Procurement strategy

The 2020 edition of the RIBA Plan of Work defines the procurement strategy as: ‘The strategy that sets out the process for tendering and entering into a Building Contract with the contractor. On certain projects, this will include early contractor involvement.’

Due to the number of different procurement routes that can be adopted, the RIBA Plan of Work does not include a specific stage for procurement and suggests that procurement does not impact on the core tasks that need to be undertaken during the course of a project. However, the procurement strategy may require adjustments to the Information Requirements, Project Programme, Design Programme and how it overlaps with the Construction Programme, and how the design team are appointed.

It suggests that the procurement strategy will influence:

• Who employs the design team, particularly during Stage 4 (technical design).
• When the construction team are appointed.
• Who inspects the building works as they progress.
• How the Project Programme is structured and how it manages risk.
• Who is contractually responsible for Project Risks.
• Who is responsible for the design.
• When specialist subcontractors become involved in the design work.
• What information is required for inclusion in the Building Contract.
• Who employs the design team.

For more information see: Procurement route.

Guidance for public sector contracting authorities on the procurement of construction works, published by the Scottish Procurement and Property Directorate on 21 Dec 2018 defines a 'procurement strategy' as: 'The plan for procurement of contracts which will deliver the built asset. This will cover all stages of the project, all natures of contract and how the market is to be engaged. It is also the term used to describe the legislative
requirement for a contracting authority to show how it intends to carry out regulated procurements.'

The Construction Playbook, Government Guidance on sourcing and contracting public works projects and programmes Version 1, produced by the Cabinet Office and published in December 2020, suggests there are a number of key considerations which include:

• The contract award method (e.g. negotiation, direct award, frameworks, competitions).
• Who is responsible for design (e.g. architect, contractor, us).
• Who would take on the responsibility for coordination and integration.

Construction Procurement Handbook, published by the Scottish Government in 2019 states ‘The plan for procurement of contracts which will deliver the built asset. This will cover all stages of the project, all natures of contract and how the market is to be engaged. It is also the term used to describe the legislative requirement for a contracting authority to show how it intends to carry out regulated procurements.’

The Supplier Journey provides guidance on how to bid for public sector contracts in Scotland. It state: ‘A Procurement Strategy is not a Commodity Strategy. It is mandatory for a public sector organisation, which estimates it will spend greater than or equal to £5,000,000 on regulated procurements to publish a Procurement Strategy which is proportionate and relevant to its organisation.’

[edit] Related articles on Designing Buildings Wiki

• Commodity strategy.
• Construction contract.
• Corporate objectives for procurement.
• Design and build procurement route.
• Design build finance and operate.
• Design, build, manage contractor.
• Design build operate transfer DBOT.
• Difference between procurement and purchasing.
• Engineering procurement and construction contract.
• Framework contract.
• Lump sum contract.
• Partnering in construction.
• Plan of work.
• Private finance initiative.
• Procurement policy.
• Public private partnerships PPP
• Public procurement.
• RIBA plan of work 2020.
• RIBA plan of work.
• RIBA.
• Single-stage tender.
• Subcontract procurement.
• Tender processes for construction contracts.
• Traditional contract for construction.
• Two-stage tender.
• Typical tender process for construction projects.