Professional Services Procurement

Presentation to: Professional Services Trilateral Working Group

Date: 1 March 2013

Background• Professional Services are important to departments

• PWGSC created procurement instruments to:• create pools of available professionals/expertise• make the process fair, open and transparent

• Issues remain for client departments and Industry

• The Professional Services National Procurement Strategy is aggressively reducing red tape and addressing key issues

2

Administrative/Management $675M (22%)

Engineering and Technical Consulting

$1100M (35%)

IT Professional Services$950M (31%)

HR, Business Support, Training

and Other375M (12%)

Professional Services = $3.1B per year(approx 20% of GoC Procurement)

* Source: 2008-09 Spend Cubeexcluding certain sub-commodities not covered by strategy 3

Departments using PWGSC Procurement Instruments

$1.55B (50%)

PWGSC$1.24B (40%)

Departments using existing authority

$0.31B (10%)

Procurement Responsibilities

* Source: Public Accounts, Suppliers Report and Spend Cube 2008-09 (estimate) 4

5

Professional Services National Strategy

Strategy Elements Benefits for Client Departments & Suppliers

• Common business rules

• Single governance

• Single training

• Support for statements of work and evaluation criteria

• Single e-portal

• Create a predictable environment

• Improve clarity and consistency

• Make knowledge transferable

• Reduce efforts and simplify the contracting process

• Improve usability and reduce the reporting burden

5

Supplier Qualification and Bidding Process

Individual Requirements

SO Eligible Supplier(s) receive(s) an Availability Confirmation Form

Submits CVs to Client

Receives Call-up

SA Eligible Supplier(s) receive an RFP

Submits Bid

Evaluation Receives Contract

Method of Supply Qualification

• Security

• Past Experience

• Integrity (Code of Conduct)

Supplier submits bid

Evaluation Receives SO and/or SA

6

Client Procurement Process (Decision Tree)

Client determines if requirement is Professional Services or Temporary Help Services

Determines if an SO or SA exists (common website)

Temporary Help Services

Custom ProcurementNo

Follow SO & SA process per National Strategy

Yes

Client uses common templates, and forms developed by PWGSC

• Public Servant is temporally absent

• Temporary workload increase

• Staffing action underway for a vacant position

•Client Departmental Authority

•PWGSC•Client can use SO vs. SA Decision Tree

Contract Awarded

Professional Services

7

Current Process with CPSSSolicitation Bid Evaluation

Supplier Enrolment Data Collection

Evaluation Module

CPSS (Single e-portal)

Maintenance Module

Supplier Module

Search

Call-up / Contract Issued

Supplier Reporting

SO / SA Issuance

Financial System

8

Note: CPSS (Centralized Professional Services System is only used for large Methods of Supply

Data Collection / Evaluation Module: Currently only being used for 3 large Methods of Supply

Issues and impact on Clients and Industry

Issues Impact onClient Departments

Impact onIndustry

Lack of Standardization

• Increased sourcing cost• Increased risk of errors

• Increased bidding cost • Creates incentive to be

subcontractors

Limited access to support tools

• Limited access to best practices

• Less likely to obtain best value

• Unpredictable requirements

• Restrictive requirements

Little focus on usability

• Increased administrative effort

• High reporting burden

• Increased administrative effort

• High reporting burden

9

10

Next Steps• Conduct an Options Analysis on “How best to manage our Methods of Supply” from an

Organization Perspective (inc. MOS Management, Support, etc)• Change towards a more “Market Driven” / “Customer Driven” focus on our Offerings

– Investigate reshaping our MOS Offerings (single vs. multiple, category definitions, evaluation criteria, etc)

– Consulting Industry and Clients about what tools & support work best.– Increased collaboration with Regions (buy-in and participation)

• Look at technology to assist with lower staffing levels– Online Learning– Digital Procurement (e-buy)– Leveraging a platform similar to GSA Interact– Revamping websites

• Get Senior Management Support to have clients handle their own requirements• Improving Vendor Performance

11

ProServicesE-Training

• Standardized service delivery• Support tools for clients• Automation of routine activities• Greater speed and simplicity• Improved training

Implementation Plan

Winter/Spring 2013

NEXT STEPS: Delivering on key commitments

Renewal of Task-Based Informatics professional servicesRenewal of Task and solutions professional servicesSpring 2013

All Professional Services categories Harmonized Fall 2013

2014-15E-buy tools

11