Purchasing Directors’ Meeting April 8, 2004

2 Purchasing Directors’ Meeting April 8, 2004 Agenda Welcome / Meeting Overview NASPO Update Operations Update New Bureau Chief – Charles Covington IT Consulting STC Update Open Floor / New Issues Next Meeting Location / Time

3 Purchasing Directors’ Meeting April 8, 2004 Agenda Welcome / Meeting Overview NASPO Update Operations Update New Bureau Chief – Charles Covington IT Consulting STC Update Open Floor / New Issues Next Meeting Location / Time

4 Purchasing Directors’ Meeting April 8, 2004 Agenda Welcome / Meeting Overview NASPO Update Operations Update New Bureau Chief – Charles Covington IT Consulting STC Update Open Floor / New Issues Next Meeting Location / Time

5 Operations Update Training Program Blanket Purchase Orders Change Orders in MFMP Punch-outs Rulemaking

6 Purchasing Directors’ Meeting April 8, 2004 Agenda Welcome / Meeting Overview NASPO Update Operations Update New Bureau Chief – Charles Covington IT Consulting STC Update Open Floor / New Issues Next Meeting Location / Time

7 Charles W. Covington Bureau A Chief-State Purchasing Charles W. Covington Bureau A Chief-State Purchasing  Introduction and Background  Public versus Private-First Impressions  Bureau A Organization Chart  Strategic Sourcing  State Term Contracts Sourcing  How Can We Improve?

8 THERE ARE +s AND –s IN EACH AREA  Introduction and Background  Public versus Private-First Impressions  Bureau A Organization Chart  Strategic Sourcing  State Term Contracts Sourcing  How Can We Improve?

9 PublicPrivate Meeting Discipline Policy & Procedures Strategic Planning Focus on Results Training Vendor Performance Legal Customer Focus Diversity COMPARISONS

10 PublicPrivate Continuity of Leadership Employee Turnover Best Value Procurement Team Development Outsourcing Benchmarking Implementation MWBE Development Acronyms MORE COMPARISONS

11 A NEW LANGUAGE FOR ME-ACRONYMIC AGCDOEMFMPRENENSDHSMV ATVDOHMHTRESPECTDJJ AWIDOIMRORFIDMS BAFODORMSRPRFPDOACS BOLDOSMWBERPODOAH BPOFACNASAE/ICCDOC CMBEFAPPONASPOSIRLPO CPPBFCONCSLAICO CPPOFDHCNGBSNAPSITB CSPFDLENHSOOITN CSSFDLESNIGPSOWJAC DACSFDVANTEASPAKSA DBPRFLAIROAGSPURSLEG DCFMBCOEUSSLRP DCAFPCOGCSTCOPS DCFFSBAOIGSTDOSD DEPFSU COBOPBSTOPBC DFSFWCOPPAGASUVPMO VBSFRECUCCSWOPPI ESCOFPOPSCTCOPRIDE

12 MY FOCUS Customer Satisfaction Faster Results Change Management People and Team Development Be a Proactive Resource for our Customers Value Procurement (Cost and Service) Vendor Performance

13 The Bureau Has 3 Teams with 3 Members for Each Team  Introduction and Background  Public versus Private-First Impressions  Bureau A Organization Chart  Strategic Sourcing  State Term Contracts Sourcing  How Can We Improve?

14 Charles W. Covington Bureau Chief David Bennet Team Lead Analyst Jim Den Bleyker Analyst Rob Butler Specialist Ellen Potts Team Lead Analyst Maureen Livings Analyst Brenda Wells Specialist Chuck Beall Team Lead Analyst Mark Lovell Analyst Kimberely Hall Specialist Vacant Administrative Asst. State Purchasing Bureau A Transportation, Facilities and Supplies Team 1 Energy Automotive & Marine Recycling Team 2 Furniture & Carpet Food and Food Service Kitchen Supplies Appliances & Equipment Team 3 MRO Water Treatment Law Enforcement

15 Seven Waves are Currently Planned  Introduction and Background  Public versus Private-First Impressions  Bureau A Organization Chart  Strategic Sourcing  State Term Contracts Sourcing  How Can We Improve?

16 Strategic Sourcing in Waves Plans for Bureau A WaveProjectTiming/Status 1 MRO SuppliesCompleted (Currently debugging) 2 Facility Services Launched 2 Uniforms & Officer Equipment Launched 4 Motor Vehicles Passenger TBD 4 Motor Vehicles Other TBD 5 Food ProductsTBD 7 FuelTBD

17 Eleven Non-Strategically Sourced STCs to be Issued in Current FY  Introduction and Background  Public versus Private-First Impressions  Bureau A Organization Chart  Strategic Sourcing  State Term Contracts Sourcing  How Can We Improve?

18 State Term Contracts-Bureau A Awarded to Date: FY Contract NameEstimated Annual Spend $MM Estimated Savings % Ice Making Machines1.061 Tractors, Mowers & Cutters Small Utility Vehicles, ATVs & Motorcycles Automobiles & Light Trucks 3617 Drug Screening Test Kits540 MRO Supplies13 Gasoline & Fuel Oil12TBD Capacity Management & Natural Gas 2.5TBD Blue: Strategic Sourcing Event

19 State Term Contracts-Bureau A Anticipated Award in FY Blue: Strategic Sourcing Event Contract NameEstimated Annual Spend-$MM Medium & Heavy Trucks2.2 Construction/Industrial Equipment 1.2 Fuel Card Services20 Recycling Services End of Life Electronics.065 Officers Uniforms & Equipment7

20 Customer Satisfaction is a Top Priority!!  Introduction and Background  Public versus Private-First Impressions  Bureau A Organization Chart  Strategic Sourcing  State Term Contracts Sourcing  How Can We Improve?

21 In Order to Improve We Need Feedback From You ! I will schedule meetings with each of you during the next 2-3 months. Please contact me if you have issues/concerns/compliments: – or SunCom or or

22 We Are All on the Same Team with the Same Goals!!  Introduction and Background  Public versus Private-First Impressions  Bureau A Organization Chart  Strategic Sourcing  State Term Contracts Sourcing  How Can We Improve?  Conclusion

23 Conclusion Thank you and I look forward to working with each of you as we continue to add value for the citizens of the great State of Florida.

24 Purchasing Directors’ Meeting April 8, 2004 Agenda Welcome / Meeting Overview NASPO Update Operations Update New Bureau Chief – Charles Covington IT Consulting STC Update Open Floor / New Issues Next Meeting Location / Time

25 IT Consulting STC Update New State Term Contract No Effective April 1, 2004

26 Information Technology Consulting Services Background on Current IT Consulting Services –As of August 2003, renewals made through March 31, 2004 –Existing Contracts will expire as dated but, if used, should be compared to the new pricing structure Comparison to Existing IT Services Contracts Overview of New IT Consulting Services State Term Contract

27 Information Technology Consulting Services Comparison to Existing IT Contracts Previous IT Services Contract –Vendor defined ceiling price –State could not benchmark price New IT Services Contract –Leverages latest market analysis –Contract indicates reasonable price Provides Ceiling Rates for Staff Augmentation Provides Basis for Fixed Price Task Order Negotiations for Contract Users

28 Information Technology Consulting Services Comparison to Existing IT Contracts Previous IT Services Contract –Vendor-defined categories & descriptions –Difficult to compare consultants’ services New IT Services Contract –Standardized categories & descriptions Provides organizational context Details job characteristics Specifies education & experience

29 Information Technology Consulting Services Overview of New IT Consulting Services State Term Contract –Project Areas –Pricing Structure –Contractors –Key Contract Sections

30 Information Technology Consulting Services Functional Project Areas 4 Functional Project Areas (PA) –PA 1: Analysis and Design 54 Prime Vendors –PA 2: Development and Integration 64 Prime Vendors –PA 3: Operational and Support 43 Prime Vendors –PA 4: Staff Augmentation Services 114 Prime Vendors –Prime vendors may have unlimited sub-vendors but administrative responsibility remains with the Prime Vendor, i.e. receipt of PO’s and Payments.

31 Information Technology Consulting Services

32 Information Technology Consulting Services

33 Information Technology Consulting Services

34 Information Technology Consulting Services

35 Information Technology Consulting Services Vendor Classification Criteria

36 Information Technology Consulting Services Vendor Classification Criteria

37 Information Technology Consulting Services Vendor Classification Criteria

38 Information Technology Consulting Services Vendor Classification Criteria

39 Purchasing Directors’ Meeting April 8, 2004 Agenda Welcome / Meeting Overview NASPO Update Operations Update New Bureau Chief – Charles Covington IT Consulting STC Update Open Floor / New Issues Next Meeting Location / Time

40 Purchasing Directors’ Meeting April 8, 2004 Agenda Welcome / Meeting Overview NASPO Update Operations Update New Bureau Chief – Charles Covington IT Consulting STC Update Open Floor / New Issues Next Meeting Location / Time

41 Purchasing Directors’ Meeting Next Meeting Time:3:00 pm to 5:00 pm Date:Thursday, May 13, 2004 Location:Department of Transportation Haydon Burns Building 605 Suwannee Street