Unlocking the power of public procurement

Jul 6, 2022

Unlocking the power of public procurement with tech-forward solutions built for public sector

Technology advancements are propelling businesses and organizations from all industries, from the most tech-forward to the least, and public procurement is no different. Digitizing procurement solutions and processes enables powerful and centralized integrated systems to efficiently manage a wide array of activities, delivering more streamlined services. Beyond efficiency gains, adopting advanced procurement technologies will fundamentally transform the sector on many fronts, from administrative and legal, to diversity and inclusion, supply chain, and public fund allocations standpoints.

Among the latest sought-after technologies that will shape the future of eprocurement is the implementation of a marketplace experience. This piece will explore the value digitization and a marketplace model can bring to government procurement.

Moving forward

Procuring goods and services to run everyday operations, such as office equipment, computers, legal services, and more, is a process which still remains manual for smaller government agencies. In an increasingly digital world, this lack of efficiency leads to increased complexity, generates frustrations among all parties involved, and squanders taxpayer funds.

The pandemic served as a catalyst for many government organizations to shift to electronic sourcing solutions. From basic e-bidding solutions to more sophisticated and elaborate eprocurement technology, digitizing procurement operations allows government bodies to, namely, overcome the aforementioned challenges. It also allows them to leverage leading-edge, innovative opportunities, such as the adoption of consumer-centric models like ones replicating a marketplace experience.

Bringing B2C experience to public procurement

Behind all B2B businesses are human beings. Human beings who increasingly interact with novel and efficient technologies, setting user experience expectations for the platforms they utilize in all spheres of their lives, workplace included. Imagine an Amazon marketplace-like experience in public procurement where buying agencies can easily order from a list of pre-selected vendors at a click of a button – all in an industry traditionally characterized as rigid, controlled and bureaucratic. This not only increases user-friendliness, but also provides an opportunity to revisit procurement processes to meet the needs of professionals working in today’s public sector agencies.

Younger, more tech-savvy generations are becoming prominent in the public sector with the recent workforce shift triggered by retirements. This signals a need for meaningful technology adoption in order to reach increased efficiency levels and to cater to the tech abilities of today, and tomorrow’s workforce.

Ultimately, implementing a familiar online shopping experience in the public sector, with consumer-like functionalities and appeal, eases the procurement process for all parties involved and opens doors to a wider range of suppliers and government bid opportunities.

Increased access to business opportunities for all

Marketplace models expand the pool of business opportunities for both independent suppliers and government buyers. With this new approach facilitating government procurement, buyers are able to easily navigate strategically sourced contracts and open-market catalogs within minutes, adding products and services to their cart for a seamless check out.

Additionally, the pandemic has stressed the importance of diversifying suppliers, as well as shopping local and meeting diversity and inclusion goals. Digitizing procurement operations enables to garner information and data about supplier types, solicitation chances, and response rates. This way, greater visibility is shed on small businesses locally, minority, women or veteran-owned and they are given an equal chance to be awarded government contracts.

In the words of Mark Eigenbauer, President, eprocurement, mdf commerce, “For example, if the city of A wants to promote local businesses, when a buyer for the city of A logs in and searches for pens, the local suppliers selling pens will come up first. Or say city of B only wants its buyers to purchase from already strategically sourced catalogs, when a buyer for city of B logs in, none of the open market catalogs will appear.”

Tech-forward tools and platforms, such as eprocurement solutions from mdf commerce including BidNet Direct, Periscope, and MERX, are built for the public sector. Our products nurture an extensive database of over 500,000 qualified active suppliers and 6,500 buying agencies across North America. Recognizing the importance for government agencies to comply with strict procurement regulations, our solutions provide utmost security, seamless integration with other technologies, and facilitate an easy audit. mdf commerce recently welcomed more than 100 new agencies who have now become members of our eprocurement services – further cementing our position as a leader in public sector procurement technology in North America.

Digitization is key to unlocking a new realm of contract opportunities in public procurement. The benefits go further than increased efficiencies, allowing government agencies to consolidate the operations of multiple departments while increasing representation in the supplier ecosystem and maximizing allocation of public funds.

Contact us today to learn more about our procurement solutions.