The 7 Rights of Procurement
Minnesota State
The 7 Rights of Procurement
Fundamental Principles
Term:
Overview
In the world of higher education, procurement is not just about buying goods and services. Procurement is stewardship of public funds, a commitment to transparency, and support for the academic mission.
These seven rights of procurement provide fundamental principles for decision-making so that every purchase meets institutional, legal, and ethical standards. The goal is to ensure campus needs are met efficiently, while streamlining daily work and boosting productivity.
The seven rights
- The Right Product
Universities and colleges depend on a wide range of goods and services, from lab equipment to technology systems. Understanding detailed specifications and confirming alignment with requirements and standards are essential. Selecting the right products requires evaluation of quality, durability, and functionality that meet the campus need.
- The Right Quantity
Over-ordering can tie up limited budget resources, and under-ordering can disrupt academic programs or campus operations. Forecast campus needs carefully, especially for time-sensitive purchases tied to academic calendars, grant deadlines, or construction schedules. Group purchasing with other campuses can help manage quantities. Campuses can use ABC Analysis, Just-in-Time Inventory, and Economic Order Quantity models to determine an efficient balance of inventory.
- The Right Time
Timing is crucial, particularly when purchases are tied to fiscal year-end budgets, research deadlines, or new semester launches. Build lead times into procurement planning, especially for complex bids, items requiring Board approvals or formal socialization, and supplier onboarding timelines.
- The Right Place
Delivery to the correct campus, department, or lab saves time and minimizes logistical challenges. With multiple campuses or satellite locations, clear delivery instructions are vital.
- The Right Price
Public procurement is not only about the lowest cost. It is about achieving best value while maintaining compliance. Price and value are the cornerstone of every financial transaction. Competitive bidding and negotiation, together with supplier cooperation, support best-value outcomes.
- The Right Supplier
Selecting suppliers who can meet campus requirements is critical. Sourcing includes identifying and selecting suppliers based on cost, quality, technology, timelines, dependability, and service. Vet suppliers for past performance, compliance, sustainability, data security obligations, cybersecurity requirements, and familiarity with FERPA, HIPAA, or other applicable requirements.
- The Right Technology
Procurement technology uses software to support end-to-end procurement processes. Campuses should ensure technology complies with IT standards, data privacy laws, cybersecurity frameworks, and accessibility requirements. Use the transformation potential of Artificial Intelligence to support faster decision-making and streamlined operations. Because technology evolves quickly, seek updated and scalable solutions that support daily operations.
Why this matters
These strategies help ensure the selection of the right supplier delivers the right products, in the right quantity, to the right place, at the right time, with the right technology. Public procurement is stewardship. Every purchase, physical or digital, must reflect transparency, fairness, compliance, security, and support for the academic mission of Minnesota State.
Source
Spring 2025, Komolafe, N., The 7 Rights of Procurement: Fundamental Principles, NAEP Educational Procurement Journal, Spring 2025.