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ICT Procurement Framework open for feedback
ICT Procurement Framework open for
feedback
3 April 2018
Tags:
Digital sourcing and ICT procurement (/taxonomy/term/25)
We're seeking feedback from government and industry on a draft ICT Procurement Framework.
link to page 12
What we're doing
The DTA is seeking feedback from government and industry on a draft ICT Procurement
Framework for the digital age.
It will provide the foundation to ensure we deliver a simple and clear approach to government
ICT procurement — for both government buyers and industry sellers.
It is essential we spend the time to get the framework right. We’re looking for feedback from
people working in government and industry.
This consultation paper includes our findings from user research on government ICT
procurement and questions to prompt your thinking. We want your feedback. We’d like to
know about your experience with government ICT procurement and how the proposed
framework will impact on your work.
W
e have provided a set of questions to guide your feedback. This will build on our existing
research and shape the final ICT Procurement Framework.
Please send your responses to xxxxxxxxxxxxxx@xxx.xxx.xx
(mailto:xxxxxxxxxxxxxx@xxx.xxx.xx) by 24 April 2018.
Overview
The government accepted the 10 recommendations of the
ICT Procurement Taskforce
(https://ict-procurement.digital.gov.au) (subject to some minor adjustments). This included
Recommendation 1, which was to adopt a framework for ICT procurement, putting forward ICT
procurement principles to guide policy and decision making.
A draft framework has been developed by a multi-agency exemplar team, which aims to make
the ICT procurement process consistent, efficient and easier for all.
What we did
The exemplar team worked out of the DTA offices in Canberra. It was made up of procurement
experts from seven Australian Government agencies who came together to develop, prototype
and test the ICT Procurement Framework.
The team conducted a series of research sessions to understand user needs, as well as
consultation sessions with multiple agencies and industry bodies.
The result of this work is a single draft framework that incorporates behaviour and cultural
change and user needs and preferences. It will make ICT procurement in government
consistent, efficient and easier, and encourages a new procurement culture that supports
innovation and an entrepreneurial spirit.
What we found — emerging themes
Panels are good but they could be better
There's too many, they should be refreshable, complexities with using them if you're not the
lead agency.
One size doesn't fit all
Each agency is different, each procurement is different.
Everyone welcomes the idea of guidance
A one-stop shop for information and tools could save time and effort.
People learn from other people and experience
But they don't collaborate outside their agency.
There is a sense that procurement is very restricted
Some of this is myth and some of it is real.
ICT procurement isn't understood as a specialist field
This varies across agencies as does the level of expertise and experience.
What we heard
Panels are good but they could be better
We found many government procurement officers see panels as rigid and lacking flexibility.
This can mean new players and emerging technologies are locked out because traditional
panels are not set up to bring on new service categories. There is a sentiment that there are
too many panels, there is a wide variance in the way panels are managed and it can be difficult
to find the panel manager for non-mandated panels.
One size doesn’t fit all
Agencies let us know ICT procurement policy requires flexibility and wide consultation. There
was strong support for increasing the $80,000 procurement threshold, which adds red tape for
buyers and is seen as a barrier to entry for sellers. This threshold forms part of our international
trade agreements making it a complex research finding for us to tackle.
Everyone welcomes the idea of guidance
Agencies told us they would like an ICT procurement ‘One Stop Shop’ from the DTA that
includes guidance, tools and reporting. Agencies would like the DTA to create an ICT
contracting suite for medium value procurements (targeting SMEs). This could include adding
clauses for contractor poaching, piggybacking and others where appropriate.
People learn from other people and experience
We found there is support for and value in like-minded people talking, sharing and
collaborating. This could be in the format of a panel manager forum or ICT professional’s
forum.
There is a sense that procurement is very restricted
There are a number of myths to bust for agencies to understand their choices when buying
goods and services. Agencies are often not making the most out of the flexibility already built
into the Commonwealth Procurement Rules. User research highlighted that internal
Accountable Authority Instructions (AAIs) and operational processes are seen as restricting
procurement practices, but this understanding is often outdated.
ICT procurement isn’t understood as a specialist field by agencies
The user research showed that ICT procurement is seen as a profession that needs to be
supported at an agency level to invest in the capability uplift required. Further, this capability
has become diluted and has moved towards more generalist procurement skills. The team
found a need for training and learning opportunities to support the profession.
The draft framework
This draft framework demonstrates the principles, policies and guidance work together to help
deliver a fair, effective and efficient ICT procurement process.
Under the framework, agencies retain their responsibility for ICT procurement. The DTA is
responsible for providing a unified set of principles, policies and guidance to agencies on how
best to carry out ICT procurement.
The framework will apply to ICT procurement by both Commonwealth Corporate Entities and
Non-Corporate Commonwealth Entities.
The framework will be available for all Australian, state and local governments to use, for all
categories. It is mandatory for Non-Corporate Commonwealth entities to procure through
coordinated arrangements, where these exist.
The framework will support the Australian Government’s Digital Transformation Agenda by
simplifying and standardising the way agencies operate across all aspects of ICT procurement,
improving the user experience for buyers and sellers.
Policies
The framework includes four policies (two new and two existing).
Fair Criteria Policy (new)
The objective of the Fair Criteria Policy is to encourage competition and support SME
participation. It could include considerations around insurance, limiting liability, security, and
separate financial criteria for large enterprises and SME, where appropriate.
ICT Consider First Policy (new)
The objective of the ICT Consider First Policy is to make sure all options are considered before
procurement starts. It could include consideration of Cloud First, Open Standards,
Cybersecurity, Shared Platforms, Digital Service Standards and Commercial Off The Shelf
(COTS).
ICT Portfolio Panels Policy (existing)
The new focus of the ICT Portfolio Panels Policy is to encourage competition and support SME
participation. This policy is an update and reinvigoration of the existing policy considering
areas such as refreshable panels and endorsement from DTA.
ICT Capped Term and Value Policy (existing)
This is a review of the existing ICT Capped Term and Value Policy to determine if the policy is
delivering the intended benefits. This aligns with the taskforce report which recommends
regular review and renewal of the ICT Procurement Framework and Policies. The review would
be based on evidence and informed by data.
Guidance
Our user research revealed the significant role guidance will have in changing behaviour and
delivering the principles and desired outcomes. The framework includes a range of guidance to
make the ICT procurement process consistent, easier and more efficient. This includes:
Information — a central repository for ICT procurement information, such
as:
departmental guides
guides to support procurement teams engaging with business
myth busting
Tools to make ICT procurement easy, such as:
model contracts
centralised registers
platforms, panels, AusTender
checklists
an annual benchmark on prices
decision tree: finding the right procurement approach
Forums for ICT procurement professionals to stay in touch across agencies:
This would include a range of virtual and physical forums such as an ICT procurement
bulletin and potential new seller and government buyers groups.
Reporting
Reporting should focus on data that can be easily tracked and monitored, that measures both
the principles and the policies.
Where data is not available via AusTender, further consultation with entities will be required to
understand:
If it is possible to obtain this information
What it would cost agencies to collect (i.e. time, resources)
The value that the information would provide would then be assessed to see if it offers enough
value to warrant the resources taken to collect it.
There is work to do with AusTender to ensure that the information captured is reliable and
holistic. Not everything is captured on AusTender, and it is heavily reliant on the quality of
input from agencies.
Questions to prompt your thinking
The DTA is seeking responses to the following set of questions. This will help us build on
previous user research findings.
Please send your responses to xxxxxxxxxxxxxx@xxx.xxx.xx
(mailto:xxxxxxxxxxxxxx@xxx.xxx.xx) by 24 April 2018.
Questions on the framework for buyers and sellers
1. List the parts of the framework that are most important in what you do. Why are these
important?
2. How could you use the framework to make an effective procurement decision?
3. What else would you need from an ICT procurement framework to make an effective
procurement decision?
4. Is there anything else you would need within a framework to make an effective
procurement decision?
Additional questions for government buyers
The intended purpose of this framework is to guide ICT decision-making
1. How are decisions in your organisation made about ICT procurement?
2. What do you consider when making an ICT procurement decision?
3. Do you consider SMEs when making an ICT procurement decision?
4. Who is involved in these decisions?
5. Do you report on these decisions? How? To Who?
6. Do you use any tools or guidance to help inform your decisions?
7. How have recent ICT policy decisions impacted procurement?
8. How are you made aware of policy changes that relate to ICT procurement?
9. Is procurement valued within your entity?
10. What is the structure of procurement and contract management within your agency?
Additional questions for people selling to government
1. How do you think the proposed framework will change your procurement experience
with government?
2. Which is the most important principle to your business, and why?
3. Which is the most important proposed policy for your business, and why?
4. What type of industry/government forums have you seen work well, and why did they
work?
5. What is the one thing you would change about how government procures products and
services, and why?
6. What elements of the framework have the most potential to save you time?
7. How does your experience of ICT procurement differ to general procurement?
For media enquiries email us at xxxxx@xxx.xxx.xx (mailto:xxxxx@xxx.xxx.xx)
For other enquiries email us at
xxxx@xxx.xxx.xx (mailto:xxxx@xxx.xxx.xx)
© Commonwealth of Australia. With the exception of the Commonwealth Coat of Arms and
where otherwise noted, this work is licensed under the CC BY 4.0 license.
