Transcript Competitive Solicitation and RFP Teams

Regional Contracting and Supplier Diversity
NAEB Regional Meeting
Ocean City, Maryland
October 7, 2004
Presenters
Gary Link, Educational & Institutional Cooperative Service (E&I)
Ralph Maier, University of Pennsylvania
E&I 2004 Contract Goals
 Expand
& Diversify the Contract Portfolio
 Implement E&I Exchange
 Evaluate & Implement Regional
Contracting Opportunities
 Implement Reverse Auctions
 Implement State Compliance Initiatives
Regional Contracting
Regional Contracting
Benefits of Regional Contracting
 Focus
on regional based product/services
 Contract management and administration
 Supplier diversity
 Resource re-allocation
 Indirect cost avoidance
 Increased direct cost avoidance
 Expedite solicitation process
Elements
for Regional Contracting
 Consensus
with members to commit to
project
 Small group focused RFP teams
 Detailed spend analysis
 Detailed specifications
 “Best practice” evaluation matrices
 Comprehensive member communication
plan
 Post-award contract management
Current Regional Models
 Philadelphia
Area Collegiate Cooperative
 Western Region
 CICPC
 Texas HUB
Member Roles and Responsibilities
 Determine
products/services for participation
 Source prospective suppliers
 Aggregate/commit volume
 Provide data for spend analysis
 Assist with development of specifications
 Review RFP document prior to release
 Participate in evaluation process
 Make award recommendations
E&I Roles and Responsibilities
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Regional contracting representative assigned to
regional group
Collaborate with group regarding their needs
Coordination of RFP Teams
Conduct spend analysis for all upcoming
solicitations
Aggregate volume
Pre and Post benchmark solicitations/contracts
Facilitate solicitation process
Prepare, issue and receipt of RFP document
Contract administration and management
Enhance the Supplier Diversity Program
Philadelphia Area Collegiate
Cooperative (PACC)
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Regional group purchasing initiative founded in
2000 and based in Philadelphia
14 members (13 Philadelphia based institutions
and Princeton University)
Formed to better leverage member resources and
buying power
Support for supplier diversity in all bidding events
Request for Proposals used for all member
requirements but successful bidder enters into
institution specific contracts
Reverse auction technology used for competitive
bidding events when appropriate
PACC Overview
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PACC “Chair Person” is appointed to two year term
Formal By-Laws, competitive bidding and contract
award procedures are in place to manage all
initiatives
Representatives from each member institution
attend monthly working meetings
Commodity teams are created to handle each
commodity initiative
Additional staff resources are recruited as subject
matter experts
Pre-commitments are required for all commodity
initiatives
PACC Accomplishments
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PACC contracts available for 14 commodities
4 commodity contracts competitively bid and
awarded for a second time
3 new members added in 2004
15 commodities targeted for future contracting
opportunities
3 RFPs currently in development
Approximately $1M in documented product cost
savings
New professional purchasing services
partnership with the Educational & Institutional
Cooperative Service (E&I)
PACC & E&I
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Partnership agreement initiated in August 2004
E&I partnership enables PACC members to
increase capacity for competitive bidding events
without additional commitment of resources
E&I will recruit additional buying commitments
from other local institutions for specific commodity
events and handle all RFP activities
PACC retains all decision making authority
Initial RFP for cylinder gas to be issued in late
October (event to include Yale University)
Additional commodities currently in development
Benefits to PACC
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Supports transition from tactical to strategic
purchasing
Maximizes opportunities with same or less
resources
Increases leverage with local supplier community
Enhances cooperation between member institutions
(best practices, shared technologies, etc..)
Cost savings
Additional information is available at:
www.purchasing.upenn.edu/pacc
Supplier Diversity
E&I Supplier Diversity Program
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The E&I Supplier Diversity Program represents a
belief that we are an organization dedicated to
being socially responsible.
The program’s primary purpose is to ensure that
the suppliers of goods and services to our
members include certified disadvantaged
businesses owned by minority groups and women.
The objective of this initiative is to source and
mentor to disadvantaged business enterprises so
that the competitive pool of suppliers mirrors the
diverse environment of our members.
Supplier Diversity Strategy
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The E&I strategy incorporates a four-prong
approach that includes:
 Identifying and categorizing diverse
suppliers
 Sourcing and contracting with diverse
suppliers
 Mentoring programs
 Sustaining the diversity program
Identify and Categorize
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The E&I Contracts department will utilize the
following methods for identifying these
suppliers:
 The National Minority and Women-Owned
Business Directory
 The National Minority Supplier
Development Council and Regional
Councils
 Small Business Administration
 Membership
Sourcing
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It is the E&I policy to include disadvantaged
business enterprises among its sources of
supply. We will accomplish this through the
following methods:
 Advertising solicitations in diversity
publications and through the SBA
 Membership
 Relationships with Diversity Councils
Mentoring
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E&I develops relationships with diverse suppliers
through education and mentoring. Through
education and mentoring, we increase diverse
supplier sourcing efforts and help prepare these
suppliers to be able to compete effectively in higher
education procurement process.
 NMSDC Membership
 Diversity Events and Seminars
 Assistance with Certification Requirements and
Processes
 Development of Suppliers
Sustaining the Program
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In order to have an effective program measures must be
established to maintain and grow the program. Measures of
continued success of the E&I program depend upon the
implementation and monitoring of the following:
 Participation/Inclusion of diverse suppliers in solicitations
 Contract opportunities both nationally and regionally for
diverse suppliers
 Effective Member communications
 Ability of awarded suppliers to achieve certifications
 Participation of diverse suppliers in educational events
 Development and implementation of mentoring programs
 Maintenance of the diverse supplier database
Supplier Diversity Advisory Team
Lorelei Meeker, C.P.M.- Indiana University
Marty Newman, University of Maryland College Park
Alan Philips, C.P.M.- University of Houston
Rob Halter, IUPUI
Patricia Menguito, University of Illinois at Chicago
Ed Kochert, IU Southeast
Sue Saliee, EIU
Mary Ellen McClettan, Emory
Eddie Jackson, RIT
Ernest Webster, University of Arizona
David Jones, Vanderbilt
Walter Werner, Carnegie Mellon
Juliana Huehn-Johnson, USC
Questions and Answers