In this newsletter we keep you informed about conversations that are 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:

• COVID-19 update
• Case study: two-tender approach to procure rural bus services
• Supplier relationship management practices in the public sector
• Auditor General’s report on government strategic suppliers
• How we’re shaping government procurement for the future
• Procurement graduate hackathon
• How the Procurement Capability Index can support your agency
• Increasing the diversity of government suppliers
• Government Model Contract template updates
• Digital procurement programme
• Date change for the New Zealand Government Procurement Office Products Expo
• Spotlight on reporting

As we find ourselves back in a Level 4 lockdown, this is a good opportunity to remind you about the COVID-19 procurement guidance available on our website:

COVID-19 procurement update for agencies

We’re here to help, so please let us know if there is additional COVID-related procurement guidance or central leadership that we could provide. You can contact your account manager or email the Procurement team. 

Most importantly, stay connected with your team and suppliers, and look after each other. Kia kaha.

BACK TO TOP

The Ministry of Education (MoE) recently conducted procurement for new ministry-provided bus services using an innovative two-tender approach. Recognising its role in supporting thriving and sustainable regional economies, the MoE shifted away from conventional procurement and reconfigured its approach to enable operators of all sizes to compete, including ‘mum and dad’ operators.

Read more on the MoE case study: two-tender approach to procure rural bus services

BACK TO TOP

New Zealand Government Procurement (NZGP) and State of Flux (SoF) – a global leader in SRM, have completed a baseline assessment of supplier relationship management practices in the public sector. Report findings will be used to develop the Government Supplier Relationship Management programme toolkit and roadmap.

Read more about supplier relationship management practices in the public sector

Read about the Government Supplier Relationship Management programme

BACK TO TOP

The Office of Auditor General (OAG) recently published a report on understanding and managing the risks of service disruption in the public sector. The report looked at practices across the public sector, focusing on the collective understanding and management of strategic supplier risk. It also provides recommendations to New Zealand Government Procurement (NZGP) and the broader sector. Learn more about how we are working to address many of the issues highlighted in the report.

Read more about the Auditor General’s report on government strategic suppliers

BACK TO TOP

We are considering how our procurement system can support an increased focus on delivery, transparency and accountability, and how we can build the future-proofed procurement function that New Zealand needs. From our conversations with stakeholders so far, three key themes have emerged: data and transparency, working togeather as one; and, unlocking value. 

We are working on opportunities to share more of our thinking with our stakeholders, and welcome any thoughts, feedback or insights you’d like to contribute to this work. Talk to your agency’s account manager or email the Procurement team.

Read about how we are shaping government procurement for the future

BACK TO TOP

In July 2020, a short one-day event hackathon was organised for a group of procurement graduates to brainstorm ideas about the future state of procurement.

During the day, graduates worked through an intense process to develop ideas about what procurement could look like in 10 years; identify enablers and barriers to success.

This mahi included a session with procurement professionals from other agencies who contributed to the graduates thinking by listening to the proposed ideas and helping to refine their thinking.

At the day’s end, the group presented their top working solutions to Laurence Pidcock, General Manager, New Zealand Government Procurement.

BACK TO TOP

The Procurement Capability Index (PCI) agency self-assessment is underway for 2021. The assessment takes an agency-wide view of procurement capability and covers the complete cycle of procurement. It is used by senior leadership to understand agency strengths and opportunities for improvement.

Nominated agency users should have first received an email notification with information on how to access the tool. If you have not received an email and would like guidance please email the Procurement team.

Read more about How the Procurement Capability Index can support your agency

Procurement capability index

Visit Hīkina - Learning for Government Procurement and Property to access the Pāmu Farms of New Zealand case study that supports the use of the PCI self-assessment tool.

Hīkina - Learning for Government Procurement and Property

BACK TO TOP

The government’s progressive procurement policy aims to increase the diversity of government suppliers, initially focusing on Māori businesses. The policy aims to develop an intentional approach to the government spend to achieve broader economic and social outcomes, by supporting sustainable, long-term behavioural change of government procurement practices.

As part of the policy, mandated agencies need to report on their progress against a 5% target of their total annual procurement contracts awarded to Māori businesses. This will support the economic recovery and development of Māori businesses and assist with the long-term economic resilience of Māori communities. We are currently collecting baseline data, which agencies can start compiling for reporting by 1 October.

Te Kupenga Hao Pāuaua, a dedicated project team based at Te Puni Kōkiri, is helping agencies implement the policy.

Visit Te Puni Kōkiri’s website to read case studies and find guidance for agencies to support the implementation of the policy.

Buyers (government agencies) - Te Puni Kōkiri

Read more about the reporting, and find guidance and the reporting template, on our website.

Reporting starts on annual procurement contracts awarded to Māori businesses

BACK TO TOP

We have updated the Crown Government Model Contract (GMC) templates to reflect the target set for central government agencies to pay 95 per cent of domestic invoices within 10 business days.

Read more about the Government Model Contract updates

BACK TO TOP

We are working on a number of projects to build a digital e-procurement ecosystem to support government agencies and businesses.

Read more about our digital procurement programme

BACK TO TOP

Due to circumstances outside of our control, we have rescheduled the NZGP Office Products Expo to 7 September, at the Wharewaka Function Centre in Wellington (2 Taranaki Street).

If you have already responded and still plan to come along, please note the new date and venue. Your registration for a morning or afternoon session will stay the same.

If you wish to change your session, or cancel your attendance, email the Procurement team. 

If you haven’t yet, you can still register for the expo.

If you are unable to attend in person, we can arrange for the Office supplies and IT hardware return to market presentations to be emailed to you. To notify us that you cannot attend use this form.

We look forward to seeing you in September.

BACK TO TOP

Broader outcomes, significant service contracts (SSC) and procurement capability index (PCI) reporting is due 1 October 2021. For the first time we are also collecting reporting on the progressive procurement target. All government procurement mandated agencies must complete this reporting.

Reporting on progressive procurement target

Reporting on broader outcomes

Significant service contracts framework

Procurement capability index

Frameworks, reporting and advice

BACK TO TOP

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