Procurement Consulting

Timely requests in procurement are the cornerstone of efficient procurement management. When requests are made promptly, it allows for adequate planning, sourcing, and negotiation, leading to smoother transactions and better outcomes. Timely requests enable suppliers to prepare adequately, ensuring that the right products or services are delivered on time and within budget. This proactive approach minimizes disruptions, enhances supplier relationships, and ultimately contributes to the overall success of procurement activities.

Evaluation criteria are the standards and methods that procuring entities use to assess and compare the bids submitted by the suppliers. They are usually defined in the solicitation documents, such as the request for proposals or the invitation to bid, and they should be clear, objective, and transparent. Evaluation criteria should reflect the needs and expectations of the procuring entity and the end-users, and they should be aligned with the scope and objectives of the procurement project.

We're going to talk about how to combat inflation when requesting for offers from the market. Inflation is the biggest issue for budget holders, as it erodes the purchasing power and increases the costs of goods and services. So how can you protect your procurement budget from the effects of inflation?

Compliance and cybersecurity are not optional or secondary in public procurement. They are essential and strategic for the success and sustainability of public procurement. They are also not static or fixed. They are dynamic and evolving, requiring constant attention and adaptation. That's why public procurement professionals need to stay informed, alert, and proactive in ensuring compliance and cybersecurity in public procurement.

This is our last episode for 2023 and this episode, we will summarize the biggest news and developments that shaped the public procurement landscape this year.

AI is one of the hottest topics in technology, but it is still a relatively new opportunity for procurement. Often AI is talked about as a magic new solution to problems, but what are the real AI opportunities for procurement? How can AI help solve some of the biggest challenges in procurement? And what are the best practices and pitfalls to avoid when implementing AI in procurement?

We all know procurement professionals are like magicians, and they can procure any goods, works or services. But there are things we can’t procure. Let’s speak about those.

Quality is a word that gets thrown around a lot in the world, but what does it really mean? How do we define it, measure it, and improve it? And why does it matter for procurement professionals and their organizations?

The procurement of intellectual property is a complex and vital aspect of modern business. Whether it involves securing patents, trademarks, copyrights, or trade secrets, the acquisition of intellectual property rights enables individuals and organizations to protect their innovations, creations, and brands. Real-life examples like Apple, Disney, and Google demonstrate the power of intellectual property in shaping industries and driving success. As technology continues to evolve, effective procurement of intellectual property will remain crucial for fostering innovation and safeguarding creative endeavors.

Procurement contract drafting requires a delicate balance between legal expertise and practicality. While involving lawyers brings valuable legal knowledge and risk mitigation, it is important to consider the potential drawbacks such as cost implications, time-consuming processes, and the need for collaboration with procurement professionals. By striking the right balance, organizations can create procurement contracts that protect their interests while being aligned with their strategic goals and operational realities.

We think drafting procurement contracts should be a joint exercise.

What do you think? Who should draft procurement contracts?

In a groundbreaking court case that captivated the nation, former Virginia Governor Bob McDonnell and his wife, Maureen McDonnell, found themselves at the center of a corruption scandal that redefined the limits of public procurement. The case, United States versus McDonnell, delved into the murky world of political influence and raised important questions about what constitutes an "official act" and the role of money in politics.

In this episode we're delving into a critical aspect of public procurement: how to handle vendor complaints and protests when decisions are made.

Public construction contracts play a vital role in infrastructure development and public service delivery. These contracts involve significant investments and require high standards of quality and durability. To ensure accountability and protect the interests of both parties involved, the inclusion of a defects liability period is crucial. This episode explores the significance of the defects liability period in public construction contracts, highlighting its necessity through compelling examples.

Contracts are the backbone of any business transaction, providing a legal framework that ensures parties fulfill their obligations. However, unforeseen circumstances can disrupt the smooth execution of contracts, leading to delays, breaches, or financial losses. To mitigate these risks, liquidated damages clauses play a vital role in specific instances, serving as a powerful tool for risk management. This episode explores the importance of including liquidated damages clauses in contracts and highlights the significance of effective risk management strategies.

Bid security, also known as a bid bond, is a crucial component in the procurement process. It serves as a guarantee that bidders will fulfill their obligations if awarded the contract. The purpose of bid security is to ensure that only serious and capable bidders participate in the procurement process. By requiring bid security, procurement professionals can mitigate risks and safeguard the interests of the procuring entity.

We Introduce the Ultimate Procurement Plan Template which you can download for free from our website.

In today's episode, we explore an intriguing topic that draws parallels between modern public procurement practices and the ancient Roman Empire's notions of benefit for the citizens, fairness, and clever decision-making processes.

Maintaining transparency, fairness, and integrity throughout the procurement process is crucial to minimize the risks associated with changing evaluation criteria after receiving offers. Organizations must establish clear guidelines, communicate evaluation criteria effectively, and avoid making arbitrary changes that could undermine trust, lead to legal disputes, waste resources, damage vendor relationships, and harm their reputation. By prioritizing consistency and fairness, organizations can foster a healthy and competitive procurement environment.

Crafting an RFP as a love letter to the market is a metaphorical way of emphasizing the importance of capturing the attention and interest of potential suppliers. Just like a love letter, an RFP should be thoughtful, well-crafted, and engaging.
Crafting an RFP as a love letter to the market emphasizes the importance of building relationships, clearly communicating expectations, capturing attention, and encouraging creativity. By approaching the RFP process with thoughtfulness and care, you can attract the right suppliers and set the stage for a successful procurement process.

Bidding is a crucial aspect of procurement, where suppliers compete to win contracts by offering the best prices. But what if we could take bidding to the next level by incorporating discounts linked to specific events? Imagine being able to secure even better deals during seasonal promotions or special occasions. Well, that's exactly what we'll explore today.

While the lack of coordination between requesting units and procurement departments can pose significant challenges, these can be addressed with targeted strategies. By fostering clear communication, aligning goals, advancing collaborative planning, standardizing processes, and cross-functional training, organizations can significantly improve coordination between these crucial departments, leading to improved efficiency, cost-effectiveness, and productivity.

Involving procurement officers in the evaluation process has its advantages and disadvantages. On one hand, their expertise, risk mitigation skills, and focus on transparency can greatly benefit the evaluation process. On the other hand, organizations must address the potential for bias, manage increased workloads, and ensure technical expertise is available when needed.

Negotiation skills improve with practice and experience. By applying these tips and adapting them to your specific vendor negotiations, you can enhance your negotiation abilities and achieve better results.

While real estate procurement or lease may be an exception to some public procurement rules, it is still subject to many regulations and guidelines to ensure fairness and transparency in the process. Public entities must carefully evaluate each property and consider both the upfront and long-term costs associated with it to ensure that they are getting the best value for their money.

Procurement transformation in the public sector is not without its challenges. Public sector entities can achieve successful procurement transformation by tackling challenges such as budget constraints, stakeholder buy-in, resistance to change, and inadequate technological infrastructure. This requires the establishment of a clear roadmap, proactive engagement with all stakeholders, and addressing their concerns and feedback. By investing in the necessary resources and leveraging technology, procurement transformation can lead to substantial benefits, including cost savings, enhanced efficiency, and improved service delivery, ultimately enabling the public sector to better serve its constituents.

Understanding the impact of inflation is critical. Inflation can increase the cost of raw materials, transportation, and even labor, which can all affect the final price of goods or services. Therefore, it's important to keep track of market trends, especially when dealing with suppliers that operate in countries where inflation is high.

The consequences of poor technical specifications, TORs, or SOWs can be significant. They can lead to delays, cost overruns, and even safety issues. So, it’s important to make sure that these documents are well-written, clear, and comprehensive.

Procurement is often seen as the less glamorous cousin of the Human Resources department in any organization. HR gets all the attention and accolades for recruiting the best talent, managing employee benefits, and creating a happy workplace culture. But let's not forget that Procurement is just as important as HR when it comes to keeping a company running smoothly.

Providing timely and accurate requisitions to procurement staff is crucial in public procurement. Inaccurate or late requisitioning can lead to significant problems, including budget strain, project delays, and even health and safety risks. By planning ahead, using a requisition template, checking and double-checking details, communicating clearly, and following up, you can ensure that your requisitioning is timely and accurate.

Time is a critical factor that must be considered in procurement. While price is certainly important, it should not be the only factor that organizations consider when making procurement decisions. By carefully weighing the value of time against the cost of price, organizations can make more informed decisions that will ultimately benefit their business. Whether it's choosing a vendor who can deliver goods quickly or prioritizing emergency situations, time should always be a factor that is given careful consideration in the procurement process.

SOPs, especially SOPs for procurement management, are a useful tool for ensuring consistency and efficiency in complex processes. However, having SOPs for everything can be time-consuming, overwhelming, and inflexible. So, let's use common sense and judgment, and only write SOPs where they're truly necessary.

Procurement can have both democratic and autocratic patterns because it is a process that involves decision-making, and the way in which those decisions are made can vary depending on the organization's structure and culture. But, what if Procurement is neither a democracy nor an autocracy?

Today’s episode summarizes series of lectures by Levon Hovsepyan about the biggest misperception of procurement.
Procurement is a complex and important decision-making mechanism that evaluates risks and offers solutions to guarantee the best value for money. It is certainly more than just …. buying the cheapest.

Committees on contracts can be both trailblazers and promoters of effective procurement and bottlenecks to procurement processes. It directly depends on the level of procurement knowledge.

It is very important to not only quote the rule, but explain to clients the idea and logic behind each specific procurement rule. Because rules are created for a reason and there is a reason behind each rule.

What skills and competences should procurement professionals possess.

How can bidders demonstrate their commitment to sustainability in tenders for procurement of goods and services.

Should there be one standard ITB or RFP template for all UN agencies? What will it give? What are the benefits and downsides of harmonization?