How can I familiarise myself with the Government purchasing procedures?

In order to offer products or services to the public sector it is necessary to have a clear understanding of why government purchases in the first place.

All buying decisions take place in a political as well as an economic environment.

• First of all there is a promise made to the voters
• Promise is converted into a policy
• Strategies are drawn up to implement that policy and achieve target objectives
• White Papers are issued to publicise the government's political intention and the targets it has resolved to meet
• Goods and services are purchased to enable the Departments/Executive Agencies to reach those targets and to fulfil the original promise made to the electorate

In theory, if everything goes according to plan, the government can be clearly seen as doing what it says in order to increase its chances of being re-elected.

What can we understand from this?

The concrete results that are produced by the implementation of government policy are the most substantial means by which a government can guarantee it will be re-elected. To bring about these results it must work effectively with private sector companies. Whether it is putting in place a corporate solution that will enable the ordinary members of the public to make their income tax returns over the internet, whether it is recruiting more staff to ensure better standards of patient care in the NHS, or improving the transport infrastructure of the country to facilitate social, economic and environmental progress central government needs to work with national and regional partners to implement its political vision. In the 'Modernising Government White Paper', published in March 1999, the present administration stressed its commitment to working closer than ever with private sector companies to complete the agenda it had laid down for itself. Successful partnerships between public and private sector are absolutely essential for the continued prosperity of the United Kingdom in the 21st century.

Do I need to get on a List of Potential Suppliers?

Most firms interested in doing business with the Government have to be accepted onto a department's list of potential suppliers. There are, however, cases where this is not required e.g. when a contract is worth less than £10,000, although this level may vary from department to department.

What type of contracts do government place?

Government Departments place contracts for a great variety of work including: Research and development
Production of equipment
Supplies for stores
General services
Local purchase orders e.t.c.

What contract conditions should I expect?

Most Government contracts are based around model documents which may vary from department to department. There may also be variants where special needs are required. It is important to understand the conditions on which these contracts are based. The documents are usually divided into two parts: the first consisting of general conditions as with all contracts; the second containing a series of additional conditions if the contract warrants them. For smaller contracts, simpler standard forms may be used. Details are available from the departments concerned.

How do I apply?

When applying you should state your case clearly. Try to include the following points:

• A description of your product and services in simple, non-technical language.
• A list of all of your products, so that your application can be distributed to a wide range of purchasers.
• A client list, showing any large companies, public bodies and Governments abroad to which you have already contracted.
• An outline of any business you have done with UK Government departments in the past.

Remember to enclose trade brochures if you have them

Press

Invitations to tender for contracts below threshold amounts are often advertised in national or regional newspapers, or in trade journals.

What should I do if I'm successful?

If your application is of interest, you may be asked to fill out a questionnaire, unless you are only interested in small-value contracts. Inspectors may also visit your premises to discuss your business in more detail. They will want to be sure that your business is financially sound and has the ability to complete contracts to the required standard and on time.

What should I do if I'm unsuccessful?

If your application to be invited to tender for business is unsuccessful, try to find out whether you provided the right information and whether you approached the right department(s). Departments can give advice if you are unsuccessful and let you know the reasons why - this will help you when applying in the future.