Winning Government Business in Canada


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  • This is one of the few presentations available online from public or private sector about winning business with the Canadian government. There should be more! Canadian procurement consultants/experts, where are you? Hundreds of small companies want your expertise...and want to know how/whether selling to the Canadian government is good for their businesses, and, if so, what next! Office of Small & Medium Enterprise (OSME) in PWGSC is ramping up outreach...ask them to post stuff here, too!

    Judy Bradt,
    Dynamic Strategist & Speaker on GovBiz. Author of 'Government Contracts Made Easier' - NOW available on Amazon!
    Washington D.C. Metro Area Management Consulting
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  • Nice, thanks for informatif presentation..
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Winning Government Business in Canada

  1. 1. CanadaBusiness with Government<br />A Working Session with <br /><br />
  2. 2. Doing Business with Government<br />The Structure of Government<br /><ul><li> Parliament
  3. 3. Treasury Board
  4. 4. Privy Council Office
  5. 5. Deputy Ministers
  6. 6. Departments, Agencies, Crown Corporations, Special Operating Agencies
  7. 7. Regional Operations
  8. 8. Local Offices
  9. 9. FedNor</li></li></ul><li>Doing Business with Government<br />Procurement Overview<br /><ul><li> rules set by the Treasury Board
  10. 10. there is a central procurement operation which has own procurement guidelines
  11. 11. guiding principle is fairness - therefore competition, OBS, GBO
  12. 12. departments abide by Treasury Board but set own procedures</li></li></ul><li>Doing Business with Government<br />Procurement Overview<br /><ul><li> total expenditure $8 billion annually
  13. 13. Public Works and Government Services Canada (PWGSC) spends $4 billion </li></ul> of total<br /><ul><li> generally, all requirements are open to tender
  14. 14. sole source is possible but strictly controlled
  15. 15. goods and services contracts are treated differently</li></li></ul><li>Doing Business with Government<br />Procurement Overview (cont’d)<br />Goods <br /><ul><li> departments - up to $5k directly
  16. 16. source lists between 5k and 25k - departments can influence lists
  17. 17. greater than 25k use Open Bidding System and Government Business Opportunities</li></ul>Services<br /><ul><li> 18% through PWGSC
  18. 18. departments up to $100k non-competitive,$400k competitive
  19. 19. Crown Corporations and Agencies more flexible</li></li></ul><li>Doing Business with Government<br />Procurement Overview (cont’d)<br /><ul><li> PWGSC uses procurement manual
  20. 20. other departments may or may not follow same procedures
  21. 21. procurement runs on fiscal year of April 1 to March 31
  22. 22. Contract Claims Resolution Board</li></li></ul><li>Doing Business with Government<br />PWGS Procurement Activities<br />Golden Rule - Competitive Procurement<br /><ul><li> Treasury Board Guidelines on Procurement
  23. 23. PWGSC Procurement Manual
  24. 24. Procurement structured by Directorates</li></ul> Armament, Marine and Electronics Systems<br /> Science, Informatics, and Professional Services<br /> Industrial and Commercial Products and Standardization<br /> Real Property Contracting Directorate<br /> Construction and Maintenance Services<br /><ul><li> Contracts Canada</li></li></ul><li>Doing Business with Government<br />PWGS Procurement Activities<br />How PWGSC Buys<br />telephone buy under 5k, 3 companies over telephone<br />request for quotation (RFQ) under 25k, selected suppliers<br />invitation to tender more than 25k, price only<br />request for proposal (RFP) more than 25k, not only price<br />request for standing offer extended time period, no commitment<br />sole source special circumstances<br />
  25. 25. Doing Business with Government<br />Structure of Departmental Procurement Activities<br />Departmental/PWGSC organization structure the same:<br />Deputy Minister<br />Assistant Deputy Minister<br />Director General<br />Director<br />Manager/Chief<br />Section Head<br />Procurement Officer<br />Procurement Clerk<br />
  26. 26. Doing Business with Government<br />Structure of Departmental Procurement Activities<br />Departmental procurement structure is different:<br />Deputy Minister of department<br />Assistant Deputy Minister - Corporate Services<br />Director General - Finance and Administration<br />Director - Administration<br />Manager/Chief - Material Management<br />Section Head - Procurement<br />
  27. 27. Doing Business with Government<br />Procurement Mechanisms<br />Open Bidding System<br />Government Business Opportunities<br />PWGSC and departmental source lists using telephone/trade directories etc.<br />Results are:<br /> individual contracts<br /> standing Offers - National Master, Regional Master, National Individual, Regional Individual, Departmental Individual<br /> supply arrangement<br />
  28. 28. Doing Business with Government<br />Procurement Mechanisms<br />Sole source contracting<br /><ul><li> only under special circumstances
  29. 29. Advanced Contract Award Notice posted on OBS for 15 calendar days
  30. 30. any supplier can file Statement of Capabilities</li></li></ul><li>Doing Business with Government<br />Accessing Procurement Opportunities<br /><ul><li> register as a supplier in the Supplier Registration Information System (SRI) through Contracts Canada
  31. 31. obtain OBS account through MERX
  32. 32. contact procurement officers in all departments and agencies</li></ul>SRI links to (mostly Regional):<br />Vendor Management Information System - identifies sources of supply, low dollar value<br />Administration and Control of Contracts and <br />Regional Data System - low dollar value construction and maintenance <br />
  33. 33. Doing Business with Government<br />The Open Bidding System<br /><ul><li> created approximately 9 years ago
  34. 34. response to perceived lack of fairness in supplier opportunity
  35. 35. run by a private contractor under the name MERX
  36. 36. linked to the bulletin of Government Business Opportunities published every Tuesday and Friday
  38. 38. information retrievable by searchable category, by GSIN, or by creating a profile</li></li></ul><li>Doing Business with Government<br />The Open Bidding System<br /><ul><li> new contract history site available to see who has purchased what
  39. 39. the OBS should not be taken as the sole approach to obtaining government work
  40. 40. the system may no be entirely free of bias</li></li></ul><li>Doing Business with Government<br />The Request for Proposal (RFP)<br /><ul><li> used where the contracting decision is based on more than simply price
  41. 41. statement of requirements which must be met by bidder
  42. 42. requirements include:
  43. 43. mandatory requirements - pass or fail
  44. 44. point rated criteria - scope for creativity
  45. 45. technical - how the bidder will do the work
  46. 46. management - staff, approach to project, understanding of requirement, quality control (the non-cost items)
  47. 47. financial section - costs and relationship to deliverables</li></li></ul><li>Doing Business with Government<br />The Request for Proposal (RFP)<br />Preparation:<br /><ul><li> FIRST IMPRESSION COUNTS
  48. 48. each point must be addressed in order
  49. 49. include chart relating proposal content to RFP requirements
  50. 50. include covering letter
  51. 51. reference Standard Acquisition Clauses and Conditions Manual if necessary
  52. 52. obtain Industrial Security clearance in advance</li></li></ul><li>Doing Business with Government<br />The Request for Proposal (RFP)<br />What procurement officers are looking for:<br /><ul><li>neat, well organized proposal
  53. 53. all points must be addressed in order
  54. 54. clarity and conciseness of presentation
  55. 55. demonstration that supplier understands the request, and proposal speaks directly to it
  56. 56. each point in mandatory requirements covered </li></li></ul><li>Doing Business with Government<br />The Request for Proposal (RFP)<br />How to improve proposals:<br /><ul><li> contact procurement officer when unsuccessful
  57. 57. obtain debriefing
  58. 58. meet with potential clients and determine their specific needs</li></li></ul><li>Doing Business with Government<br />Action Items<br />1. ensure company is on list of government green service providers2. access the OBS twice a week<br />2. arrange for industrial security clearance for the company/staff<br />3. register on the Supplier Registration Information System<br />4. make company known to appropriate procurement officers in PWGSC <br /><ul><li> AMES
  59. 59. ICPSS
  60. 60. regional offices</li></ul>5. make company known to procurement officers in potential client departments, HQ and regions<br />
  61. 61. Doing Business with Government<br />Action Items<br />6. set up OBS bid-matching<br />7. subscribe to the GBO bulletin<br />8. see about partnerships with clients and with PWGS<br />9. obtain Canadian General Standards Board (CGSB) standards for your services<br />10. access contract history site to analyse contracts relating to your services <br />11. develop lists of key contacts<br />12. duplicate above list for provincial departments<br />
  62. 62. Doing Business with Government<br />Major contractors and Contracts through PWGSC 2000 – 2001 (billions)<br />National Defence 4.8 <br />PWGSC 2.5 <br />Treasury Board .8<br />Canadian Commercial Corp .5<br />Canadian Space Agency .19<br />CCRA .13<br />Fisheries and Oceans .12<br />Health Canada .12<br />Major Commodities<br />Transport services 1.02<br />Telecommunications services .86<br />EDP equipment .8<br />Communications equipment .6<br />Fuels, lubes etc. .55<br />Facilities operations .45<br />Motor vehicles .4<br />Architect and Engineering Services .4<br />
  63. 63. Doing Business with Government<br />Government of Ontario<br /><ul><li> structure of government and procurement similar to federal government
  64. 64. procurement limits also similar to federal government - goods over 25k and services over 100k are tendered electronically (MERX) or through the newspaper
  65. 65. less than these limits - RFT, RFP, telephone or written quote
  66. 66. environmental concerns in contracts over 10k
  67. 67. Thank You
  68. 68.</li>
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