Dynamic Purchasing Systems

From Suppliers Manual

A Dynamic Purchasing System (DPS) is an electronic system mainly used by a contracting authority to purchase commonly used goods, works or service within a limited duration.

It is an optional process designed to assist the buyer in setting up and maintaining a list of providers from whom a buyer can achieve better value for money for commonly used purchases, such as gas and electricity, when the need arises.

The buyer will advertise the establishment of the DPS by using the rules of an open procedure as no other procedure can be used. The buyer establishing the system must offer full, unrestricted, direct access to the specification and any other additional documentation or information such as the electronic equipment used for the DPS, technical connection arrangements and rules regarding its operations. All this information needs to be available by electronic means in the contract notice, within the OJEU as soon as possible after forming the notice, until the date in which the dynamic purchasing system is no longer operating.

The suppliers that are interested in joining the DPS and meet the selection criteria can set out a tender stating all the terms for supplying the required goods, works or services.

The buyer must usually evaluate a tender within 15 days of having received it and submit it to the Dynamic Purchasing System. This evaluation must include all tenders that match the specification. Once admitted, the supplier may improve a tender at any time but new providers can still join the DPS too. This means the market place will remain competitive, prices will remain current and innovative providers are able to join.

Benefits of using a DPS include; reduced timescales for procurement within it - especially if it’s subject to full EU regulations, it’s quick and simple for suppliers as it’s fully electronic and there is no need to ask suppliers for the same information throughout the duration of the DPS.

http://www.ogc.gov.uk/documents/OGC_Guidance_on_Dynamic_Purchasing_Systems.pdf

http://www.legislation.gov.uk/uksi/2006/5/regulation/20/made

“HOW TO: use Dynamic Purchasing Systems” by media education. July 2010.