RFP Policy Implementation Report
Executive Summary
The role of purchasing has evolved from the traditional need to satisfy operational requirements to a process including supply continuity, stakeholder engagement, supply base management and the development of strategic sourcing strategies.
After reviewing my organizations current purchasing strategy, or lack thereof; my goal is to initiate and implement an effective RFP Policy within the organization. The procedure will need to align with the executive vision and internal user-specific business goals.
To implement an RFP policy that is effective, it will need to be a repeatable, well-defined process. Following the analysis of the current policies surrounding purchasing, an outline proposing a process based on the model of the contract management lifecycle is outlined.
The model includes the key elements required to initiate, bid, develop, negotiate and manage the process. The outlined policy will be proposed to senior management in an effort relate the benefits and advantages our organization would realize through its implementation.
Current RFP Policy
Following a search to locate an existing RFP or Purchasing Policy within my organization, I was led to a binder holding the contents I desired. After reading the policies, I understood why they are not readily accessible. Besides the fact that they are archaic, confusing, and impossible to implement, the current system enables an environment of maverick purchasing by position. Cost efficiencies that could be realized from a current, well-structured RFP Policy are non-existent.
The two purchasing policies identified are a Purchase Order Policy and an Application for Expenditure Policy. The entire purchasing process is summed up in eight pages shared between two documents. The subsequent section contains my analysis of issues contained within the policies, followed by recommendations to for improvement.
Policy Analysis
PURCHASE ORDER POLICY
This policy begins with a Responsibility
The role of purchasing has evolved from the traditional need to satisfy operational requirements to a process including supply continuity, stakeholder engagement, supply base management and the development of strategic sourcing strategies.
After reviewing my organizations current purchasing strategy, or lack thereof; my goal is to initiate and implement an effective RFP Policy within the organization. The procedure will need to align with the executive vision and internal user-specific business goals.
To implement an RFP policy that is effective, it will need to be a repeatable, well-defined process. Following the analysis of the current policies surrounding purchasing, an outline proposing a process based on the model of the contract management lifecycle is outlined.
The model includes the key elements required to initiate, bid, develop, negotiate and manage the process. The outlined policy will be proposed to senior management in an effort relate the benefits and advantages our organization would realize through its implementation.
Current RFP Policy
Following a search to locate an existing RFP or Purchasing Policy within my organization, I was led to a binder holding the contents I desired. After reading the policies, I understood why they are not readily accessible. Besides the fact that they are archaic, confusing, and impossible to implement, the current system enables an environment of maverick purchasing by position. Cost efficiencies that could be realized from a current, well-structured RFP Policy are non-existent.
The two purchasing policies identified are a Purchase Order Policy and an Application for Expenditure Policy. The entire purchasing process is summed up in eight pages shared between two documents. The subsequent section contains my analysis of issues contained within the policies, followed by recommendations to for improvement.
Policy Analysis
PURCHASE ORDER POLICY
This policy begins with a Responsibility