Purchasing guidelines for state customers
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Purchasing Guidelines for State Customers. Shannon Kelley, Contract Manager Gerda Sessions, Contract Manager ICT Cooperative Contracts. ICT Cooperative Contracts. WHAT DO THEY DO? Create savings for taxpayers Leverage the state’s buying power to lower prices Contain best value

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Purchasing Guidelines for State Customers

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Purchasing guidelines for state customers

Purchasing Guidelines forState Customers

Shannon Kelley, Contract ManagerGerda Sessions, Contract ManagerICT Cooperative Contracts


Ict cooperative contracts

ICT Cooperative Contracts

  • WHAT DO THEY DO?

    • Create savings for taxpayers

    • Leverage the state’s buying power to lower prices

    • Contain best value

  • Optimize the purchase of ICT commodities and services

    • Streamlines process for customers

      • Reduces duplicate efforts: all contracts competitively procured

      • Reduces purchasing and contract cycle time: customers issue P.O. directly to DIR vendor

    • Simplifies sales process for vendors

  • Include ICT commodity items as contracted product offerings

    • Hardware

    • Software

    • Technology staffing services

    • Other ICT services with high customer demand (seat management, technology training, etc.)

| 2011 Power to Purchase Technology Expo


Who are dir s customers

Who are DIR’s Customers?

  • Eligible Customers Include

    • State Agencies

    • Higher Education

    • K-12 Independent School Districts

    • Cities

    • Counties

    • Municipal Water Districts

    • Out of State Governmental Entities – Eligible as of September 2005

    • Assistance Organizations registered with the Texas Facilities Commission or the Texas Comptroller of Public Accounts – Eligible as of September 2007

| 2011 Power to Purchase Technology Expo


Ict cooperative contracts fy10 sep 09 feb 10

ICT Cooperative ContractsFY10 (Sep 09–Feb 10)

  • 747 Cooperative Contracts

    • 214 HUB Prime Vendors

    • 498 Total Resellers

    • 353 HUB Resellers

  • 41% growth in last 2 years (FY 08 – 10)

  • Over $1.5 billion in Sales in FY10

| 2011 Power to Purchase Technology Expo


Ict cooperative contracts cost savings avoidance

ICT Cooperative ContractsCost Savings/Avoidance

  • DIR CUSTOMERS/TAXPAYERS

    • Savings calculated as difference between DIR price and price available in other states and from other cooperative contracting programs

    • Additional value (soft costs) not included in calculation

      • Time/salary savings associated with streamlined procurement process

      • Additional services or benefits such as “free training”

      • Improved performance standards and accountability requirements

Millions

ICT Cooperative ContractCost Savings/Avoidance

| 2011 Power to Purchase Technology Expo


Sales by channel fy10 ytd

Over 3,000 active customers in Texas and 44 other states (FY2010)

Sales by Channel FY10 YTD

| 2011 Power to Purchase Technology Expo


Available products

Available Products

  • Computers – over 20 brands

  • Software – over 1000 publisher titles

  • Networking Equipment – over 100 brands

  • Printers – over 25 brands

  • Surveillance Cameras – over 60 brands

  • Data Storage – over 20 brands

  • Digital Photography

  • Projectors

  • Security Products

  • Videoconferencing Equipment

  • Classroom Interactive Products

  • Graphing Calculators

| 2011 Power to Purchase Technology Expo


Available services

Available Services

  • IT Staffing Services – over 142 vendors

  • Training – Instructor Led and Computer Based

  • Seat Management – 7 vendors

  • Managed Document Output – 4 vendors

  • Deliverables Based IT Services (DBITS) – over 76 vendors

  • Telecommunications Services including:

    • Wireless Voice and Data

    • Pagers

    • Local Telephone Service

    • Long Distance

    • Internet

    • Satellite

    • Video

    • Interpreter Services – over the phone

    • Audio Conferencing

    • Cable Modem and DSL

| 2011 Power to Purchase Technology Expo


New product offerings

New Product Offerings

  • Emergency Preparedness Hardware

    • RFI Radio-frequency identification (RFID)

    • Radios/Radio Interoperability/Radio Test Equipment/Towers

    • Mobile Command Center

  • Emergency Preparedness Software

  • Enterprise Resource Planning (ERP)

    • Oracle

    • Springbook

    • A.R.T. Response Team

    • STW Inc.

    • Sage

    • Ziegner

    • Agular

  • Mobile Digital Video Recording Systems

| 2011 Power to Purchase Technology Expo


Ict cooperative contracting process

ICT Cooperative Contracting Process

HOW DOES DIR ESTABLISH CONTRACTS?

  • DIR competitively bids all contracts

  • DIR establishes Statewide Master contracts with vendors for products or services when sufficient customer demand exists

  • DIR posts request for offers (RFOs) on the Electronic State Business Daily (ESDB)

  • RFOs are generally posted for 30 days

  • Many contracts include multiple awards

  • Contracts are awarded for a specified term

  • More frequent bidding opportunities

  • Regional RFOs

| 2011 Power to Purchase Technology Expo


Evaluation process

Evaluation Process

  • Vendor responses evaluated using the following criteria:

    • Pricing

    • Vendor’s plan for supporting the contract

    • Quality and thoroughness of response

    • Vendor’s customer references

  • Contracts awarded based on Best Value

  • Vendors above the competitive break invited to negotiate

| 2011 Power to Purchase Technology Expo


It commodity purchasing procurement process

IT Commodity PurchasingProcurement Process

  • Steps for procuring IT commodity items

    • Identify your need or IT commodity item class code

      • Use the National Institute of Governmental (NIGP) Commodity Book

    • Go to DIR’s website and search for the item

  • If the search produces results

    • Procure the item through one of the DIR contracts listed

      • Obtain quotes from listed vendors

      • Issue Purchase Order directly to the vendor

      • Vendor will issue invoice directly to customers

      • Customers pay vendor

  • If the search does not produce results

    • “There are currently no DIR cooperative contracts for the IT Commodity item”

    • Proceed with the purchase through another procurement method

| 2011 Power to Purchase Technology Expo


It commodity purchasing procurement process continued

IT Commodity PurchasingProcurement Process, continued

  • Example: Computer

    • Class/items code:

      • 204 (Computer Hardware and Peripherals for Microcomputers)

      • 60 (Monitors, Color and Monochrome (CGA, VGA, SVGA, etc.)

    • IT Commodity: Yes

    • Special purchasing programs: No

    • Search DIR website

| 2011 Power to Purchase Technology Expo


Website home page

Website – Home Page

| 2011 Power to Purchase Technology Expo


Search products services

Search Products & Services

| 2011 Power to Purchase Technology Expo


Example computer monitor search by it commodity enter class code 204

EXAMPLE – COMPUTER MONITORSearch by IT Commodity…Enter Class Code 204

| 2011 Power to Purchase Technology Expo


Example computer monitor class code 204 all results

EXAMPLE – COMPUTER MONITORClass code 204 – All Results

| 2011 Power to Purchase Technology Expo


Example computer monitor narrowed results item code 60 possible sources

EXAMPLE – COMPUTER MONITORNarrowed Results – Item Code 60 (Possible Sources)

| 2011 Power to Purchase Technology Expo


Example copy machine enter class code 600

EXAMPLE – COPY MACHINEEnter Class Code 600

| 2011 Power to Purchase Technology Expo


Example copy machine class code 600 all results

EXAMPLE – COPY MACHINEClass Code 600 – All Results

| 2011 Power to Purchase Technology Expo


Example copy machine narrowed results item code 43

EXAMPLE – COPY MACHINENarrowed Results – Item Code 43

| 2011 Power to Purchase Technology Expo


Example copy machine narrowed results item code 43 no dir contracts

EXAMPLE – COPY MACHINENarrowed Results - Item Code 43 No DIR Contracts

| 2011 Power to Purchase Technology Expo


Current contracting initiatives

Current Contracting Initiatives

  • Future Contracting Opportunities

    • Posted on DIR’s Web site to improve communications between DIR vendors and customers

    • Lists initiatives by procurement stage

      • Planning

      • RFO Postings – links directly to the posting on theElectronic State Business Daily (ESBD)

      • Evaluation

      • Negotiation

      • Recent Awards

    • Each initiative has a brief description, expected phase completion date, and contact information

| 2011 Power to Purchase Technology Expo


Example current contracting initiatives

Example - Current Contracting Initiatives

| 2011 Power to Purchase Technology Expo


Current contracting initiatives posting

Current Contracting InitiativesPosting

| 2011 Power to Purchase Technology Expo


Current contracting initiatives evaluation phase

Current Contracting InitiativesEvaluation Phase

| 2011 Power to Purchase Technology Expo


Current contracting initiatives negotiation phase

Current Contracting InitiativesNegotiation Phase

| 2011 Power to Purchase Technology Expo


Current contracting initiatives negotiation phase continued

Current Contracting InitiativesNegotiation Phase, continued

| 2011 Power to Purchase Technology Expo


Current contracting initiatives recent awards

Current Contracting InitiativesRecent Awards

| 2011 Power to Purchase Technology Expo


Questions ict cooperative contract program

Questions: ICT Cooperative Contract Program

SHANNON KELLEY, GERDA SESSIONS

[email protected]; [email protected]

512-463-7666; 512-936-2766

ICT Cooperative Contracts Division

www2.dir.state.tx.us

| 2011 Power to Purchase Technology Expo


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