Department of Administrative Services

Procurement Transformation Progress Report

March, 2008

Staffing:

•Every job within SPD has been re-established with enhanced

skill sets.

•State Commodity Teams have been formed with

Procurement professionals with resident expertise I the

various commodity categories.

Training:

•The number of training courses offered by the SPD has

increased from two to seventeen.

Sourcing Teams:

• Sourcing teams have been created, composed of

representatives from various agencies and universities, to

assist with the development and delivery of statewide

contracts.

Process Improvement:

• A Process Improvement function, including regular

Compliance Reviews, has been implemented to ensure

compliance with procurement law and the state’s purchasing

process.

Negotiation:

• Newly passed legislation under HB312 enabled SPD to

conduct negotiations for RFPs, resulting in an average of 4 –

5% cost reduction through each round of procurement

negotiations.

P-Card Management:

• SPD’s new P-Card Program Management office is focusing

on driving P-Card policy across the sate and monitoring P-

Card activity from a program perspective to ensure the

effective use of P-Cards to lower the state’s procurement

costs for small dollar purchases.

Vendor Protest Reduction:

• Changes to the procurement process have resulted in fewer

challenges to state purchasing solicitations. Only 1.3% of the

state’s procurements are now challenged.

•The cycle time for vendor protests has been reduced from 58

days to an average of six days – speeding up the finalization

of challenged procurements by more than seven weeks.

Tools:

• eQuote, an application used by state buyers for smaller

procurements, has been re-engineered and enhanced to

ensure fair competition on a wider variety of procurements.

•SPD invested in six PeopleSoft Procurement modules which

will result in a virtually paperless purchasing workflow from

start to finish