1. Creativity & Convergence Conference March 24, 2015

2. 2 Welcome & Introductions 1.Welcome to the Public Procurement Workshop 2.Introduction of Procurement Speakers –Darlene Chuka, Supply Team Leader Public Works & Government Services Canada –Justin Riemer, ADM, Economic Development & Innovation Division Alberta Innovation and Advanced Education, GOA –Bill Moulton, Executive Director, Procurement Modernization Project Procurement Services, Service Alberta, GOA –Dan Lajeunesse, Branch Manager Corporate Procurement & Supply Services, Corporate Services Department, City of Edmonton –Facilitator Ken Hein, Management Consultant

3. 3 Agenda 1.Kick-off –Purpose: Discuss Public Procurement & SME market solutions –Outcome: Synthesize opportunities – A balanced approach 2.Speaker presentations 3.Break 4.Audience questions and discussion 5.Summary 1.Review Session Purpose 2.Review Session Results 3.Next Steps

4. Public Works & Government Services Canada Office of Small & Medium Enterprises

5. 5 Office of Small and Medium Enterprises Provides assistance and information on how to sell your goods and services to the Government of Canada. Works to reduce barriers on your behalf in an effort to ensure fairness. Assists you in navigating the procurement process. Provides you with suggestions about where you may find opportunities. Over 210,000 individuals and suppliers have been assisted through our national awareness program activities since 2006. EngageAssist Inform Reduce Barriers

6. 6 PWGSC Initiatives Smart Procurement Build in Canada Innovation Program National Goods & Services Procurement Strategies Professional Services Method of Supply

7. 7 Smart Procurement Initiative 1.Early Engagement 2.Effective Governance 3.Independent Advice 4.Benefit to Canadians

8. 8 Early Engagement: Early and ongoing consultation and dialogue with stakeholders On needs identification, requirements, potential solutions, terms & conditions, evaluation/selection methods Using a variety of methods and tools Request for Information (RFI) Industry days, focus groups, one-on-one meetings, informal discussions

9. 9 Effective Governance: Establishes rules of engagement. Roles & responsibilities Mitigate risks Common understanding of the procurement process

10. 10 Independent Advice Use of third party experts to provide: –estimates –benchmarking –validation –advice –evaluations –oversight Fairness Monitor Industry associations, market experts Note: PWGSC responsibilities and obligations are not relinquished

11. 11 Benefit to Canadians Incorporating socio-economic benefits –Industrial and regional benefits –Benefits for Aboriginal businesses –Increase opportunities/reduce barriers for small and medium enterprises –Environmental responsibilities –Encourage innovation

12. 12 Examples of Smart Procurement Build in Canada Innovation Program (BCIP) National Goods and Services Procurement Strategy (NGSPS) National Shipbuilding Procurement Strategy (NSPS) Regional: Bulk Natural Gas; British Army Training Unit Suffield Training Centre (BATC)

13. 13 Office of Small and Medium Enterprises (OSME) | Bureau des petites et moyennes entreprises (BPME) To Kickstart Innovation Encourager l'innovation Programme d’innovation Construire au Canada Build in Canada Innovation Program

14. 14 Context Budget 2012 announcement made the Build in Canada Innovation Program permanent with the addition of a military procurement component. Supporting Canadian businesses. Assisting in bridging the “Pre-commercialization Gap”. Providing real-world evaluations of pre-commercial goods and services. Improving the efficiency and effectiveness of government operations. P ROGRAM S TAGES Call for Proposals Outreach Validation Committee Pre-qualified Innovations Contracting & Testing Evaluations

15. 15 BCIP MILITARY Fully electronic submission process, supporting environment and national scope Through a competitive process, the government will procure pre-commercial innovative goods and services for testing and use in the federal government. Bidders are required to select either the Standard or Military component. Call for Proposals Outreach Validation Committee Pre-qualified Innovations Contracting & Testing Evaluations

16. 16 The BCIP Approach Multi-stage review process, including private sector experts All bidders receive debriefings on their evaluation Outreach raises awareness Contracting and Testing Debriefing / Top-ranked Pre-qualified Businesses participate in a Call for Proposals Fair, open and transparent evaluation Fully electronic process, supporting environment and national scope Supported by a national outreach strategy Feedback from testing is provided to bidders Outreach proactively supports matchmaking

17. National Goods & Services Procurement Strategies (NGSPS)

18. 18 What are NGSPS? What, How Review and renew how we manage procurement Understand departments’ needs and industry capacity – through engagement and consultation Align demand and supply and reduce barriers Improve access to value added services to help client departments own and manage their goods and services more effectively Procurement strategies are one of the pillars of Smart Procurement

19. 19 NGSPS strives to: –Engage - seek advice and input through stakeholder consultations – help stakeholders refine the direction and the opportunity –Understand - listen to suppliers and government departments – understand the issues and insights to develop a National Goods and Services Procurement Strategy –Influence - through the adoption of a strategic approach – include operational requirements along with a balance of value that industry can meet

20. Professional Services – Method of Supply

21. 21 TBIPS is a method of supply that is used to purchase task-based Professional Services that are required to respond to specific Information Technology (IT) needs. TBIPS is comprised of two methods of supply: Task-Based Standing Offer Task-Based Supply Arrangement Suppliers must submit a bid in response to a Request for Standing Offers or Request for a Supply Arrangement posted on Buyandsell.gc.ca. For more information: http://www.tpsgc-pwgsc.gc.ca/app-acq/sptb-tbps/index-eng.html Task-Based Informatics Professional Services (TBIPS)

22. 22 Task-Based Informatics Professional Services (TBIPS) - Streams Applications Services Geomatics Services IM/IT Services Business Services Project Management Services Cyber Protection Services Telecommunications Services Note: Covers 90+ professional services categories

23. 23 ProServices ProServices is comprised of Supply Arrangements and is mandatory for professional services requirements below $80,400 (the current NAFTA threshold). ProServices is a method of supply that contains 152 categories, mirroring the categories in Task and Solutions Professional Services [task based only] (TSPS) and Task-Based Informatics Professional Services (TBIPS). Suppliers must submit a bid in response to a Request for a Supply Arrangement (RFSA) posted on Buyandsell.gc.ca. For more information: http://www.tpsgc-pwgsc.gc.ca/app-acq/sp-ps/index-eng.html

24. 24 Centralized Professional Services System (CPSS) ePortal On the Centralized Professional Services System (CPSS) ePortal, you can bid on the following tools: ProServices Task and Solutions Professional Services (TSPS) Task-Based Informatics Professional Services (TBIPS) Solutions-Based Informatics Professional Services (SBIPS) Learning Services Professional Audits Support Services (PASS)

25. 25 OSME Contact Information Buyandsell.gc.ca National Infoline: 1-800-811-1148 Atlantic Region – Halifax Telephone: 902-426-5677 Facsimile: 902-426-7969 osme-bpme-atl@pwgsc-tpsgc.gc.ca Ontario Region – Toronto Telephone: 416-512-5577 Toll free: 1-800-668-5378 Facsimile: 416-512-5200 ont.bpme-osme@pwgsc-tpsgc.gc.ca Québec Region – Montréal Telephone: 514-496-3525 Facsimile: 514-496-5891 QueBPME.QueOSME@tpsgc-pwgsc.gc.ca National Capital Region – Gatineau Telephone: 819-953-7878 Facsimile: 819-956-6123 RCNBPME.NCROSME@tpsgc-pwgsc.gc.ca Western Region – Edmonton Telephone: 780-497-3601 Toll free: 1-855-281-6763 Facsimile: 780-497-3506 osme-bpme-wst@pwgsc-tpsgc.gc.ca Pacific Region – Vancouver Toll free: 1-866-602 Facsimile: 604-775-7395-0403 osme-bpme-pac@pwgsc-tpsgc.gc.ca

26. Government of Alberta Public Procurement – A balanced perspective Creativity & Convergence March 24, 2015

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28. Doing business with Government “…needs the opportunity…” 28 “…simplify and unbundle procurement practices…” “...evaluation criteria…” “…14 page CONTRACT”

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30. 30 We want to make Alberta the best place for small business.  Improve and streamline procurement practices  Website: smallbusiness.alberta.ca  Business Advisors at Business Link Small Business Strategy

31. Smallbusiness.alberta.ca

32. Business Advisors 32 Types of Questions

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34. GoA Procurement Context - Procurement Model and Values 5-Yr. AveragePrimary Authority & Accountability Goods$0.58 billionService Alberta (low value goods delegated to ministries) Services$1.80 billionMinistries responsible for their own service requirements Construction$2.75 billionInfrastructure and Transportation (primarily)

35. GoA Procurement Enterprise Procurement Strategy 1.Creation of an Enterprise Procurement Governance Body TB Directive: Procurement and Sole-sourcing (implementation) New RFP Templates 2.Strategic Sourcing IT Contingent Labour Business Travel Management Management Consulting Services 3.Joint/Collaborative Procurements Light Vehicles (BC and SK) P-Card Program (AHS and AMSC) 4.Procurement Automation

36. City of Edmonton Procurement Creativity & Convergence Conference March 24, 2015

37. City of Edmonton Procurement Context  Annual spend averages well over $1 Billion  Corporate Procurement tendering authority for City  Departmental purchasing authority is limited  Procurement supports Edmonton’s Strategic Plan “The Way Ahead”  Procurement is an enabler: Helps clients to deliver their mandates Supports the City’s transformational projects (LRT, Downtown Revitalization, Blatchford, etc)

38.  Quadruple Bottom Line approach to Procurement  Strives to balance several City Council goals: Social/Ethical Local Economic Development Environmental sustainability Financial sustainability (value for money) Public Policy Objectives for City Procurement

39. City of Edmonton Supporting Small & Medium Businesses

40. Supporting Small/Medium businesses  Low value purchases (below trade agreements) Promoting “Buy Local” for credit card and low value purchases made directly by Departments (without compromising quality, cost, etc.) Buying guide lists local business options in common categories of low value spend (e.g. catering)  Higher value purchases (subject to trade agreements) Local businesses have built in advantage due to proximity and understanding of City requirements Promoting awareness of how to do business with City (selling to City sessions offered on a regular basis) Working with industry to ensure Edmonton processes are not un-duly bureaucratic and terms & conditions are fair Sharing information about upcoming procurements (get into order books early)

41. Open City Initiative  Collaborative  Inclusive  Innovative  Participatory  Transparent

42. Open City Initiative \ Current/Short termMedium TermLonger Term

43. Open City Initiative – Elements of interest to the Marketplace  Open Procurement Increase automation of procure to pay process Increase collaboration with suppliers Simplify and streamline procurement processes where possible  Open Local Marketplace Increase awareness of how to do business with the City Increase access to City opportunities (ePortal)  Open data catalogues on Edmonton.ca Of interest to app developers or data analytics types  Open Lab joint initiative with Start-up Edmonton

44. Open Lab  Open Lab goals Build new product innovation leadership at COE Accelerate new product development around civic engagement and open data  3 Open Lab programs 1.Preflight workshops 2.Product Manager Program 3.Collision days

45. Open Lab Meet-up dates Where do you see yourself in Open Lab? Join the City for Open Lab meet-ups on the last Thursday afternoon of every month. Location: Startup Edmonton Time: 2-5pm Dates: April 30, May 28, June 25, July 30, August 27

46. Procurement Vision 2020  Developing a clear vision for 2020 that answers the following: What is procurement’s value proposition? What procurement operating model and skills sets would best enable the City to achieve its goals?  Builds on four strategic focus areas: Creating value for the City Delivering Service Excellence Enhancing Strategic Relationships (internal/external) Engaged Employees

47. Business Process Improvements  Modernizing contract documents (in consultation with Industry) Goal is to be a customer of choice while maximizing value for money and managing risks  Updating Procurement templates For All procurement types (tender/rfp, etc.)  Introducing new tools in the procurement toolbox: Non-contract A (negotiated) RFP now widely used for IT and consultant procurements Looking at other tools such as Best value procurement One size does not fit all – flexible options  Electronic Plans distribution for construction tenders

48. Procurement technology Electronic Plans distribution (2014) Supplier Performance Management system (2015) Electronic Bidding (2015) Purchasing Data & spend analytics (2015) eProcurement & ePayables (future) Contract Management (future) Open Data catalogues Other tools: Bid Evaluation software Google sites for internal communication/collaboration Coolnet enhancements

49. Trends  Current economic environment in Alberta  Increased globalization in public procurement  Procurement involvement in non-traditional spend categories (Utilities, Leases, land development, etc.)  Shift to category management focus in key spend areas  Cooperative procurements with other public sector  Preparing for Canada – European Union CETA agreement

50. 50 Closing 1.Review Session Purpose and Outcome –Purpose: Discuss Public Procurement & SME market solutions –Outcome: Synthesize opportunities – A balanced approach 2.What Have We Learned 3.Next Steps 4.Thank you for your support of this Workshop!