BETTER TOGETHER

procurement Landscape

• Whole of government (Coordinated)
• Cooperative (DHS print services, Finance ICTSSH)
• Shared Infrastructure
• Shared Services
• Single Agency
• Panels
• MultiUse Lists

whole of government procurement

• Aggregated purchasing power
• Common goods and services
• Mandatory for NCCEs
• Optional for CCEs
• Other Jurisdictions sometimes

aligned with govt agenda

• Efficiency thru Contestability
• Red tape reduction - standard contract terms
• Govt business transformation - cloud services
• APS transformation - benefits of scale and scope, improve the level and reduce cost of service delivery

Coordinated Procurement objectives

• Reduce supply price
• Meet business needs
• Competitive and viable industry
• Fair, equitable and transparent process
• Optimise govt savings thru price reductions, improved efficiencies and behavioural change

Models

• Panel
• Refreshable panel
• Panel of one supplier
• Purchasing by Finance
• Purchasing by agencies

Process

• Idea/Pre-Scoping Study
• Freeze
• Scoping Study
• Government Approval
• Approach to Market
• Contract

NB:

• Consultation - Agency/Industry
• Cost recovery
• Savings margin

ICT

• IBNCs
• Mobiles
• Desktop hardware
• Data centres
• Microsoft software
• Other telecommunications

Non-ICT

• Air travel
• Fleet
• Stationery & office supplies
• Travel management
• Hire cars
• Accommodation
• Travel cards
• Advertising
• Major office machines

Future

• SAP, Oracle, IBM
• Property services
• ?

pro

• $1.2bn: 2008-09 - 2018-19
• No multiple ATMs
• Single contract framework
• Simplified MoG changes
• Dedicated contract management
• Improved data
• Bulk orders
• SoR on business needs, not preferences

CON

• Reduced opportunity for SMEs
• Restrictions on choice
• Coordination challenging

Questions?