In this newsletter we keep you informed about conversations happening across the public sector that focus on procurement. We welcome your feedback and suggestions for stories to include in upcoming editions.

In this newsletter:

• Government procurement supports New Zealand's recovery
• In conversation
• Great procurement during COVID-19 – agency case studies
• Accord supports procurement during COVID-19
• AoG construction consultancy services interim solution now live
• New Government model contract templates
• Broader outcomes reporting
• A new way to tell suppliers about future procurement opportunities!
• Procurement capability is improving across government agencies
• Social Services training
• Spotlight on training and education
• Supplier feedback survey trends
• Making government procurement data more accessible
• E-Invoicing: The faster, easier, more secure way to invoice
• Procurement Knowledge Hour (webinar): Public procurement within the Organisation for Economic Co-operation and Development (OECD)

Message from: Carolyn Tremain, Chief Executive, MBIE

Kia ora koutou katoa

We have experienced some extraordinary times of late, as a country and as a public service. As Procurement Functional Lead for government, I am very proud of the resilience, ingenuity and commitment of our procurement professionals.

There are some great examples of agencies across government working rapidly to respond to the challenges COVID-19 presented.

Read more on government procurement supporting New Zealand’s recovery.

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We’ve captured some reflections on what we learnt from lockdown, and how we can support New Zealand’s recovery.

John Ivil – Lessons from lockdown

John spent his lockdown at the National Crisis Management Centre. He talks to Steph Unka about the value of cross-agency collaboration, and the essential skills all procurement professionals need. John Ivil is New Zealand Government Procurement and Property’s General Manager.

Tom O’Sullivan – Working with our suppliers

Tom talks with Lisa Julian about how strategic supplier relationship management helped government deliver essential services through lockdown and how government can support their suppliers through tough times. Tom O’Sullivan is New Zealand Government Procurement and Property’s Manager Supplier Relationships and Contracts.

Karen English – Supporting NZ businesses in recovery

Karen talks with Andrew Thrift about how we can support New Zealand businesses and make it easier for them to do business with government. Karen English is New Zealand Government Procurement and Property’s Director International Procurement and Trade.

View these reflections from lockdown videos.

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The recent events of COVID-19 and lockdown presented many procurement challenges for agencies. Here are some great examples from agencies where their approach to procurement in an emergency environment, has made a difference through speed, influence, intervention and insight.  

Bringing Kiwis home during lockdown

The Ministry of Foreign Affairs and Trade (MFAT) delivered multiple repatriation flights to bring New Zealanders home. An example of this was three flights from India. This high risk, high value procurement would normally take a couple of months to implement. Instead, MFAT completed it in seven days, undertaking rapid market research, reviewing four proposals and managing the associated indemnity implications. The first flight departed New Zealand for India a mere 12 days after the procurement process began.

Read more on great procurement during COVID-19 – agency case studies.

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The Construction Sector Accord signals a new way for government and industry to work together to meet some of the key challenges the sector faces, such as skills and labour shortages, poor risk management, unclear regulations and pipeline, a lack of coordinated leadership, and a culture of shifting risk.

In collaboration with industry and agency partners, the Accord released the Construction Sector COVID-19 response plan in April. The plan aims to maintain confidence in the sector, support jobs and businesses, and minimise the economic damage from the COVID-19 disruption.

Read more on how the accord supports procurement during COVID-19.

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Agencies and providers can continue to engage through the All-of-Government construction consultancy services contract despite the Marketplace portal being unavailable to users.

Read more on AoG construction consultancy services interim solution now live.

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Following a consultation process in late 2019 we have now published the 3rd edition of the Government model contract templates.

We have issued new Government model contract templates and updated the guidance for users. These contract templates continue to offer a standard, simple, plain English set of conditions for common goods and services. They are for low value, low risk contracts. The contract templates save effort, improve consistency and reduce legal costs for government and contracting partners.

Read more on the new government model contract templates.

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Earlier this year we ran a series of briefings for agencies on the broader outcomes reporting framework. The presentation is now available via Hīkina – Learning for Procurement and Property.

Broader outcomes is achieving greater economic, social, cultural and environmental outcomes through government procurement. This is initially being targeted through a series of designated contracts that we are reporting on.

Read more on broader outcomes reporting

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Procurement is more effective when you provide an early heads up to suppliers about upcoming opportunities. It allows businesses to understand the potential pipeline of work coming from buyers and prepare in advance.

Until now, agencies have provided this information via the Annual Procurement Plans (APPs) published every six months. However, after feedback from both agencies and businesses, we have decided to enable procurement teams to provide early warning to businesses on an ongoing basis by publishing Future Procurement Opportunities (FPO) via GETS.

Read more on a new way to tell suppliers about future procurement opportunities.

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New Zealand Government Procurement (NZGP) has seen a number of improvements on Procurement Capability Index (PCI) scores since 2018. While all capability categories progressed well compared to the previous reporting period, the biggest improvements are seen in an agency’s ability to engage with markets to meet current and future needs. This included publication of annual procurement plans, implementing government policies and initiatives through procurement activities and identifying suppliers and providers that are critical to delivering strategic outcomes. We’ve also seen great improvement in an agency’s ability to manage contracts and relationships with suppliers and providers, to deliver results for the agency.

Read more on procurement capability and its improvement across government agencies.

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Attention managers of procurement teams!  Are you looking for excellent training material to professionally develop your team/s?

Then check out our short video!

Get your team to become reigstered users of Hīkina - the free online training and skills development system for government procurement professionals.

Read more on social services training.

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From time to time we get requests to share information on upcoming training and/or education offerings. Note NZGP do not endorse individual training offerings and agencies are encouraged to undertake their own due diligence to find the right programme for their needs. 

CIPS Corporate Award is a practical, applied learning programme where the syllabus is tailored around the participating organisations, and the assessments are work-based assignments and live business projects. CIPS are currently seeking participants for a virtual cohort. If you are interested in being part of the future syndicate programme, please email Craig Johnstone.

Read more on spotlight on training and education.

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About the survey and data

The supplier feedback survey launched in January 2019. It is a pilot project that aims to gather feedback from suppliers about their experience with the planning and sourcing aspects of procurement in government agencies.

For more information on the survey, you can check out this news item.      

The survey had 73 responses during the trial period (to February 2020). This is a 2% response rate, so the findings described here are a snapshot of supplier’s voices, rather than a comprehensive understanding.

Read more on the supplier feedback survey trends.

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We are releasing contract award notices in a more usable format so people can access and analyse information about the contracts government agencies have awarded, to whom, and their value.

Making procurement data more accessible is one of New Zealand’s commitments under the Open Government Partnership and the National Action Plan 2018-2020.

Read about making government procurement data more accessible.

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E-Invoicing is the direct digital exchange of invoices between the financial systems of sellers and buyers. It is forecast to save New Zealand businesses billions of dollars in transactional costs each year.

Read more on E-Invoicing: The faster, easier, more secure way to invoice.

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New Zealand Government Procurement’s Fleur D’Souza, Director Policy and Tessa Cullen, Policy Advisor will discuss their experiences working at the OECD, living in Paris, and how their work is now being applied back in New Zealand.

The webinar is scheduled for Tuesday 28 July 2020 from 12:00 noon to 1:00pm.

Register for the webinar.

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For more information about anything in this newsletter please email the Procurement team.