Tech News, Magazine & Review WordPress Theme 2017
  • Home
  • Supply Chain Updates
  • Global News
  • Contact Us
  • Home
  • Supply Chain Updates
  • Global News
  • Contact Us
No Result
View All Result
No Result
View All Result
Home Supply Chain Updates

Procurement Perspectives: Early RFP stages critical to success

usscmc by usscmc
November 20, 2019
Procurement Perspectives: How best to monitor contractor performance fairly?
Share on FacebookShare on Twitter

I am often asked when speaking at an event, to review when and how government staff should be involved in the procurement process? As far as I am concerned the earlier the better. Critical review of a proposed solution begins very early in the process of approving a major capital project.

It should be identified through a series of questions or issues that should be addressed in structuring a proposed project. I would also say that equally important is the process of critical review to determine that the proper range of proposed solutions have been considered to the problem with which the capital project is intended to deal with.

If, for instance, the problem is that the present city hall is too small and in poor condition, there are a range of solutions that might be pursued as an alternative to building a new one. These include:

  • Purchasing an existing newer and larger facility;
  • Refurbishing and expanding the existing facility; or
  • Considering some sort of public-private partnership, involving a commitment to rent a specified amount of space in a new private facility to accommodate staff who cannot be accommodated in the existing facility, with the balance to be rented to private sector tenants.

The senior management of a municipality must take reasonable steps to confirm that the proposed solution is the best solution in terms of the municipality’s long-term interests. There are a variety of methods that may be employed for this purpose. Generally, the more exacting the demands that a proposed project will place on the revenues and resources, the more rigorous the methods that should be employed to confirm that the right decision is being made.

A request for proposal is not ready to go merely because it is a complete document. All municipalities would be well-advised to red-team all RFPs that contemplate substantial expenditure, to subject them to proper reality testing. Such a red-team effort can uncover most of the drawbacks that can cause a proposal to fail. It is worth observing that for a capital project that has an expected annual cost of $5 million, even a one per cent savings is worth $50,000 per year to the municipality.

Thus, given the relatively low cost of such a review, it is possible to justify some effort to assess whether there are latent weaknesses in an RFP, even if it is 99 per cent perfect.

A red-team approach to the selection of a proponent may also be advised, as it affords a further protection against any dispute over the proponent selection process. In public procurement, an ounce of prevention is often found to be worth tons of cure. In critiquing the evaluation of the successful proponent’s capabilities, it is advisable to ask:

  • Do the selected proponent have the required capabilities (including staff, support systems and experience) to deliver?
  • Can the selected proponent meet the requirements and specifications set out in the RFP? Why is this considered to be the case?
  • How does the proponent’s track record on delivery performance match the size, scope and complexity of the municipality’s requirements?
  • How does the proponent’s track record on team-working, or partnering, relate to the cultural reality and aspirations of the department?
  • Does the municipality have a prior working relationship with the selected proponent? Does that record support the award of the contract?
  • Does the purchasing department concur in the evaluation of the successful proponent?

It is always sound advice to think through the method of decision making on these types of major capital projects. Municipalities are large organizations that spend millions per year. Yet few of them enter into transactions having a present value of $10 million per year, and even fewer spend in the $100 million plus range.

 

Stephen Bauld is a government procurement expert and can be reached at [email protected]

Some of his columns may contain excerpts from The Municipal Procurement Handbook published by Butterworths.

usscmc

usscmc

No Result
View All Result

Recent Posts

  • Volkswagen Announces Pricing of 25% Equity Stake Sale in Porsche
  • Can software simplify the supply chain? Ryan Petersen thinks so
  • A strategic approach to cost reduction for banks and fintechs
  • Study examines supply chain issues and opportunities
  • Instacart acquires hyper local grocery e-commerce platform

Recent Comments

  • Top 5 Supply Chain Certifications that are in high demand | Top 5 Certifications on Top 5 Globally Recognized Supply Chain Certifications
  • 3 Best Procurement Certifications that are most valuable | Procurement Newz on Top 5 Globally Recognized Supply Chain Certifications

Archives

  • September 2022
  • April 2022
  • March 2022
  • February 2022
  • January 2022
  • December 2021
  • November 2021
  • October 2021
  • September 2021
  • August 2021
  • July 2021
  • June 2021
  • May 2021
  • April 2021
  • March 2021
  • February 2021
  • January 2021
  • December 2020
  • November 2020
  • October 2020
  • September 2020
  • August 2020
  • July 2020
  • June 2020
  • May 2020
  • April 2020
  • March 2020
  • February 2020
  • January 2020
  • December 2019
  • November 2019
  • September 2019

Categories

  • Global News
  • Supply Chain Updates

Meta

  • Log in
  • Entries feed
  • Comments feed
  • WordPress.org

slot gacor slot slot gacor 2023 slot 2023 slot gacor terbaru slot gacor terpercaya slot gacor slot gacor slot slot gacor 2023 slot 2023 slot gacor terbaru slot gacor terpercaya slot gacor slot gacor slot slot gacor 2023 slot 2023 slot gacor terbaru slot gacor terpercaya slot gacor

Pages

  • Home
  • Terms of Use
  • Privacy Policy
  • Disclaimer
  • Antispam
  • Contact Us

Categories

  • Global News
  • Supply Chain Updates
slot gacor slot slot gacor 2023 slot 2023 slot gacor terbaru slot gacor terpercaya slot gacor slot gacor slot slot gacor 2023 slot 2023 slot gacor terbaru slot gacor terpercaya slot gacor slot gacor slot slot gacor 2023 slot 2023 slot gacor terbaru slot gacor terpercaya slot gacor

Tags

APICS Globally Recognized Supply Chain Certifications IIPMR Certifications International Institute for Procurement and Market Research (IIPMR) ISM Next Level Purchasing Top 5 Supply Chain Certifications top supply chain certifications

Trending

No Content Available
  • Antispam
  • Contact Us
  • Disclaimer
  • Home
  • Privacy Policy
  • Terms of Use

© 2023 www.usscmc.com

No Result
View All Result
  • Home
  • Supply Chain Updates
  • Global News
  • Contact Us

© 2023 www.usscmc.com

This website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. Cookie settingsACCEPT
Privacy & Cookies Policy

Privacy Overview

This website uses cookies to improve your experience while you navigate through the website. Out of these cookies, the cookies that are categorized as necessary are stored on your browser as they are essential for the working of basic functionalities of the website. We also use third-party cookies that help us analyze and understand how you use this website. These cookies will be stored in your browser only with your consent. You also have the option to opt-out of these cookies. But opting out of some of these cookies may have an effect on your browsing experience.
Necessary
Always Enabled

Necessary cookies are absolutely essential for the website to function properly. This category only includes cookies that ensures basic functionalities and security features of the website. These cookies do not store any personal information.

Non-necessary

Any cookies that may not be particularly necessary for the website to function and is used specifically to collect user personal data via analytics, ads, other embedded contents are termed as non-necessary cookies. It is mandatory to procure user consent prior to running these cookies on your website.

SAVE & ACCEPT