The launch of Pagabo’s new purchasing framework changes the procurement landscape for construction services.
- This dynamic system allows suppliers to join at any time, unlike traditional static frameworks.
- The framework spans two versions: one for England, Wales, and Northern Ireland, and another specific to Scotland.
- The expected worth is £90 million, with no limits on project values.
- It’s an ‘open market’ concept, promising agility and compliance for clients and suppliers.
Pagabo’s recently introduced dynamic purchasing system (DPS) represents a significant shift from conventional procurement methods in the construction sector. The DPS breaks away from the constraints of static frameworks by allowing suppliers to join at any point during the contract’s duration, thereby increasing flexibility and accessibility for both new entrants and established firms. This adaptability is particularly beneficial in a fast-paced industry such as construction, where the needs of clients and service providers can change rapidly.
There are two distinct versions of the DPS, tailored to different geographic needs. One version covers a broad area including 11 regions across England, Wales, and Northern Ireland, while a separate framework is specifically designed for Scotland. This strategic approach ensures comprehensive coverage and accessibility for a wide array of stakeholders in these regions.
The framework’s projected value is substantial, estimated at £90 million, yet it does not impose fixed value bands for projects. Such flexibility permits projects of any financial scale, removing the barriers that often deter participation from various sized firms, particularly small and medium-sized enterprises (SMEs). Enterprises can thus engage in a diverse range of projects without the limitations typically associated with financial thresholds.
A significant feature of Pagabo’s system is its appeal to SMEs, which often rely on opportunities to interface directly with potential clients at minimal cost. Chief Procurement Officer Jason Stapley highlighted the system’s design to streamline tender processes and reduce time constraints, making it an attractive proposition for smaller firms eager to expand their reach within the public sector market.
Stapley emphasised, “Our DPS cuts timescales, streamlines the process and simplifies the tender process for clients and suppliers alike. As a DPS, this option provides an ‘open market’ solution designed to give clients access to a pool of pre-qualified suppliers – which can be constantly updated with new suppliers.” The dynamic nature of this framework contrasts sharply with traditional models, where supplier lists are fixed, ensuring that new, innovative companies can be integrated swiftly and efficiently.
Pagabo’s DPS offers a new paradigm in procurement, enhancing flexibility and accessibility for construction professionals.
