What Is A Cooperative Purchasing Agreement

Cooperative purchases can help agencies achieve more competitive prices by aggregating their purchasing power. Sourcewell has hundreds of competitive cooperation agreements. Choose from a wide range of products and services or work with our in-house specialists to find the solution that meets your needs. We award manufacturing contracts, but they can be used on site to help your dealer on site. Co-operative sales contracts provide government authorities and other public and private organizations with the opportunity to allocate more time and resources to maximize efficiency. Co-op contracts are a well-established approach to the contract, which could be beneficial in meeting a large number of commercial requirements, and could be the opportunity for suppliers to enter the public procurement market. With the ability to choose from many cooperative procurement agreements that exist for a particular category of goods or services, it can be overwhelming for purchasing organizations to identify, evaluate and determine whether the use of such agreements is appropriate for their organization. We have identified eight steps to help purchasing services effectively evaluate cooperative purchase agreements: by seeking contracts from nearby government agencies or contracts made directly to minority companies, women (MWBE) or local businesses, buyers are achieving the efficiency of cooperative purchases while retaining the obligation to cooperate with traditionally underserved companies. Indeed, cooperation agreements can be an effective tool to stimulate the growth of small and diversified enterprises, especially within a region, when an agency decides to make it a priority. In addition, even national cooperation agreements will often allow local subcontractors or resellers to reconcile local or varied business preferences with the need to do things with a little research. In addition, local governments are derailing in uncharted territory, particularly in the “technology” and “smart cities” categories. These new technology-based solutions or services are even more difficult to explore and develop. In 2018, U.S.

cities are estimated to have spent nearly $25 billion to support Smart City initiatives. Cooperative procurement and a general ethic of cooperation will help governments identify first-class products, exchange research results and accelerate purchases without the need for additional operating budgets or working time. Sharing contracts also shorten sales cycles for small businesses such as start-ups that would otherwise not have access to the public market. Exploiting the benefits of more than one partner in public procurement certainly has its advantages. Co-operative procurement agreements: Although cooperative sales contracts are not the best solution for all situations and categories of goods and services, government and university procurement services now have more than ever the opportunity to evaluate their use in order to reduce total costs and free up resources for critical operations. Co-operative buying is not surprising for all purchasing challenges, but using the know-how, experience and purchasing work of thousands of governments across the country can help you save time, save costs and even access local and/or diverse suppliers faster. We offer the following list of cooperative purchasing programs in the U.S. and Canada for the comfort of the practitioner community. Registration of the program is free and does NOT indicate NIGP`s approval.

1. Get help from executives and legal advisors for the use of cooperative purchase agreements when the purchasing organization can prove that it is the best value for a given category. 2. Develop a good understanding of internal customer business requirements, item specifications, historical costs and future purchase volumes for purchased categories to provide a good basis for comparison.