Welcome to Expenditure Guide Chapter 1 Introduction

Welcome to the "Expenditure Guide”, one of several courses about financial management and business transactions at the University of Oregon (UO.)As administrators at the UO, one of the most important decisions you will make is to commit funds for expenditures of goods and services. This responsibility requires that you become informed of requirements and act ethically. You are the steward of dollars that flow to the UO from a variety of sources. The Expenditure Guide has been developed to assist you in exercising stewardship, achieving department and UO objectives, and effectively using resources to those ends.

In this introduction you will learn what the course is about, why it is important, who is the audience and how the information will be provided and tested. If you choose, you may test your understanding of this introduction by taking the online quiz. You will receive immediate feedback on your answers, and where to find related information.

Thank you for your interest in learning about good decisions relating to expenditures at the UO.

Why is the Expenditure Guide Important?

The business model at the UO is one where authority to expend monies rests with the departments, schools and colleges. We have distributed the authority and the responsibility for these kinds of decisions. We believe the advantages of this model far exceed the disadvantages.

Specific risks that are associated with a decentralized purchasing model are: a) individuals may not understand their role or the constraints on their authority; b) purchases in violation of policy and procedures; c) resources may be wasted; or d) someone may act in an improper or unethical manner.

This course is one of several strategies the Business Affairs Office (BAO) has designed to mitigate some of the risk associated with a distribution of authority. By making information available, and allowing individuals to test their understanding of the information, we alleviate the risk that decisions will be made without adequate understanding of authority, constraints or responsibility.

In addition, decision makers will have: confidence in their ability to make sound decisions; access to additional expertise when the situation demands; and assurance that program objectives will be met in a manner that is effective and efficient. Furthermore, the quality of our decision-making will be obvious in the reviews and audits that take place.   The members of the public and our funding agencies will know that we are acting in accordance with our fiduciary responsibilities.

In creating educational avenues for supporting sound expenditure decisions, the UO will avoid the economic, programmatic and political consequences of bad or inappropriate purchasing decisions. Consequences of poor decisions may be severe, for example, loss of institutional authority, loss of federal funds, poor relations with the business community, and overshadowing of the wonderful things that happen at this university because of a loss of public trust and confidence in our expenditure decisions. Consequences of bad or unethical decisions do not just affect the organization, either. Individuals may be held liable for improper or incorrect actions as well.

What Are the Elements of This Course?

In Chapter 2, Key Concepts, you will gain an understanding of the most important concepts relating to decisions about expenditures.

In Chapter 3, Authority and Limits, you will gain an understanding of the governance framework relative to making expenditures at the UO.  This chapter includes a synopsis of important regulations, policies and management directives.

In Chapter 4, Key Processes, you will gain an understanding of the key processes in making expenditures at the UO.  This chapter includes an overview of providing expenditure approval.

In Chapter 5, Accountability, you will gain an understanding of the concept of accountability and how accountability is demonstrated in making expenditures at the UO.  This chapter includes a discussion of internal controls and documentation.

In Chapter 6, Management Issues, you will gain an understanding of the most important management issues relating to expenditure decisions at the UO.

In each chapter you may test your understanding by taking an online quiz. You will receive immediate feedback on your answers, and learn where to find additional related information.

In Chapter 7, Course Feedback, you will be provided an opportunity to evaluate the design and content of this course.  Please take some time to complete the course evaluation and provide feedback for improving this course.

Who May Participate in this Course?

Anyone who has an interest in this topic may participate in the course. It is available anytime online. It has been created to stand alone, and may be explored at the individual’s sole direction.

What Did You Learn?

Test your comprehension by taking the online quiz. It only takes a few minutes, and you will receive immediate feedback for “your eyes only.”

Where Do You Go Next?

This course is designed to be a stand-alone, self-directed tutorial. That means you are in the pilot seat as far as how much and in what order you explore the information. Once you are satisfied with your mastery of this introductory chapter begin another chapter that appeals to you. Review the list of chapters.  Thank you for your interest in making sound expenditure decisions at the University of Oregon!