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Procurement Vendor Briefings

2. Background. Work HistoryMinistry of Education 2002

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Procurement Vendor Briefings

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    1. Procurement – Vendor Briefings

    2. 2 Background Work History Ministry of Education 2002 – 2008 Ministry of Agriculture and Forestry 2008 – now Roles: Infrastructure Services Manager, Acting CIO, Management Consultant Procurement Experience Infrastructure Hosting, Storage, PC’s, Servers, Network equipment, Video Conferencing, Microsoft, LAR’s Services IT Services Sector Collaboration Schools Software Schools Payroll

    3. 3 MAF – Information Management MAF Business Three main customers – Biosecurity, Policy, NZFSA Border transactions dropping Changes in Government environment policy Translate to declining business MAF IM Microsoft shop – some other …Unix / Power Builder 2000 PC’s, 250 Intel Servers, 15 Unix, 25 locations, 180 single user sites Largely outsourced – Service Providers, Unisys, Telstra, and Revera Locked into existing commercial arrangements Plans Going Forward Optimise technology / streamline services / variablize cost structures Work with current providers where possible Embark on a transition journey Position ourselves for take up of ‘Cloud Computing’ – 18 month timeframe Planned Tenders Panel Supply Contract – Software Development Services

    4. 4 Our Preferred Style – Right Sourcing Outsource complete segments or silo’s Set scope broadly Clear accountability - Service Providers Long term relationships Services not product

    5. 5 Cloud Computing What is it ? Virtual Infrastructure Consolidates, Servers, Storage, Hosting, Networking Removes life cycle management, warranties, under uitilisation Economies of scale Suits us ? Variabilise cost structure Removes complexity – No. of dimensions multi vendors, support, cost Is it there yet ? No - but see signs of it being established … is maturing We aren’t ready either.. Positioning ourselves to take advantage

    6. 6 Cloud Computing - Considerations Government Wide Facility ? Government Shared Network #2 Syndicated procurement Future potential but possibly a long way off Requirements Demonstrable policy and process Security Performance / availability Life cycle management On shore Sharing existing virtualised resources Yes – but not so easy Facilitated by a vendor

    7. 7 Procurement Process The process - Its not easy ! Plan, Plan, Plan Develop the plan Confirm resources Prescriptive RFP Dry run.. Sample contract Short sharp snappy evaluation process 2 -3 weeks The contract How can vendors help ?

    8. 8 Evaluation Criteria / Weightings Well thought through ! Commodity vs customised Service Legitimate opportunity to influence outcome Method Product Often it either complies or it doesn’t Value for benefits above or below requirements Cost Lowest Cost X % off lowest cost loose marks Weightings range from 15% - 75% Service Support capability, similar experience, spares, etc etc What would the value of that be ? Less work, quicker delivery, better level of support

    9. 9 Term of Contract Longer rather than shorter but .. Appropriate right of renewal Exit clauses Maintaining competitiveness over life of contract Life Cycles x Number Crystal Ball Gazing Future Direction – Industry / Vendors / products Gartner and other commentators

    10. 10 Do’s Respect our decisions Govt Guidelines / internal sign-offs / financial & technical constraints Understand where we sit in the life cycle Procurement renewals Help us think about ‘ways of working’ Real life case studies Similar agencies using product or services to add value Examples of how to describe RFP requirements Facilitate Cross Government Collaboration Vendor Updates / User Forums Sharing facilities Put Your best foot forward during tenders

    11. 11 Don’t’s Perpetual bugging Divide and Conquer Government agencies all talk Private conversations inside our organisations Ignore the chain of command Approach us during tender processes Drag the chain on contract sign-off

    12. 12 The Model Vendor Seen some very good examples Best one – Commodity Engrained themselves into our business processes Completed surveys across the country on our behalf Compiled data, organised purchase schedules Ran implementation project – liaised direct with our staff Monthly reporting / updates Governance model All done as a ‘Value Add’

    13. 13 Thanks You Questions ? Thoughts ? Comments

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