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The Procurement Process

4 Procurement Strategy

Procurement Principals
0 Procurement Principals 1 Project start-up 2 Risk Allocation Model 3 Business Case 4 Procurement Strategy 5 Market Assessment 6 Market Creation 7 Produce Requirement 8 Supplier Selection 9 Proposal Evaluation 10 Contract Preparation 11 Bid Evaluation 12 Award 13 Project Closure 14 Implementation / Transition 15 Contract Management
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You are on step 3 of 14 steps.

Click for slide: Take account of previous procurements Click for slide: Encourage small and medium sized enterprises Click for slide: Specify requirements Click for slide: Determine the procurement option Click for slide: Options for construction projects Click for slide: Options for IT projects Click for slide: Determine the procurement route Click for slide: Plan the procurement Click for slide: Produce the procurement strategy Click for slide: Develop a contract strategy Click for slide: Determine pricing mechanism Click for slide: Develop the evaluation strategy Click for slide: Prepare an OJEU Notice Click for slide: Update the business case and Decision Point
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What you need to do

Develop the requirements specification . Ensure that stakeholders and end-users (or their representatives) are involved in the requirements specification. Identify the main risks, including technical risks, in delivering the requirement. Determine in principle who will be best placed to manage risks.

If intellectual property rights (IPR) are an important feature, consider how this will be addressed in the contract.

If the procurement involves software first consider the use of Commercial Off The Shelf (COTS) packages rather than bespoke development.

Points to consider

Requirements should wherever appropriate focus on the 'what' rather than the detailed 'how' of the requirement. This challenges suppliers to use their specialist knowledge and creativity.

There must be sufficient detail to enable the market to understand what is required - if the requirement is too broad, it may not attract the right tenderers.

Consider whether other departments will have a similar requirement, and if so the scope for a  collaborative procurement.

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