IT Asset Acquisition

IT assets refer to tangible and intangible assets that are seized for use in serving the AlBabtain Group business industries Vs. Territories, through utilization of all applications and other programs or technology services.
To set forth the guidelines to control the IT assets.
Ensure the availability of necessary IT assets to meet various operational needs and to control the process of acquisition of IT assets and related expenditure.
All IT Assets are expected to be used for more than THREE “3” YEARS.

All IT asset requirements will be estimated and budgeted. The acquisition of IT assets shall be planned in-advance in accordance with approved capital expenditure budget “CAPEX”. A provision for unexpected purchases shall be included.
All purchases of IT assets must be approved by appropriate authority in accordance with the Al Babtain authority matrix.
Record of IT assets including hardware and software owned by the AlBabtain Group in the form of IT assets register shall be maintained by the IT department with details of the location and custody of the assets.
Ensure that IT assets are easily identifiable and traceable to the records maintained for the assets. The records shall be integrated with the fixed asset records that are maintained by the finance department. IT asset register must be subject to annual verification and approval by IT and Finance heads.
All the IT assets shall be tagged by the IT department. Tagging of the assets should be done in a manner which facilitates identification and verification.
IT assets must be physically verified at least once in two years verifying the existence and condition of all IT assets and reconciling with the records of fixed assets.

Input documents required:
1. Purchase Request (PR).
2. IT assets Budget.
3. Technical evaluation or quotation(s) of vendors/hardware/software.
Procedures Output :
1. Purchase Order (P.O).
Budget
1. The IT department shall estimate the IT asset requirements in consultation with the department heads.
2. IT team shall estimate the cost of each of the IT assets required and shall arrive at the capital expenditure budget in coordination with Finance department for review.
3. After making necessary amendments to the budget as may be suggested by the finance department, the same shall be submitted to the Chief Executive Officer for final approval.
4. On approval, the finance department shall notify and provide a copy for the final IT budget.
5. The approved capital expenditure budget would form the basis for all the fixed assets acquired for the financial period / year to which the budget relates.
Acquisition process
1. The need for acquisition of IT assets shall either be identified by the IT head or the department heads.
2. In case the need for acquisition is identified by department heads, department heads prepares a Purchase Request (PR) and forwards it to IT department for evaluation and in case if the need for acquisition is identified by IT head, IT intimates the concerned department head/user via IT report.
3. The department prepares Purchase Request (PR) attached with the IT report and forwards it to the finance and purchasing department , then getting the necessary approvals via the authority matrix.
4. IT head in coordination with purchasing department shall obtain at least three proposals/quotations from the suppliers to the extent practicable to purchase the most appropriate asset on the basis of cost and quality.
5. The IT head shall evaluate the proposals/quotations for supply of (hardware/software/services) from any vendor.
6. The IT head shall send the PR to Finance & Accounts for confirming and documenting budgetary compliance.
7. The IT head shall forward PR along with evaluation summary to appropriate authority for approval as per the authority matrix.
8. Where the asset requested is not budgeted, the appropriate authority shall review and approve or reject the proposal.
9. When PR is approved, IT shall forward PR to the purchasing department for preparation of P.O.
10. Purchasing department will prepare the P.O., obtain appropriate approval and then sent the PO to vendor as per the policies and procedures. IT will be advised accordingly.
Receipt of IT assets:
1. IT shall verify delivery note, approved P.O., and purchase request and signs the invoice if all the documents and the unit/s delivered are accurate.
2. IT department shall designate the place for location of the asset and update the IT asset register.
3. Tagging and transfer of assets will be done by IT according to the related policy procedures.

Company	AlBabtain Group	Version	1.0
Department	Group IT Department	Status	Final
Description	IT Assets Acquisition Policies & Procedures	Updated	10052017
Document Ref.	GITD_ITP_P012