Contractors And Suppliers - Don't Miss Out In Procurement
20th December 2010
Public sector procurement reform has direct impact for Scottish business.
Scottish businesses have greater and more efficient access to public sector contract opportunities worth £9 billion annually - that's the conclusion of a two-year progress report launched this week.
The report, published by Public Contract Scotland (PCS), outlines the impact its online purchasing portal has had on public sector procurement.
The portal was launched in 2008 following the publication of Review of Public Procurement (2006), by John McClelland CBE - he called for a single public sector "electronic portal" to help drive efficiency across the public sector.
The PCS portal provides a free service for contractors and suppliers and an open and transparent resource which in turn has created a competitive-market environment nationally.
So far, over 49,000 suppliers have registered to use the portal - this figure is expected to reach 50,000 by early next year. For suppliers, and in particular SMEs and third sector organisations, the portal provides a one-stop, single access point to public sector contract opportunities. Once registered, suppliers can receive e-mail alerts with contract opportunities relevant to their business.
The ease of accessibility and reduced tendering time has resulted in overall efficiency savings to business estimated to be worth tens of millions of pounds.
250 contracting organisations - ranging from local authorities to housing associations - currently use the portal to advertise contracts, resulting in over 8000 business opportunities published over a 12-month period up to November 2010.
Demand from business to use the service is strong, with over 40 per cent more suppliers registering during 2009 - 2010, with traffic to the portal in November recording a record high with 900,000 pages viewed.
Since its launch, as part of the Scottish Government's procurement reform programme, the portal has become widely recognised as market leader, with interest shown from international governments keen to know how PCS got started, developed and delivered.
John Swinney, Cabinet Secretary for Finance and Sustainable Growth, said: "Since its launch in 2008, the Public Contract Scotland portal has transformed the way in which public sector bodies carry out the procurement of goods and services. The single-access site has introduced a level of transparency and functionality which is unparalleled across Europe and it is playing a key role in driving up standards of Scottish public sector procurement.
"By opening up contract opportunities to business and encouraging competition there have been significant cost-saving impacts to the public sector. In addition, the portal has simplified the tender process for business, reducing the administrative burden and resource previously associated with working with the public sector.
"Public sector procurement reform is an ongoing process, but, this two-year review demonstrates that efforts and innovations already in place have delivered real benefits to public sector organisations and business."
John McClelland CBE and chair of Scottish Funding Council, added: ""I think public sector procurement in Scotland has evolved rapidly in the years since my report, and to be where we are now, leading the way internationally in public sector procurement reform, is a fantastic achievement.
"The introduction of the portal was a major milestone because it brought together, for the first time, a focal point for public sector procurers and suppliers - it is a significant move and now we are building on it.
"When I conducted my review, time and time again suppliers and organisations such as Federation of Small Businesses, Chambers of Commerce and CBI, had a common complaint that was about lack of knowledge and ease of access to public sector contract opportunities. There is no doubt now that the PCS portal brings information and opportunity to the desktop of thousands of businesses."
www.publiccontractsscotland.gov.uk
