Supplier engagement relates to communicating requirements to potential suppliers and establishing an arrangement for the supply of goods or services with the most suitable supplier.
Guidance in the 'Supplier engagement' stage comprises:
- developing requirements
- going to market
- evaluation and selection
By developing a specification of requirements, agencies provide suppliers with an accurate description of the buyer's needs to enable the supplier to propose a solution.
Going to market is about understanding the marketplace in which an agency is operating, and the commercial drivers of the suppliers.
Evaluation is a process that enables selection of the most appropriate offer with respect to pre-established criteria and may include negotiation to achieve agreed outcomes.
Suppliers must be notified about the results of the evaluation process and subsequent awarding of contract. Debriefing suppliers improves competitive performance, and long-term value for money for the agency.
This is the final step in the 'Supplier engagement' stage.
Contact Procurement Transformation.