Public sector organisations can profit from cost saving and quality purchasing when using procurement frameworks.
Public Sector procurement frameworks have a reputation for being cumbrous and clumsy, frequently presenting challenges to those wanting or demanding to upgrade critical services.
What is a procurement framework?
A procurement framework is an agreement set up to meet the requirements of public organisations with one single agreement. Before the agreement is drawn up, the service provider is completely vetted in the same way they would be during the tender process. Subsequently, a single agreement– known as a framework agreement, is established. This framework agreement determines the purchasing terms and conditions, as well as the expected service position prospects deliverable to each end- user.
The benefits of using a procurement frame
Efficiency
Buying through a procurement frame gives public organisations the ability to make purchases when they’re demanded. This reduces the likelihood of unnecessary delays and ensures a more efficient procurement cycle.
Cost savings
Centralising procurement activities through a framework enables public organisations to leverage economies of scale by negotiating better deals and bulk discounts with suppliers.
Supplier partner relationship
A procurement framework encourages a strategic approach to supplier relationships. The framework can include mechanisms for evaluating supplier performance, ensuring that vendors meet standards and contribute positively to the organisation’s goals.
Effectiveness
A procurement frame helps in defining and standardising procurement processes. This reduces the liability of gratuitous detainments and ensures a more effective procurement cycle. Those standardised procedures lead to consistency in how procurement conditioning is carried out across the organisation, promoting fairness and translucency.
Compliance
A procurement frame ensures that procurement conditioning adhere to applicable laws and regulations. This reduces the threat of legal issues and associated penalties. The framework helps to establish clear roles, responsibilities, and approval processes, ensuring that all procurement activities are in line with organisational policies.
Adaptability
A good procurement framework is flexible enough to adapt to changes in the business environment, technology, or regulatory requirements. It allows for the incorporation of innovative procurement strategies and technologies, keeping the organisation competitive in the marketplace.
Transparency
Standardized procedures and documentation contribute to transparency in procurement activities. Clearly defined roles and responsibilities, along with established processes, create a system of accountability, reducing the likelihood of errors or misconduct.
Click here to find more information about the framework agreements that OASIS Group are registered on.
About the author
Within my role as Group Marketing Manager I work closely with the Product, Sales and wider Marketing teams to develop and execute a results driven marketing programme across the group countries.
In this role I am responsible for developing, implementing and executing strategic marketing plans in order to attract potential clients and retain existing ones.