Commissioning is the strategic activity of identifying a need, allocating resources and procuring a provider to best meet that need, within available means.
In an era of constrained budgets, it is clear making the most of digital technology is essential. It can drive efficiency and deliver value for money in a multitude of ways as well as benefiting the health and wellbeing of individuals. (LGA, 7th Feb 2018)
As the comment above states, Local Authorities need to adapt to digital technologies and a move to a Digital end-to-end commissioning platform DPS is one of these processes.
How does a DPS differ from Framework Agreements?
How does it work?
2. Commissioning via the DPS:
Is a DPS right for me, what are the optimal category conditions for a DPS?
Looking at the table above, the more that apply, the greater the fit for a DPS
*figures in brackets are numbers suggested within LGA’s ‘A guide to Dynamic Purchasing Systems within the public sector’
What are the benefits of adopting a DPS?
Key benefits for buyers
Comment from large Local Authority – “the DPS has driven a Safer market share, whilst ensuring that core Provider Consistency is maintained’
Key benefits for providers
Comment from a provider to a Transport DPS – “more and more councils use this system and the more they come the happier we are for getting more and more work easily and without hassle”
What are the potential pitfalls to the establishment of a DPS?
Setting the barrier too high
The chart below highlights the anonymized supply chains of 4 London Boroughs in proximity. Borough B introduced an additional requirement to join their DPS, which damaged uptake
How can you overcome this?
Onboarding the supply base
According to the LGA, there are some key features for organisations to consider when implementing a DPS (see chart below)
All of these will be addressed by engaging with adam
Ongoing engagement, maintaining an active supply base
The chart below highlights an anonymized example of a client’s existing DPS prior to moving to adam
With an approved supplier base of 140, only 57% have contracts in place and of that 60 only 10 were actively bidding.
Overcoming an inactive supply base
The first 3 bullet points are part of the adam Supplier Engagement Team process.
Perception of DPS
At market events, we often find the same challenges when discussing the implementation of a DPS
It doesn’t need to be
Lack of buy-in from internal stakeholders
According to the LGA, one of the main barriers identified as to whether to implement a DPS is a lack of understanding of what a DPS is”
A full end-to-end Digital Commissioning Offering
We started by saying that making the most of digital technology is essential, but when it comes to commissioning electing to go with a full digital end-to-end solution that also offers full Professional Services to back up the platform is the best way to benefit the health and wellbeing of individuals.
To find out more about adam's DPS platform click here.