Getting full value from public procurement: a guide for buyers and suppliers

Every year, governments and public bodies buy enormous quantities of goods, services and works: computers and stationery, uniforms and safety equipment, vehicles and machinery, buildings and roads. How well this money is spent shapes the quality of public services and the health of local markets.

The scale of public procurement

A World Bank analysis by Erica Bosio and Simeon Djankov, published in 2020, estimated that governments spend about US$11 trillion a year on procurement, around 12% of global GDP, based on 2018 data. Even small improvements in efficiency and value therefore have a large impact.

Where value is lost

• Vague or restrictive specifications that either invite poor quality or exclude capable suppliers.
• Price-only evaluation that ignores lifecycle cost, warranty and after-sales support.
• Weak supplier verification that allows counterfeit or grey-market goods into the supply chain.
• Late payment and administrative burden that discourage good suppliers, especially small businesses, from bidding.
• Poor contract management after award, where delivery, quality and warranty obligations are not tracked.

What good looks like for buyers

1. Write functional, verifiable specifications. Define performance, standards and certifications rather than a single brand, and state how compliance will be checked.
2. Evaluate total cost and quality. Include warranty, energy use, spares and support in evaluation where rules allow.
3. Ask for evidence of authenticity. Manufacturer authorisation letters, warranty registration and serial-number checks protect against counterfeits.
4. Use framework agreements for repeat items. Rate contracts for stationery, consumables and IT accessories reduce transaction costs and stock-outs.
5. Embed sustainability. ISO 20400:2017 offers guidance on integrating environmental, social and economic considerations into purchasing.

What good looks like for suppliers

• Read every clause and submit a complete, clause-by-clause compliance statement.
• Offer genuine products through authorised channels, with warranties in the buyer's name.
• Price transparently, including delivery, taxes and installation where required.
• Deliver on time, support inspection committees and keep documentation audit-ready.
• Act with integrity: fair competition and zero tolerance for corruption protect everyone.

How Optimity Global helps

Our Institutional & Corporate Supply Solutions practice responds to tenders and RFQs from government departments, multinational companies, banks, universities and development projects. We supply computers and IT equipment, stationery, corporate gifts, PPE and uniforms, plant and machinery, branded products, pantry items and furniture, with complete documentation and dependable delivery.