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But OFPP believes the time is ripe to reduce price variance, secure most favorable terms and conditions and improve the federal cyber posture. Currently, prices routinely vary up to 20% for the same software across agencies, OMB wrote in its fact sheet about BCI in 2023. GSAs optimism for this time is based on several factors.
There are many factors: e.g., unintended consequences of categorymanagement, increased regulatory compliance, and instability in the market due to continuing resolutions and recurring threats of government shutdowns.
There are many factors: e.g., unintended consequences of categorymanagement, increased regulatory compliance, and instability in the market due to continuing resolutions and recurring threats of government shutdowns.
. – Spend control through real-time visibility into budget consumption, negotiatedprices, preferred suppliers, engagement channels. Also, an eprocurement solution provides you with clean spend data, which is the basis for a sound spend analysis and eventually relevant categorymanagement.
As part of our ongoing efforts to modernize government IT procurement and management, the Better Contracting Initiative (BCI) has been a cornerstone of our strategy at the Governmentwide IT Program Management Office. We’ve embarked on a journey to streamline how our federal government procures and manages its software assets.
One of the greatest sources of contract disputes is how to handle price increase requests where there is no clear contract language. The best method is an evidence-based approach showing the underlying cause of the price increase. Automated expiry and renewal alerts reminders are an important component of contract management.
Companies that maintained zero-sum, hard negotiation relationships with suppliers cannot suddenly reset those in a more collaborative mold. Some lessons regarding managing supply chain risk may still help in the near term as companies struggle to reconfigure their supply base to an evolving pandemic.
Identifying Value , is where procurement teams leverage spend data and spend analysis to understand trends in spend and identify opportunities and develop categorymanagement strategies. . There are, in fact different phases of procurement value creation that tie into the Source-to-Pay process: .
Sonia Pesantes, Managing Principal Consultant, and Sean Nulty, Principal Consultant, will present insights from their experiences with the Information Technology (IT) center at GSA with a focus on fair and reasonable pricingnegotiations. To register for this members-only meeting, click here.
8] is around leveraging data, to be able to help get the lower prices and better terms, and certainly is one of the first pillars around that. It’s not just about pricing, but also what are the terms and what are the conditions to be able to help provide that kind of context. It’s completely paid off for us in a big way.”
I described the Governmentwide Acquisition Strategy initiative led by the IT Vendor Management Office (ITVMO) to centralize engagement with critical Original Equipment Manufacturers (OEMs) and negotiate universal contract and process improvements to ensure that all agencies benefit from best-in-class terms and pricing as One Customer.
One item in particular is a keen focus on categorymanagement by using GSA for various types of procurement. While it’s been a driving force of procurement reform over the years, this order puts categorymanagement into even sharper focus. This is consistent with the idea of categorymanagement.
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