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December 2022

Keep up to date with 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:

- Kia tau te aroha mo te wā, best wishes for the season!
- New Zealand Procurement Excellence Forum – 2022 awards
- Commercial Pool team here to help
- Knowledge Hour recap – Creating a bespoke data solution
- Conflict of interest management tool available
- Significant services contracts reporting: Pause on reporting extended
- New Māori government procurement network established
- Increase your influence at work
- Procurement for the future – update

Kia tau te aroha mo te wā, best wishes for the season!

Tēnā koutou katoa I tenei Hakihea

December is always a time when things seem to speed up as we race towards the end of another year. It’s been a big one for us all in government procurement.

In 2022 we initiated the work on procurement for the future. This work has already involved many people and will eventually embrace us all. It is both a system and a behavioural change. New Zealand Government Procurement (NZGP) may own the rules, the All-of-Government (AoG) contracts, procurement policy, GETS and more, but we all own the system.

A big part of the future changes will be our approach to digital systems that enhance procurement processes and make it easier for government agencies, providers, and suppliers to do business.

The first step of our journey will be to source modern procurement software that agencies can use for secondary procurement activities from AoG collaborative contracts. Our goal for this new procurement platform is to replace the existing Online Panel Directory website experience. We want to provide modern catalogue, e-procurement, and reporting capabilities for participating agencies, providers, and suppliers. 

Following wide interest and a strong response from the market to our Request for Information (RFI) digital tools to support government procurement earlier in 2022, we have published a Registration of Interest (ROI) procurement platform for New Zealand Government, inviting potential suppliers to participate in a multi-stage process with a deadline for registration in February 2023.

Procurement platform for New Zealand Government

I am proud of what we have all achieved this year – using the procurement lever where it can deliver change: 

  • Agencies are now using a sustainable building rating system for new government owned non-residential buildings.
  • The range of electric vehicles (EVs) available to participating agencies continues to grow, taking the total to 19 suppliers on the panel with 26 brands of vehicles.
  • The new AoG electricity contract requires most suppliers to produce climate-related disclosures in line with the recommendations of Task Force on Climate Related Financial Disclosures.
  • Suppliers on the new print technology and associated services (PTAS) contract are committed to reducing waste and emissions by cutting down non-recyclable packaging waste and improving the sustainability ratings of products within their catalogues.
  • We are enabling and supporting even more Māori businesses to engage in government procurement in the second year of the progressive procurement policy.
  • Workers on government cleaning, catering and security contracts must be paid at least the living wage.

We have seized opportunities to use procurement to achieve broader outcomes addressing the economic, social and environmental challenges that Aotearoa faces, and we are doing this together and as a system.

I really like the old proverb - If you want to go fast, go alone. If you want to go far, go together. The journey will continue in 2023.

And on that note, I wish you all a fantastic summer holiday and new year filled with aroha and whānau.

Noho ora mai,
Laurence Pidcock
General Manager, New Zealand Government Procurement

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New Zealand Procurement Excellence Forum – 2022 awards

Congratulations to all the winners in the New Zealand Procurement Excellence Forum’s annual awards. The depth of talent and professionalism was obviously evident in the approach of the winners, but across all the finalists.

Each year the New Zealand Procurement Excellence Forum recognises outstanding professionalism in five categories. This year’s winners are:

  • Procurement Professional – Rajat Sarna, Chief Procurement Officer Vodafone
  • Young Procurement Professional – Tommy Mcloughlin, Senior Procurement Specialist, Ministry of Education
  • Most Effective Team – Fisher & Paykel Healthcare
  • Social and Environmental – Kāinga Ora Homes and Communities (and Supreme award winners)
  • Innovation of the Year – Frucor Suntory

Read more to hear from Kāinga Ora, this year’s Supreme Award winner and Mark Richards, who took home the Lifetime Achievement award.

New Zealand Procurement Excellence Forum – 2022 awards

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Commercial Pool team here to help

New Zealand Government Procurement (NZGP) Commercial Pool is always here to help and 2022 was no exception says Manager Michael Hiscox.

“No two projects which we have helped on are the same, and no two years have been the same for us,” says Michael.

“Some projects are multi-phase and multi-year. For example, we have been supporting Antarctica New Zealand’s project to redevelop Scott Base for several years. In such a challenging environment this is not a quick job. This summer season they hope to commission new long-term science building that was installed last season. Additionally, this summer they hope to clear the site around the existing base so it's ready for earthworks to begin in the 2023/24 summer. The project is complex and highly challenging. Everything has to be built elsewhere and moved to that beautiful, remote, continent at the end of the earth. We are very proud to support it.”

NZGP’s Commercial Pool is a skilled and experienced team of commercial procurement experts who can step in to provide advice and support to government agencies on important and challenging commercial projects. “We pride ourselves on supporting agencies get the best commercial outcomes on their projects or initiatives, where it’s a novel or complex procurement project, or working with an agency to improve their approach or capability”

In 2022 the team offered support for a wide range of other government agency projects – including mahi in assisting New Zealand Defence Force and Babcock New Zealand to agree a contract for asset management services to the entire Royal New Zealand Navy fleet; to the Heritage New Zealand Pouhere Taonga project to upgrade Wellington’s iconic and historic Turnbull House; the Electricity Authority to contract for commercial market making services; and many more.

While neither Ministry of Business, Innovation and Employment (MBIE), nor NZGP’s Commercial Pool own these projects, NZGP’s mandate is three-fold – to ensure the projects follow good practice and unlock the best public value for New Zealanders, to raise the commercial capability of the teams we work with, and to create systems where our experience becomes part of the approach – so it can help others down the track. 

If you would like to speak with someone about an upcoming project, please email the Commercial Pool team.

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Knowledge Hour recap – Creating a bespoke data solution

For our last Knowledge Hour of the year, we were joined by The Ministry of Education’s (MoE) corporate procurement team. They shared with us their new bespoke data solution designed to support their procurement needs.

MoE wanted to create a system that would unlock the value of the data they were already collecting. They wanted to work smarter and capitalise on the data they had to enable better decision making.

With the help of Pareto Toolbox, MoE took their data, which was stored in multiple areas, and created one system to provide fast, accurate answers in real-time. They now have a central data warehouse for accessing their reports, which has eliminated manual intervention.

The benefits MoE have seen:

  • Time saving – multilevel data available at the click of a button.
  • Increased productivity – the team is free to focus on strategic matters and other activities.
  • Confidence – they can trust their reporting and show their leadership team, and key stakeholders, evidence-based results.

We were delighted to have MoE share their new system with us, particularly as we look to transform the government procurement system’s approach to data and transparency.

You can watch this Knowledge Hour, and previous Knowledge Hours, in the Hīkina Video library.

Hīkina - Learning for Government Procurement and Property

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Conflict of interest management tool available

The Public Service Commission recently completed its review of conflict of interest management and noted that this was an area where agencies could continue to improve.

If you want to know more about identifying and managing conflicts of interest, our website has useful information, along with a free conflict of interest management tool.

Managing conflicts of interest and confidentiality

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Significant services contracts reporting: Pause on reporting extended

In October 2022 we paused the significant services contracts framework reporting requirement for agencies. We are now extending this pause to the next reporting cycle in March 2023.

It makes sense to continue to discharge agencies from this duty, and the additional associated work, while we continue to explore the pros and cons of linking any future reporting with existing frameworks. Overall, our aim is to work on reporting criteria that will deliver better outcomes and make reporting work better for us all.

While the reporting obligation is paused, the important work of ensuring strong contract governance and identification of significant services contracts remains. You should continue to develop risk and governance programmes that identify and capture the risks associated with significant contracts and engage with your key stakeholders.

We hope to share progress and ideas in 2023.

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New Māori government procurement network established

Kaimahi Māori standing in front of a slideshow displayed on a large screen at the first ever networking event

Kaimahi Māori at the first ever networking event.

Te Puni Kōkiri have created a support network for Māori kaimahi in the procurement industry. The aim is to bring together Māori kaimahi who are working in procurement roles across government. On Monday 12 December they held their first session where everyone connected in person and talked about the unique role of Māori in procurement.

This rōpū (group) will provide support for each other from a te ao Māori perspective in a te ao Māori setting. Te Puni Kōkiri are keen to manaaki and tautoko individuals to further develop Māori in procurement so get in touch if you are interested in joining their next session in February 2023.

For information about the rōpū and progressive procurement please email Te Puni Kōkiri supplier diversity.

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Increase your influence at work

Our popular Influencing in Action programme is back, starting 3 February 2023. The course provides tons of actionable content and empowers you to shake up your influencing for the better.

You will learn:

  • how to positively influence colleagues, suppliers and stakeholders
  • skills and tools to influence change and build productive relationships
  • confidence to apply what you learn to your work and/or personal life.

Places are limited, so register your interest now!

Increase your influence at work

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Procurement for the future – update

Our key focus for 2023 is ensuring that projects across the programme are resourced and ready to progress and deliver to their agreed 2023 milestones. This includes increased engagement with agencies and suppliers.

What’s been happening across the programme:

  • Detailed policy analysis work continues around sector leadership, ahead of an update to Ministers later in December.
  • Unlocking value - our three concept labs for the strategic supplier relationship management and next generation collaborative contracts projects were at capacity, with the Wellington agency lab and Auckland supplier lab seeing over 50 people contributing. These half-day workshops are enabling agencies and suppliers the opportunity to provide input into the early-stage design work for both projects.
  • Data and transparency - due to the strong interest in our advance notice (procurement platform), we have modified this anticipated Request for Proposal (RFP) into a two-stage process: an initial Registration of Interest (evaluated), with short-listed submitters being invited to participate in the second stage. This revised approach enables us to perform a fair evaluation of responses, reduces the cost to participate for all businesses responding (Stage 1) and enables us to meet the overall timeframes.
  • A big focus this month has been on finalising the design/production of the prototype AoG and GETS external dashboards, for their publication/release to agencies prior to Christmas. We’ll be checking in with agencies in the new year to capture their feedback and improvement ideas for these dashboards.

Further engagement events, including further concept labs, are being planned for early 2023. If you would like to be kept updated on these plans, please email the Procurement for the future team.

Procurement for the future

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