Our Framework for Procurement Excellence
Many important government functions – from building roads to providing job training – involve contracting for goods and services from the private sector. Through more than 200 projects across 35 states, we’ve supported governments in harnessing the power of procurement to foster better and more equitable results for residents. We help governments transform procurement from a messy, back-office function to one that is Efficient & Fair, Results-Driven, Equitable, and Strategic.
Efficient & Fair
Efficient & Fair
Transforms the procurement process to be efficient, inviting, and transparent
Results-Driven
Results-Driven
Improves the outcomes of contracted programs, products, and services
Equitable
Equitable
Invests in equity to improve economic mobility and achieve better outcomes for historically marginalized populations
Strategic
Strategic
Elevates and resources procurement as a strategic function
Efficient & Fair
Transforms the procurement process to be efficient, inviting, and transparent
Efficient & Fair
Transforms the procurement process to be efficient, inviting, and transparent
The Opportunity
An excellent procurement process is easy to navigate, accessible, fair, and transparent – for both government staff and prospective vendors. But we hear time and again that government procurement is lengthy, confusing, and opaque. Addressing this is a foundational step to help governments increase vendor participation and improve the results of contracted services.
The Solution
• Use process mapping and vendor surveys to diagnose and eliminate process bottlenecks.
• Standardize and consolidate purchases where it makes sense to reduce administrative burden and costs.
• Improve purchasing websites and simplify systems for bidding and registration to foster participation and competition.
• Track and discuss key performance indicators (KPIs), such as cycle time and vendor participation, to sustain progress on improving procurement.
Results-Driven
Improves the outcomes of contracted programs, products, and services
Results-Driven
Improves the outcomes of contracted programs, products, and services
The Opportunity
An excellent procurement process is focused on results – making sure residents receive services and programs that meet their needs. But many governments don’t identify outcome goals, take a “set it and forget it” approach to contract management, and end up with underperforming contracts. Taking a results-focused approach to all stages of procurement, from initial planning to contract management, can help governments deliver on their promises to resident
The Solution
• Orient each procurement around the objectives it aims to achieve.
• Conduct robust market research to learn about new approaches.
• Write scopes of work that connect to clear goals and invite innovation.
• Actively manage contracts using performance data.
• Establish vendor performance assessments.
Equitable
Invests in equity to improve economic mobilitiy and achieve better outcomes for historically marginalized populations
Equitable
Invests in equity to improve economic mobility and achieve better outcomes for historically marginalized populations
The Opportunity
Advancing procurement equity means increasing vendor participation as well as addressing disparities in how contracted services are delivered. Too often, governments struggle to move the needle on vendor participation, and residents experience the benefits of contracted services – or the lack thereof – in disproportionate ways. Making meaningful progress on addressing these issues is important for government to build trust with both businesses and residents.
The Solution
• Design RFPs to be accessible to different types of of businesses and conduct wide outreach to encourage bidding.
• Consider unbundling contracts to create opportunities that are a better match for a wider array of firms.
• Partner with community organizations to do coaching and business development.
• Identify and correct service disparities among populations.
Strategic
Elevates and resources procurement as a strategic function
Strategic
Elevates and resources procurement as a strategic function
The Opportunity
Governments who successfully harness the power of procurement do so by elevating it as a core strategic function. However, procurement is rarely well-understood or valued by government leadership, who often view it as a back-office annoyance rather than a strategic tool to achieve a leader’s objectives. Properly resourcing procurement offices and continuously building staff capacity through training enables procurement to become a strategic activity managed as a portfolio, with clear structures in place for prioritization and analysis.
The Solution
• Elevate the status of procurement by engaging senior leadership, communicating early reform successes, and bringing greater visibility to the procurement function.
• Set up a strategic procurement process to forecast, prioritize, and appropriately resource upcoming procurements.
• Create a peer innovation group of staff working on procurement that meets regularly.
• Train a wide range of staff in taking a more outcomes-focused approach to procurement.
For more information, please see our how-to guide, What Is Procurement Excellence?
If you’ve been inspired but aren’t sure where to start, please contact us! We'd be happy to schedule a PEN coaching session (at no charge) to brainstorm a plan of action or to connect you with fellow PEN members.
