Purchasing Directors’ Meeting November 13, 2003 3:00 P.M.

31
Purchasing Directors’ Meeting November 13, 2003 3:00 P.M. State Purchasing

description

State Purchasing. Purchasing Directors’ Meeting November 13, 2003 3:00 P.M. Purchasing Directors’ Meeting November 13, 2003 Agenda. Welcome / Meeting Overview Trends in e-Purchasing/Transforming Supply Management Optimizing Public Procurement Research Project Operational Issues - PowerPoint PPT Presentation

Transcript of Purchasing Directors’ Meeting November 13, 2003 3:00 P.M.

Page 1: Purchasing Directors’ Meeting November 13, 2003 3:00 P.M.

Purchasing Directors’ Meeting

November 13, 20033:00 P.M.

State Purchasing

Page 2: Purchasing Directors’ Meeting November 13, 2003 3:00 P.M.

2

Purchasing Directors’ Meeting Purchasing Directors’ Meeting November 13, 2003 Agenda November 13, 2003 Agenda

Welcome / Meeting Overview

Trends in e-Purchasing/Transforming Supply Management

Optimizing Public Procurement Research Project

Operational Issues

Ethics Update – Right to Honest Government Act

Open Floor / New Issues

Next Meeting Location / Time

Page 3: Purchasing Directors’ Meeting November 13, 2003 3:00 P.M.

3

Purchasing Directors’ Meeting Purchasing Directors’ Meeting November 13, 2003 Agenda November 13, 2003 Agenda

Welcome / Meeting Overview

Trends in e-Purchasing/Transforming Supply Management

Optimizing Public Procurement Research Project

Ethics Update – Right to Honest Government Act

Operational Issues

Open Floor / New Issues

Next Meeting Location / Time

Page 4: Purchasing Directors’ Meeting November 13, 2003 3:00 P.M.

4

Before the forest, some trees … Office Consumables Strategic Sourcing

• Reverse Auction sourcing tools

• 32% savings over Florida historical baseline prices (previous STC) ~ $6 million per year

• Beat others’ prices significantly on sample of commonly-ordered items

Page 5: Purchasing Directors’ Meeting November 13, 2003 3:00 P.M.

5

Office ConsumablesIllustrated Unit Savings

$0.00

$0.10

$0.20

$0.30

$0.40

$0.50

$0.60

$0.70

$0.80

$0.90

$1.00

Baseline New Price

Old Price Vendor Cost Transaction Fee ($0.007)

Page 6: Purchasing Directors’ Meeting November 13, 2003 3:00 P.M.

6

. . .From the Trees to the Forest(s) Overview of Initiatives

Human Resources – People First

DMS working with Convergys/SAP to modernize the personnel system, leave and attendance and benefits management

Purchasing – MyFloridaMarketPlace

DMS working with Accenture/Ariba to integrate purchasing activities for all State buyers and for vendors doing business with the State

Financial Management – Aspire

DFS working with Bearing Point/PeopleSoft to replace the legacy accounting and financial system (FLAIR) with an integrated enterprise resource planning system

Page 7: Purchasing Directors’ Meeting November 13, 2003 3:00 P.M.

7

Purchasing Directors’ MeetingPurchasing Directors’ MeetingTrends in e-Purchasing/Trends in e-Purchasing/

Transforming Supply ManagementTransforming Supply Management

Professor Larry C. Giunipero

ISM Prof. of Purchasing/Supply Management Marketing Department Florida State [email protected]

Page 8: Purchasing Directors’ Meeting November 13, 2003 3:00 P.M.

8

Purchasing Directors’ MeetingPurchasing Directors’ MeetingOptimizing Public Procurement Research Project

Amy WitteLyndon B. Johnson School of Public AffairsUniversity of Texas at Austin

Policy Research ProjectProfessor Sherri Greenberg

Page 9: Purchasing Directors’ Meeting November 13, 2003 3:00 P.M.

9

The Policy Research Project Purpose and Intent

• Integral part of the LBJ School curriculum– Year long research effort on real policy problems– Research team of one to two professors and ten to

twenty students– Designed to develop student analytic and quantitative

research skills

• Research product with results developed

Page 10: Purchasing Directors’ Meeting November 13, 2003 3:00 P.M.

10

Optimizing Public ProcurementPurpose

• Examine best practices in public purchasing in state and local governments

• Make recommendations of more responsive policies and processes supporting the government’s mission, including– Procurement reform initiatives– Price saving strategies– Training of procurement personnel– Data acquisition and management

Page 11: Purchasing Directors’ Meeting November 13, 2003 3:00 P.M.

11

Optimizing Public ProcurementAreas of Research

• Research will include: academic literature, professional sources, and best practices from across the United States in both public and private sectors

• Case studies for comparable purposes will include:STATES: CITIES:– California – Austin, TX– Florida – Sacramento, CA– New York – San Diego, CA– Texas – Tallahassee, FL

• Four procurement areas: traditional purchasing, construction, technology, and outsourcing of services

Page 12: Purchasing Directors’ Meeting November 13, 2003 3:00 P.M.

12

Optimizing Public ProcurementProject Culmination

• Mid-April conference on procurement practices

• Publication as part of Policy Research Project Reports series

Page 13: Purchasing Directors’ Meeting November 13, 2003 3:00 P.M.

13

Optimizing Public ProcurementContact Information

Professor Sherri Greenberg– Email: [email protected]– Phone: (512) 471-8324

Amy Witte– Email: [email protected]– Phone: (512) 736-1598

Page 14: Purchasing Directors’ Meeting November 13, 2003 3:00 P.M.

14

Purchasing Directors’ Meeting Purchasing Directors’ Meeting November 13, 2003 Agenda November 13, 2003 Agenda

Welcome / Meeting Overview

Trends in e-Purchasing/Transforming Supply Management

Optimizing Public Procurement Research Project

Operational Issues

Ethics Update – Right to Honest Government Act

Open Floor / New Issues

Next Meeting Location / Time

Page 15: Purchasing Directors’ Meeting November 13, 2003 3:00 P.M.

15

Purchasing Directors’ MeetingPurchasing Directors’ MeetingOperational IssuesOperational Issues

Air-Tran Support of Operation Iraqi Freedom R&R program

New Contracts

Upcoming Solicitations

DMS Website

Page 16: Purchasing Directors’ Meeting November 13, 2003 3:00 P.M.

16

Operational IssuesOperational IssuesAir-Tran/R&R Program Air-Tran/R&R Program

• AirTran Airways announced on November 12 that, starting immediately, members of A-Plus Rewards, the airline's frequent flier program, can support the U.S. military's Operation Iraqi Freedom Rest & Relaxation (R&R) program by donating their flight credits. U.S. military personnel returning home will be able to use the donated flight credits for travel from Atlanta, BWI, or Dallas-Ft. Worth International Airport to any destination AirTran Airways serves.

• AirTran will contribute 8,000 flight credits, equivalent to 500 roundtrip tickets, and will plan to match every donation up to 500 credits. Flight credits donated by A-Plus Rewards members will not have an expiration date. The flight credits will be aggregated in a single account accessible by a designated contact from Military Travel Command who can redeem the credits for free flights for any U.S. military personnel they select.

• Through December 31, 2004, A-Plus Rewards members wishing to donate flight credits can do so by logging onto their A-Plus Rewards account and clicking on "my rewards," "request rewards" and then "Military Leave Credit Donation," where they can indicate the number of credits to be donated.

Page 17: Purchasing Directors’ Meeting November 13, 2003 3:00 P.M.

17

Operational IssuesOperational IssuesNew ContractsNew Contracts

Autos and Light Trucks – Jim Den BleykerNatural Gas Pool Manager – David BennettOffice Consumables – Steve PooleMRO Materials – Chuck BeallMail Services – Susan Barr

Drug Screening Devices – Mark LovellAnticipated contract start date is 1/1/04. Current contract expires 11/22/03. Place orders in next week for rest-of-year needs.

Page 18: Purchasing Directors’ Meeting November 13, 2003 3:00 P.M.

18

Operational IssuesOperational IssuesUpcoming Solicitations (60 Days)Upcoming Solicitations (60 Days)

• Small Vehicles/ATV – Jim Den Bleyker• Tractors/Mowers – Jim Den Bleyker• WATS Service – Marvin Williams• Feature Phones – Marvin Williams• Cell Phones – Marvin Williams• Chapter 413 C.N.A. – Tom Butler• IT Consulting – Stu Potlock• Microsoft Reseller – Stu Potlock

Page 19: Purchasing Directors’ Meeting November 13, 2003 3:00 P.M.

19

Operational IssuesOperational IssuesDMS WebsiteDMS Website

• To improve service, DMS will implement a redesigned agency website in the next month

• Division-specific pages will be updated thereafter

• Report transition-related technical difficulties to Sarah Hamilton ([email protected])

Page 20: Purchasing Directors’ Meeting November 13, 2003 3:00 P.M.

20

Purchasing Directors’ Meeting Purchasing Directors’ Meeting November 13, 2003 Agenda November 13, 2003 Agenda

Welcome / Meeting Overview

Trends in e-Purchasing/Transforming Supply Management

Optimizing Public Procurement Research Project

Operational Issues

Ethics Update – Right to Honest Government Act

Open Floor / New Issues

Next Meeting Location / Time

Page 21: Purchasing Directors’ Meeting November 13, 2003 3:00 P.M.

21

Purchasing Directors’ MeetingPurchasing Directors’ MeetingEthics Update – Right to Honest Government ActEthics Update – Right to Honest Government Act

NIGP October Pulse Poll

Have ethics been compromised during professional career?• 67% say yes • 27% say yes within the past year

Response to a situation that seriously compromised ethics?• 66% would report directly to their supervisor • 15% would seek legal guidance• 1% would report the situation to the media • 3% would begin searching for another job

Page 22: Purchasing Directors’ Meeting November 13, 2003 3:00 P.M.

22

Purchasing Directors’ MeetingPurchasing Directors’ Meeting Right to Honest Government Act Right to Honest Government Act

• Governor Bush’s Executive Order No. 99-237 established the Public Corruption Study Commission to consider and make recommendations related to statutory revisions on the issue of public corruption and official misconduct

• Chapter 2003-158, Laws of Florida, effective October 1, 2003 (HB No. 847)

• Section 5 creates three new sections of Florida Statutes – 838.022, 838.21, and 838.22

• 838.014(4): “‘Corruptly’ or ‘with corrupt intent’ means acting knowingly and dishonestly for a wrongful purpose.”

Page 23: Purchasing Directors’ Meeting November 13, 2003 3:00 P.M.

23

Purchasing Directors’ MeetingPurchasing Directors’ Meeting Right to Honest Government Act Right to Honest Government Act

838.22(1): It is unlawful for a public servant, with corrupt intent to influence or attempt to influence the competitive bidding process undertaken by any state, county, municipal, or special district agency, or any other public entity, for the procurement of commodities or services, to: (a) Disclose material information concerning a bid or other aspects of the competitive bidding process when such information is not publicly disclosed. (b) Alter or amend a submitted bid, documents or other materials supporting a submitted bid, or bid results for the purpose of intentionally providing a competitive advantage to any person who submits a bid.

Page 24: Purchasing Directors’ Meeting November 13, 2003 3:00 P.M.

24

Purchasing Directors’ MeetingPurchasing Directors’ Meeting Right to Honest Government Act Right to Honest Government Act

838.22(2) It is unlawful for a public servant, with corrupt intent to obtain a benefit for any person or to cause unlawful harm to another, to circumvent a competitive bidding process required by law or rule by using a sole-source contract for commodities or services.

Page 25: Purchasing Directors’ Meeting November 13, 2003 3:00 P.M.

25

Purchasing Directors’ MeetingPurchasing Directors’ Meeting Right to Honest Government Act Right to Honest Government Act

838.22(3)It is unlawful for any person to knowingly agree, conspire, combine, or confederate, directly or indirectly, with a public servant to violate subsection (1) or subsection (2).

838.22(4)It is unlawful for any person to knowingly enter into a contract for commodities or services which was secured by a public servant acting in violation of subsection (1) or subsection (2).

Page 26: Purchasing Directors’ Meeting November 13, 2003 3:00 P.M.

26

Purchasing Directors’ MeetingPurchasing Directors’ Meeting Right to Honest Government Act Right to Honest Government Act

838.22(5)Any person who violates this section commits a felony of the second degree, punishable as provided in s. 775.082, s. 775.083, or s. 775.084.

Page 27: Purchasing Directors’ Meeting November 13, 2003 3:00 P.M.

27

Purchasing Directors’ MeetingPurchasing Directors’ Meeting Right to Honest Government Act Right to Honest Government Act

Resource Materials:

• Governor Bush’s Code of Ethicshttp://www.myflorida.com/myflorida/government/policies/ethicscode.html

• NIGP Code of Ethics

http://www.nigp.org/genlinfo/2001CodeofEthics.pdf

Page 28: Purchasing Directors’ Meeting November 13, 2003 3:00 P.M.

28

Purchasing Directors’ MeetingPurchasing Directors’ Meeting Right to Honest Government Act Right to Honest Government Act

What to Do Next:

• Send existing ethics in purchasing materials to DMS ([email protected])

• Update your attorney

Page 29: Purchasing Directors’ Meeting November 13, 2003 3:00 P.M.

29

Purchasing Directors’ Meeting Purchasing Directors’ Meeting November 13, 2003 Agenda November 13, 2003 Agenda

Welcome / Meeting Overview

Trends in e-Purchasing/Transforming Supply Management

Optimizing Public Procurement Research Project

Operational Issues

Ethics Update – Right to Honest Government Act

Open Floor / New Issues

Next Meeting Location / Time

Page 30: Purchasing Directors’ Meeting November 13, 2003 3:00 P.M.

30

Purchasing Directors’ Meeting Purchasing Directors’ Meeting November 13, 2003 Agenda November 13, 2003 Agenda

Welcome / Meeting Overview

Trends in e-Purchasing/Transforming Supply Management

Optimizing Public Procurement Research Project

Operational Issues

Ethics Update – Right to Honest Government Act

Open Floor / New Issues

Next Meeting Location / Time

Page 31: Purchasing Directors’ Meeting November 13, 2003 3:00 P.M.

31

Purchasing Directors’ MeetingPurchasing Directors’ MeetingNext MeetingNext Meeting

Time: 3:00 to 5:00 p.m.

Date: Thursday, December 11, 2003

Location: Department of Revenue “Taxworld”5050 West Tennessee Street Building C, Training Room D & E(850) 921-2548 (SC - 291-2548)