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Vendors and Georgia's Procurement Transformation

Background

In 2005, Governor Perdue launched the Procurement Transformation Initiative to implement several recommendations made by The Commission for a New Georgia’s Procurement Taskforce.  The Taskforce concluded that there are many opportunities to improve the procurement infrastructure by analyzing statewide spending and buying habits, then negotiating contracts and utilizing innovative procurement strategies to ensure the best value for the State of Georgia.

Goals

Strategic sourcing project goals are to:

1. Understand how the state procures goods and services today and the potential for savings in the future
2. Improve procurement processes and practices
3. Revise Georgia’s sourcing approaches to generate savings while meeting the State’s needs for supplies and services
4. Save money for Georgia taxpayers

How it works

Strategic sourcing works by combining the purchasing power and procurement experience of State agencies to gain the best value for the State.  The first phase—understanding statewide spending patterns—is completed. The second phase consists of developing solicitations based upon the State spend information and also through comparative analysis of the marketplace.  The key strategies include:

1. Leveraging the State’s  volume – using the full weight of the statewide purchasing power to garner better pricing and conditions
2. Employing new negotiating techniques –   legislation has empowered State Purchasing to use different methods to make contracts, including reverse auctions and negotiations
3. Creating relationships with vendors – engaging businesses to highlight all opportunities that exists to do business with multiple State agencies and the Board of Regents
4. Streamlining processes for agency procurement staff – Increasing flexibility through increased delegated purchasing authority and more influence in developing statewide contracts leads to better solicitations

Vendor FAQs

What can I do to ensure that I am properly positioned to compete for new solicitations?  Register your company or update your company’s profile in the Vendor Registration System (VRS).

How do I know if my industry will be affected? Categories are identified based on a variety of criteria, including whether there is an existing statewide contract, the volume and amount of money spent statewide and the number of agencies affected.  Categories that have been finalized are available on the website.

How will I know if a new statewide solicitation is being offered? The Georgia Procurement Registry (GPR) is and will continue to be the primary source for solicitation announcements. 

There are so many changes going on. How can I stay informed about the process?  Regular updates about the Initiative are posted on the website; however, details of major  changes that impact vendors will be updated in the Georgia Vendor Manual (GVM) and also in the Vendor section of the State Purchasing website.

I have an existing contract with a state agency, could it be rolled up into a statewide contract? Maybe, in most cases, the timing of new contracts will be based on the expiration of existing statewide or agency contracts.  Also, it is possible that existing agency contracts could be expanded for application on a statewide basis.