Driving Savings and Value in FY24
Driving Savings and Value in FY24
Campus Contributions Towards Driving Savings and Value
UC Procurement
Driving Value and Impact Across UC
In FY23-24, UC Procurement delivered remarkable results. With a total spend of $14.59 billion—a 13.2% year-over-year increase—UC Procurement managed $9.36 billion of *addressable spend across the system, with an impressive 65% ($5.9 billion) of total addressable spend under contract. This disciplined approach helped lead to $363.7 million in benefits, equating to 3.9% of addressable spend, achieving an extraordinary 123% of our goal.
UC Procurement also processed over 1 million purchase orders and nearly 2.6 million invoices, while partnering with 169,679 suppliers. Notably, our social and economic commitment is evident in the $1.14 billion spent with diverse and small suppliers, emphasizing our dedication to inclusive growth and sustainable procurement practices.
*Addressable spend excludes spend that is either not sourceable or not managed by UC Procurement.
UC Berkeley
Berkeley Streamlines Access to Skilled Freelancers
In June 2023, UC Berkeley launched an exciting partnership with Upwork to provide campus with a seamless solution for hiring temporary talent. This collaboration eliminates the common hurdles of vendoring and certificate of insurance processes that often cause delays. Now, finding top-tier freelancers in consulting, design, or research for short-term projects is faster, more efficient and hassle-free. With Upwork, campus users have access to a dedicated support team that assists with every step—from crafting job postings to vetting candidates, negotiating contracts, and ensuring final deliverables. This streamlined approach saves time and simplifies the hiring process, allowing campus teams to focus on project success.
UC Berkeley
Berkeley’s Financial Benefit Performance: Doing More with Less
UC Berkeley achieved exceptional efficiency in FY 2023-2024, processing 141,205 Purchase Orders (POs) and managing $814.4 million in spend through BearBUY, earning praise from Jaggaer for best-in-class volume management. Using Systemwide and Berkeley procurement contracts has ensured cost-savings, compliance and efficiency, with 76% of POs being processed within 24 hours, and the Requisition-to-PO cycle time dropping to just 1.73 days (down from 5.43 days in FY2018). The campus also excelled in invoice management, processing 172,201 invoices with 88% automated capture. These achievements reflect Berkeley’s commitment to operational excellence and cost management, showcasing significant improvements in procurement efficiency and compliance. Berkeley’s streamlined processes and commitment to continuous improvement truly embody the spirit of “doing more with less!”
SWP - Life Sciences
Maximizing UC Savings with Fisher Scientific’s Switch & Save Program
The University of California is maximizing research dollars through its partnership with Fisher Scientific and the cost-saving Switch & Save program. This smart buying initiative analyzes purchasing trends to suggest lower-cost alternatives without compromising quality. Buyers access personalized recommendations for cost-effective products via Fishersci.com, helping them make informed decisions. Since its launch, Switch & Save has generated $2.4 million in savings UC-wide, with $1.8 million saved in fiscal year 2024 alone. By utilizing this program, UC researchers can optimize their budgets, ensuring every purchase delivers maximum value while maintaining high standards. This program supports the University’s commitment to efficient resource management and long-term research success.
SWP - IT and Professional Services
12 New IT Consulting Contracts Empower IT Departments
The Systemwide Procurement Professional Services Sourcing team delivered an innovative, value-driven portfolio of IT Consulting contracts, designed to support the entire UC system—from campuses to health centers and all affiliated locations. This IT-centered procurement initiative provides stakeholders with streamlined access to pre-negotiated agreements, comprehensive security measures, competitive fees, and attractive partnership incentives. By eliminating the need for lengthy RFP processes and sourcing activities, this initiative empowers IT departments to focus on strategic priorities, resulting in greater efficiency, significant cost savings, and optimized use of valuable resources.
SWP - Facilities, Maintenance & Capital
Grainger Renegotiation Gets Results
The UC Systemwide Procurement’s Facilities, Maintenance & Capital Strategies strategic sourcing team has scored big savings for the UC system through their latest negotiation with Grainger. By enhancing category discounts to be more competitive, they secured an impressive average savings of 8%, translating to a total annual savings of $956,000 across all UC campuses. The new discount structure offers price cuts ranging from 7% to a substantial 35%, providing even greater value on essential supplies. This achievement highlights the team's commitment to cost efficiency and resource optimization, benefiting UC’s systemwide facilities operations.
SWP - Information Technology
IT Strategic Sourcing Team Wins Top Tech Award
The Systemwide Procurement (SWP) IT Strategic Sourcing Team and the IT Sourcing Committee (ITSC) won the UC Tech Yvonne Tevis UC-wide Collaboration Golden Award, presented at the UC Tech 2023 Conference in July 2023. Through a strong partnership, these teams delivered a program under which all UC locations can work together to strategically source commonly needed IT products and services, resulting in significant cost reduction and risk mitigation.
SWP - Strategic Enhancement Team
UC's Lead Agency Marketing Program Makes Impact at 6,400 Public Agencies Nationwide
Through the Lead Agency Marketing Program (LAMP), UC's relationship with OMNIA Partners has generated an impressive $6 million in revenue during the past fiscal year. A significant portion of these funds has gone directly to UC campuses to support their unique needs, while also advancing UC Systemwide Procurement’s goal of becoming self-funded. Beyond UC, this collaboration has benefited over 6,400 public agencies across the country, saving them valuable time, money, and resources. By fostering partnership and collaboration, UC is not only strengthening its own community but making a nationwide impact.
UC San Diego
UC San Diego Charts a New Course in Sustainable Ocean Transport
UC San Diego is charting a new course in sustainable ocean transport with the world’s first hydrogen-hybrid research vessel. Featuring a hydrogen fuel cell propulsion system, the vessel will operate with zero emissions for up to 75% of its journeys, setting a new standard for sustainable maritime research. Construction Commodity Manager, Gary Oshima, has been pivotal in guiding campus stakeholders to select the right partners for each phase—consulting, design and final shipyard award—while ensuring strict compliance with UC and federal regulations. As the first liquid hydrogen-powered ship in the US, the California Coastal Research Vessel required a new regulatory framework, and which will set the technical standards for future hydrogen-powered ships. This trailblazing project aims to establish leading-edge technology that can be scaled globally to drastically reduce the carbon footprint of ocean transportation.
UC San Francisco
UCSF Integrates Amazon Business into BearBuy for Easy Purchasing
In August 2023, UCSF successfully integrated Amazon Business into BearBuy, bringing a host of features and benefits to streamline campus purchasing. This new option offers UCSF departments a simplified, efficient way to access a wide range of products within the trusted BearBuy platform. Amazon Business offers real-time pricing, enhanced search capabilities, and detailed product information, ensuring better decision-making and cost control. It also highlights small and diverse suppliers, so departments can align purchasing with UCSF's values. Shoppers can now leverage exclusive discounts, enhanced reporting, and fast, convenient shipping, saving time and resources. To further improve customer experience, UCSF SCM also implemented Dedicated Delivery by SCM Logistics, integrating Amazon purchases into the existing efficiency of UCSF Logistics. Whether lab supplies or office essentials, Amazon Business in BearBuy makes it easier than ever to find what you need.
Strategic Priorities
UC Procurement is committed to the five strategic priorities below. Through dedication to these priorities, we strive to empower our campuses, foster innovation, and shape a more sustainable and equitable future. This Annual Report is organized by these five priorities – click any card to delve into our progress in these areas:
Economic and Social Impact
Strategic Partnerships
Drive Value and Savings
Continuous Improvement
Risk Management
Our supply chain, legal, and policy strategies minimize risk to safeguard UC against financial, operational, and reputational damage.