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Procurement and Contracting

Procurement and Contracting - Fisheries and Oceans Canada

	Departmental input
Role played by procurement and contracting in delivering programs	DFO is a highly decentralized, operational department with a presence in over 300 communities. Procurement and contracting are important functions in support of departmental operations.
Overview of how the department manages its contracting function	Specialists in Ottawa headquarters and in all six regions of the country issue contracts that are within their delegated authorities and assist in the development of procurement policies, procedures and strategies. The Department uses Public Works and Government Services Canada (PWGSC) to provide contracting services when the requirements exceed the Department's authorities (for example, all goods requirements in excess of $5,000 and not covered by standing offer) or when specific expertise is required. DFO's Acquisition Card Program is another key tool used to support its procurement activities. In 2006-2007, DFO used acquisition cards to pay for $86 million of its low dollar value and standing offer purchases. In 2006-2007, 4,675 contracts in excess of $10,000 were issued by DFO or on its behalf by PWGSC. These contracts had a total value of almost $265 million. The largest contract was for the repair of ships and vessels and totalled almost $9.5 million.
Progress and new initiatives enabling effective and efficient procurement practices	An audit of contracting was carried out by Internal Audit and Evaluation for the period October 2005 to August 2006. The Office of the Auditor General also conducted an audit on acquisition cards for the period January 2005 to December 2005. Management Action Plans for both audits have been developed and approved in 2006-2007 resulting in changes in contracting administration and improved tools for monitoring of activities. The Centre of Excellence - Procurement entered its third full year of operation. The mandate of the Centre is: To support and promote modern management skills and techniques in procurement; To identify opportunities and modify current business practices to reduce departmental procurement costs; and To provide strategic advice and support as to how the Department can optimize its methods of acquisition for common commodities nationally or regionally. Consolidation of procurements for desktop computing devices, network computers and wireless devices has resulted in savings of $5.75 million to date.

Departmental input

Role played by procurement and contracting in delivering programs

DFO is a highly decentralized, operational department with a presence in over 300 communities. Procurement and contracting are important functions in support of departmental operations.

Overview of how the department manages its contracting function

Specialists in Ottawa headquarters and in all six regions of the country issue contracts that are within their delegated authorities and assist in the development of procurement policies, procedures and strategies. The Department uses Public Works and Government Services Canada (PWGSC) to provide contracting services when the requirements exceed the Department's authorities (for example, all goods requirements in excess of $5,000 and not covered by standing offer) or when specific expertise is required. DFO's Acquisition Card Program is another key tool used to support its procurement activities. In 2006-2007, DFO used acquisition cards to pay for $86 million of its low dollar value and standing offer purchases.

In 2006-2007, 4,675 contracts in excess of $10,000 were issued by DFO or on its behalf by PWGSC. These contracts had a total value of almost $265 million. The largest contract was for the repair of ships and vessels and totalled almost $9.5 million.

Progress and new initiatives enabling effective and efficient procurement practices

An audit of contracting was carried out by Internal Audit and Evaluation for the period October 2005 to August 2006. The Office of the Auditor General also conducted an audit on acquisition cards for the period January 2005 to December 2005. Management Action Plans for both audits have been developed and approved in 2006-2007 resulting in changes in contracting administration and improved tools for monitoring of activities.

The Centre of Excellence - Procurement entered its third full year of operation. The mandate of the Centre is:

To support and promote modern management skills and techniques in procurement;
To identify opportunities and modify current business practices to reduce departmental procurement costs; and
To provide strategic advice and support as to how the Department can optimize its methods of acquisition for common commodities nationally or regionally.

Consolidation of procurements for desktop computing devices, network computers and wireless devices has resulted in savings of $5.75 million to date.

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ARCHIVED - Fisheries and Oceans Canada

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Procurement and Contracting

Procurement and Contracting - Fisheries and Oceans Canada