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It starts with identifying the right suppliers for a need, sharing requirements and evaluating supplier offers, selecting the most appropriate supplier, negotiating terms and contracting with them to receive goods and/or services. Source-to-Pay is typically broken into two parts – upstream and downstream.
Needs analysis ensures an accurate understanding of the goods / services being procured. Areas to consider include objectives, background, scope, constraints, deliverables, timing, approvals, policy and legislative requirements, evaluation criteria and methodology and contractmanagement including KPIs.
When thinking about these questions, consider three different types of vendor relationships: (a) vendors wanting to do business with government; (b) vendors participating in a solicitation process; and (c) contractors providing goods, services or construction to government. The solicitation is structured to meet current needs.
Capturing Value occurs when a contract has been established that governs the responsibilities and obligations of both supplier and buyer, and well as when the organization has the right Procure-to-Pay processes in place to ensure compliance to those agreements, goods, services and prices. .
Rated Criteria The technical evaluation criteria needs to align clearly with the scope / performance requirements of the good / service being procured. Once a procurement is awarded it moves to contractmanagement whose primary functions are implementation, compliance and issue management.
Press release Utrecht & Sofia December 15, 2017 Dutch software company Negometrix to develop the national procurement system for all Bulgarian Public Entities On December 15, 2017 Negometrix as part of a consortium, signed a contract with the Public Procurement Agency of the Republic of Bulgaria.
To ensure bidders are qualified to provide the required good / service it is recommended they score at or above a minimum technical threshold to proceed to the next evaluation stage. Step 5 Award & Close Out The highest ranked bidder is notified of the award subject to signing the contract and providing Certificates of Insurance.
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