods or services. This is a document generated only by Procurement Services from an approved Purchase Requisition.

2.8

“Purchase Requisition” (PR) means a request to purchase Goods or Services whereby required approvals are obtained prior to ordering. PRs must be completed prior to the receipt of a Good or the commencement of Service. A fully approved PR becomes a PO.

2.9

“Quality” means performance, reliability, durability, and suitability for the intended purpose.

2.10

“Request for Standing Offer” (“RFSO”) means a bidding process where Suppliers provide pricing for a range of Goods or Services, which pricing shall be guaranteed for a particular term.

2.11

“Request for Proposal” (“RFP”) means a bidding process inviting Suppliers to submit a proposal to provide the RRC Polytech with a specific Good or Service.

2.12

“Request for Quote” (“RFQ”) means a bidding process where Suppliers submit pricing to the RRC Polytech for a specific Good or Service.

2.13

“RFx” means any bidding process type including, but not limited to, RFSO, RFP, RFQ.

2.14

“Requesting Department” means the RRC Polytech department that is seeking to purchase a particular Good or Service.

2.15

“Services” means work provided by an individual, excluding employees, or entity including but not limited to professional, technical, consulting, and maintenance services.

2.16

“Social Enterprise” means a business that sells Goods and Services, has an embedded social, cultural, or environmental purpose, and reinvests the majority of its profits into its social, cultural or environmental purpose.

2.17

“Social Impact Organization” means Diverse Suppliers, employee-owned enterprises, and Social Enterprises.

2.18

“Social Responsibility” means the continuing commitment to behave ethically and contribute to economic development while improving the quality of life of local communities and society at large.

2.19

“Supplier” means entities that have a direct business relationship with RRC Polytech, supplying Goods, Services, or Construction.

2.20

“Sustainability” means encompassing social, economic, and environmental sustainability by being able to meet the needs of the present generation without compromising the ability of future generations to meet their own needs.

2.21

“Total Cost of Ownership” (TCO) means a determination of the direct financial costs and benefits to RRC Polytech of Goods, Services, and Construction throughout their acquisition, use and end-of-life phases including factors such as transportation costs, training, energy consumption, maintenance, recycling and disposal, and other related costs.

2.22

“Total Contract Value” (TCV) means the overall value of a contract with a Supplier. It is calculated using all costs associated with the initial term of the contract, plus any potential extensions and including any one-time or recurring charges. The TCV does not include applicable taxes.

2.23

“Waiver” means a formal document used in circumstances where conducting a competitive bid process may not be in the best interest of RRC Polytech.

3. Scope/Application

3.1

This Policy applies to all procurement activities related to the purchase of Goods and Services, and regardless of funding source including no cost purchases and the procurement of revenue generating service contracts.

3.2

The Policy applies to all employees involved in the procurement of Goods and Services on RRC Polytech’s behalf and at all spending levels. The Policy doesn’t apply to other organizations (separate legal entities) that may operate on RRC Polytech campus sites or work in partnership with RRC Polytech, unless those entities have otherwise agreed.

4. Principles

The procurement of Goods and Services for RRC Polytech will be conducted in accordance with the following principles:

4.1. Best Value Consideration

RRC Polytech will purchase Goods and Services at the best value for money taking into consideration cost-effectiveness, quality, service, social and environmental impact, and total lifecycle costs.

4.2. Fairness, Transparency and Accountability

Procurement processes will be open, competitive, and free from bias. All qualified Suppliers will have equal access to opportunities, and decisions will be made based on objective criteria. Those responsible for procurement must be able to justify their decisions and actions.

4.3. Preference for Canadian Suppliers

RRC Polytech will give preference to Canadian-made products, Canadian-owned businesses, and Trade Partners in good standing, where feasible, provided they meet quality, cost-effectiveness and operational requirements while complying with legislation, trade agreements and other components of this Policy.

4.4. Indigenous Reconciliation

RRC Polytech will promote reconciliation through commercial partnerships with Indigenous businesses; increasing employment and skills development opportunities for Indigenous peoples; and otherwise engaging Indigenous leaders and communities in public spending in alignment with the Government of Canada’s Truth and Reconciliation Commission: Call to Action 92 – Business and Reconciliation, and the United Nations Declaration on the Rights of Indigenous Peoples; Address barriers to and increase the participation of Indigenous-owned businesses in RRC Polytech’s procurement processes. This will create pathways for Indigenous businesses and the Indigenous community-at-large to realize social and economic benefits through RRC Polytech’s existing purchasing needs.

4.5. Social Responsibility

RRC Polytech will foster social benefit and local community economic resilience through advancing equity, diversity, inclusion, and accessibility practices of Suppliers and within service delivery. This may include assessing accessibility features of Goods or Services, awarding contracts to local small and medium sized enterprises (SMEs), contracting Social Impact Organizations, and creating opportunities for employment and/or skills development for equity-deserving groups (including but not limited to women, visible minorities (racialized persons), persons with disabilities and 2SLGBTQIA+ persons).

4.6. Environmental Stewardship

RRC Polytech will consider the full lifecycle impacts of Goods and services and Total Cost of Ownership. It will seek Goods or Services that have been produced, delivered, used, and disposed of in ways that prioritize the health of the environment and the well-being of communities and will seek Goods and Services that are energy efficient, minimize greenhouse gas (GHG) emissions, generate minimal waste, conserve and improve water quality, and protect biodiversity.

4.7. Ethical Compliance

RRC Polytech expects Suppliers and their subcontractors to adhere to the minimum standards of ethical business practices. These ethical standards encompass minimum requirements set in national and international law including but not limited to fair labour, employee treatment, wages and benefits, working conditions, and anti-corruption/bribery.

5. Policy

5.1

The appropriate procurement process for the purchase of Goods and Services shall be determined based on the Total Contract Value of the goods and Services and as outlined in the Procedures. All purchases over $25,000 shall be managed through the Procurement Services department.

5.2

All purchases of Goods and Services made by or on behalf of RRC Polytech must be approved by the Appropriate Financial Authority set out in the F3 – Financial Approval and Signing Authority Policy.

5.3

RRC Polytech will make all purchases in accordance with applicable laws, regulations and relevant trade agreements. Risks related to procurement, including financial, legal, and reputational risks, must be identified, assessed, and mitigated to protect institutional resources.

5.4

RRC Polytech recognizes that, in certain circumstances, conducting a competitive bidding process may not be practical or in the institution’s best interest. In such cases, an untendered procurement of goods or services may be permitted, provided specific conditions are met. These conditions are outlined in the Procedures. Requests for a Waiver must follow the process described in the Procedures and will be evaluated on a case-by-case basis. Final approval of all Waivers rests with the Director of Procurement.

5.5

Only RRC Polytech Procurement Department staff are authorized to issue an official Purchase Order to a supplier, with the exception of Ancillary Services designated purchasing staff that are authorized to issue Purchase Orders as set out in the Procedure.

5.6

RRC Polytech employees are expected to uphold the highest standards of integrity and ethical conduct during any procurement process in compliance with Policy P1 – Conflict of Interest Policy and Policy P3 – Ethical Behaviour and Code of Conduct including the following:

1. Employees shall identify and disclose any real, potential or perceived conflict of interest that may arise in a procurement process;
2. Employees shall not solicit or accept directly or indirectly any monetary or material gift, discount, benefit or other thing of value from a supplier which might influence or appear to influence a procurement decision;
3. It is prohibited to structure, divide, or split purchases with the intent of reducing their dollar value to fall below the thresholds outlined in this Policy or the Procedures.

5.7

To ensure effective internal controls, RRC Polytech will maintain a segregation of duties across the procurement process. No fewer than three people shall be involved in completing a full procurement transaction including supplier selection. For greater clarity, at least three of the five key procurement roles—requestor, budget approver, purchasing agent, receiver, and payment processor—must be performed by separate individuals.

5.8

RRC Polytech may participate in collaborative procurement initiatives and cooperative group purchasing organizations, where such initiatives are determined to be in the best interests of RRC Polytech. If RRC Polytech participates in such joint purchasing initiatives, RRC Polytech may adhere to the policies of the entity conducting the purchasing process, provided that such policies comply with legislative requirements and trade agreements and comply in spirit with this Policy. All group purchasing engagements shall be approved by RRC Polytech’s Director of Procurement.

5.9. Sustainable and Socially Responsible Procurement

RRC Polytech is committed to leveraging its procurement to strengthen Manitoba and Canada’s cultural, social, environmental, and economic prosperity. RRC Polytech will implement sustainable and socially responsible procurement practices to support an inclusive and equitable economy now and for generations to come while maintaining fiscal responsibility and respecting trade agreements.

Throughout the process of procuring Goods and Services, RRC Polytech staff must:

1. Identify the impacts of a Good or Service and a Supplier’s corporate practices within sourcing strategies to prioritize the most relevant Indigenous, social, environmental and ethical issues or opportunities applicable to a given procurement.
2. Incorporate sustainability and social responsibility considerations into the procurement process. This can be done by:
   1. Undertaking proactive engagement/advertising with Indigenous, Social Impact suppliers before competitive procurement;
   2. Integrating applicable sustainability and social responsibility requirements into competitive solicitation processes to elicit relevant responses from Suppliers;
   3. Determining appropriate weighting for sustainability and social responsibility alongside other business and technical criteria in competitive bid evaluations;
   4. Creating competitions exclusive to Indigenous businesses or Social Impact Organizations.
3. Ensure that Suppliers and their subcontractors adhere to RRC Polytech’s Supplier Code of Conduct at all stages of the procurement process.
4. Communicate RRC Polytech’s sustainable and socially responsible procurement practices to Suppliers and engage them when opportunities arise to help them improve their performance.
5. Incorporate sustainability and social responsibility considerations into supplier performance management and contract management.
6. Measure sustainable and socially responsible procurement processes and outcomes to monitor and improve performance.

The extent to which sustainability and social responsibility will be considered for any procurement will depend on the Total Contract Value, the potential for impact and the market readiness of the Supplier(s). Employees should reference RRC Polytech’s Sustainable Procurement Toolkit for guidance on incorporating sustainability considerations into competitive solicitations and low-value purchases.

6. Responsibilities

6.1

The Vice President, Finance and Administration is responsible for approving all Procedures under this Policy.

6.2

The Executive Leadership Team is responsible for:

1. Setting strategic direction for the organization and procurement including sustainable and socially responsible procurement priorities and goals;
2. Receiving regular updates and reports from Procurement to set future priorities;

6.3

Procurement is responsible for:

1. Strategic Sourcing:
   1. Coordinating the evaluation and selection of vendors based on best value;
   2. Managing competitive bid processes (e.g. RFx) as established in the Procedures.
2. Purchasing and Order Management:
   1. Issuing purchase orders in alignment with approved budgets and procurement procedures;
   2. Monitoring order status and ensuring timely delivery;
   3. Managing changes or cancellations to existing orders.
3. Procurement Planning and Guidance:
   1. Guiding departments in the application of this Policy;
   2. Developing and implementing Procurement procedures, templates and tools;
4. Compliance & Risk Management:
   1. Ensuring compliance with procurement policies, procedures, as well as regulatory requirements and applicable trade agreements.
5. Procurement Contract Management:
   1. Drafting, negotiating, and reviewing procurement contracts;
   2. Maintaining a centralized repository of procurement contracts and supplier records.
   3. Providing contract management advice to staff to ensure alignment with standards and risk mitigation
6. Supplier Management:
   1. Approving Suppliers, jointly with Financial Services, to be used and enabled for procurement;
   2. Managing supplier performance and dispute resolution.
7. Sustainability and Social Procurement:
   1. Developing and maintaining sustainable and socially responsible procurement procedures, tools, resources, and training to ensure procurement processes adhere to this Policy;
   2. Assisting Departmental Units with incorporating sustainable and socially responsible considerations into sourcing strategies, specifications, and procurement processes;
   3. Participating in other RRC Polytech initiatives that align with RRC Polytech Mission, Vision and Values including sustainable and socially responsible procurement activities;
   4. Collaborating with RRC Polytech’s Suppliers, where opportunities arise, to improve the sustainable and socially responsible elements of the Goods or Services they are providing, within the parameters of their contract with RRC Polytech;
   5. Leading data collection, compliance, and program monitoring for reporting on sustainable and socially responsible procurement to leadership; and
   6. Collaborating with Indigenous Strategy, Environmental Stewardship and other key stakeholders to ensure that the sustainable and socially responsible procurement processes aligns with broader reconciliation, environmental stewardship and inclusion, diversity, equity, diversity and accessibility programming and activities.

6.4

Indigenous Strategy, Environmental Stewardship, the EDI Strategy Team, and Accessibility Services are responsible for:

1. Providing sustainability and socially responsible related expertise and advice, when needed, to support market research, supplier engagement, solicitation content creation, and bid evaluation; and
2. Support with the development and delivery of sustainable and socially responsible procurement communications and training activities and ensuring key messages align with corporate communications.

6.5

Deans, Directors and Budget Managers are responsible for:

1. Demonstrating support for sustainable and socially responsible procurement through promotion and communication of the Policy requirements and principles within their Departmental Units and providing Departmental Unit data, if relevant.
2. Approving purchase requests within their authority levels (F3 – Finance Approval and Signing Authority;
3. Ensuring procurement aligns with budget considerations and RRC Polytech goals;
4. Awareness of and required adherence to organizational contract commitments.

6.6

Legal Services are responsible for:

1. Reviewing high-value or complex contracts to mitigate risks; and
2. Advising on legal risks, vendor disputes and contract enforcement.

6.7

Financial Services:

1. Ensuring procurement transactions are accurately recorded and aligned within the appropriate budget;
2. Vetting and managing Supplier financial data including but not limited to banking information;
3. Ensuring transactional and matching criteria are met prior to issuing payment to suppliers;
4. Conducting audits to verify compliance with policies and public sector guidelines.

7. Non-Compliance

7.1

RRC Polytech employees who breach this Policy and any associated Procedure may be subject to disciplinary action up to and including dismissal.

8. Review Period

This Policy will be reviewed within five years.

9. Related Documents

1. Procurement Procedures
2. F3 – Financial Approval and Signing Authority
3. P1 – Conflict of Interest
4. P3 – Ethical Behaviour and Code of Conduct
5. Board of Governors Policy Manual
6. All Trade Agreements applicable to RRC Polytech while this Policy is in effect