What is a dynamic Purchasing System?

Preamble

NORDUnet is setting up Dynamic Purchasing Systems, to allow NORDUnet and the Nordic NREN’s, to buy primarily services.

Current services in scope is i.e. Media Management, Learning Management, Cloud Storage and collaboration, Speech2text etc.

What is A Dynamic Purchasing System (DPS)?

A Dynamic Purchasing System (DPS) is an electronic procurement method used by public sector organizations to acquire goods, services, or works. Unlike traditional frameworks, a DPS remains open for suppliers to join at any time, provided they meet the selection criteria. This flexibility allows for a dynamic and competitive marketplace, ensuring that buyers have access to a broad range of suppliers throughout the system’s duration. (Tendium)

Key Features of a DPS:

• Open Enrollment: Suppliers can apply to join the DPS at any point during its operation, promoting continuous competition and innovation. (Tendium)
• Electronic Process: The DPS operates entirely online, streamlining procurement procedures and reducing administrative burdens. (GOV.UK)
• Flexibility: Buyers can define categories within the DPS to meet specific procurement needs, allowing for tailored solutions. (GOV.UK)

Benefits of Using a DPS:

• Enhanced Competition: The open nature of a DPS encourages more suppliers to participate, leading to better value for money. (Local Government Association)
• Access to SMEs: Small and medium-sized enterprises (SMEs) find it easier to join a DPS, fostering diversity and innovation in the supply base. (LPP NHS)
• Efficiency: The electronic setup accelerates procurement processes, with simple tenders potentially completed within a minimum of ten days. (LPP NHS)

Getting Started with a DPS:

1. Registration: Suppliers interested in joining a DPS should register on the relevant electronic procurement platform. (Crown Commercial Service)
2. Application: Suppliers submit the necessary documentation to demonstrate compliance with the selection criteria. (Tendium)
3. Participation: Once admitted, suppliers can participate in tenders issued under the DPS, offering their goods or services as opportunities arise. (Tendium)

Best Practices for Maximizing DPS Engagement:

• Stay Informed: Regularly monitor the DPS for new tender opportunities to ensure timely responses.
• Maintain Compliance: Keep all certifications and qualifications up to date to meet ongoing selection criteria.
• Engage Actively: Participate in feedback sessions or workshops offered by the contracting authority to better understand buyer needs and improve service offerings.

By understanding and leveraging the features of a Dynamic Purchasing System, users can enhance their procurement strategies, access a wider range of suppliers, and achieve greater value in their purchasing activities.

Frequently Asked Questions (FAQ) Buyers

1. What are the advantages of using a DPS over traditional procurement methods?

A DPS provides greater flexibility than traditional frameworks, allowing you to continually onboard new suppliers, which increases competition and can improve value. It also simplifies the procurement process by being fully electronic, saving time and administrative resources.

2. Can I tailor the DPS categories to suit specific needs?

Yes, you can create specific categories within the DPS to align with your organization’s unique procurement needs. This allows for a customized approach to sourcing while maintaining the flexibility of an open system.

3. How do I ensure compliance and quality standards within a DPS?

You can set minimum standards and compliance requirements that suppliers must meet to join the DPS. It’s essential to clearly define these requirements during setup so that only qualified suppliers can participate in tenders within the system.

4. How do I invite suppliers to participate in a tender on the DPS?

Once a DPS is established, you can issue an invitation to all qualified suppliers within the relevant category. Suppliers meeting the criteria can then submit tenders, and you can evaluate and select the best fit for your needs.

5. How long does it take to run a procurement process through a DPS?

The timeline varies depending on the complexity of the tender, but the electronic nature of a DPS can significantly reduce turnaround times. Simple tenders might be completed in as little as 10 days, while more complex ones may require a longer period.

6. How can I evaluate and select suppliers within a DPS?

DPS platforms often offer streamlined evaluation tools that make it easier to compare supplier responses. Additionally, the platform can handle compliance checks, which ensures only eligible suppliers participate, simplifying the evaluation process for buyers.

7. What if I don’t find a suitable supplier within the DPS?

One of the key benefits of a DPS is its open nature. If you don’t find a suitable supplier immediately, you can wait for additional suppliers to join or encourage others to apply, as the DPS remains open to new entries.

8. Can small and medium-sized enterprises (SMEs) participate in a DPS?

Yes, a DPS is generally more accessible for SMEs because they can apply to join at any time and often face fewer barriers compared to traditional frameworks. This can broaden the range of suppliers and increase innovation.

9. Are there any best practices for maximizing efficiency with a DPS?

To get the most from a DPS:

• Regularly review and adjust your DPS categories to ensure they match current needs.
• Keep communication open with suppliers to promote a responsive and competitive market.
• Monitor performance metrics to continually refine your procurement process