Relying on the traditional public fleet purchasing process can take a long time. Even the most efficient agency buyers must research, interview suppliers, request bids, and analyze responses. They also have to navigate compliance and legal reviews and multiple layers of approval.
Yet, vehicle buyers often need to decide quickly in order to maintain productivity and keep taxpayer dollars working efficiently.
It can be a challenge.
So, how can you maintain compliance with your purchasing requirements and still procure fleet purchase vehicles quickly? Consider cooperative contracts.
How cooperative contracts save time and money
Third parties coordinate cooperative contracts, which are purchasing agreements that streamline the procurement process. Procurement experts create RFPs and IFBs for competitive solicitations that meet or exceed agency requirements. Rather than doing their own solicitations, public purchasers can piggyback on existing cooperative contracts to fulfill agency needs quickly while ensuring that compliance requirements are met.
Most public buyers discover that cooperative contracts meet their legal compliance and competitive requirements, eliminating the need for pre-bid research while ensuring competitive pricing. Public purchasers can find fleet vehicle contracts that are ready to use rather than wading through the layers involved in handling fleet procurement on their own.
Not only can business leaders accelerate fleet vehicle purchasing, but they can also maintain fiscal responsibility.
The benefits of cooperative contracts
Most users uncover multiple benefits to leveraging cooperative contracts, but perhaps the biggest is the reduction in wait times to fulfill agency needs. The simplified process eliminates much of the waiting that’s built into public agency fulfillment. For example, even if you attempt to fast track the procurement process, lengthy wait times are embedded in the process, such as having required notice times, keeping bids open for a prescribed period, allowing mandated response time for receipt of bids and proposals, and analyzing competitive bids. This can work against you, especially when you need a fast solution.
Fortunately, you'll discover even more benefits to cooperative contracts.
Economies of scale = lower prices
Cooperative contracts tend to lead to lower prices because they allow for leveraging economies of scale. For example, suppose that a local agency manager needs to replace a single vehicle or even a small fleet. They have significantly less purchasing power than a cooperative contract that may lead to the purchase of hundreds or thousands of fleet vehicles. This purchasing power provides greater efficiency and leads to lower bids from qualified suppliers.
Lower administrative costs
Since so much of the work is done already, administrative costs are lower.
No obligation
Cooperative contracts are extremely flexible. Since there is no obligation to use them, you can customize them to specific agency needs.
They can provide the speed that you need to fulfill immediate or timely procurement needs or to ensure that your procurement process is working efficiently. Many public purchasers will review their past purchasing and look at pricing in comparison to what a cooperative contract offers.
In many cases, they find that cooperative contracts offer an opportunity to fulfill needs more quickly and at a lower cost. However, there is no requirement to use these contracts. Public purchasers can pick and choose which ones they want to use, depending on their needs.
Effective for agencies of all sizes
Small community leaders may not have the staff, skill, time, or scale to handle procurement effectively. There may not be a dedicated procurement team or the available resources to move quickly. Large cities or agencies may have the staff but require a faster, more efficient way to handle purchases.
Either way, cooperative contracts can fill this need. You can buy what you want, when you want it, with an efficient, compliant process for fleet vehicle purchases.
Register for cooperative contracts and reduce vehicle procurement times
Sourcewell provides cooperative purchasing that can incorporate local dealer access with national buying power to maximize tax dollars and save time. When you’re buying vehicles, Sourcewell staff can help you find cooperative contracts to meet your needs.
Established by state law to competitively award cooperative purchasing agreements, Sourcewell is a local government unit and public agency. Available to all government agencies, public and private schools, and tribal governments, it helps save time and money. You can register for free and view all available cooperative contracts.
Once you find a contract that you want to use, you can quickly get a quote and finalize a deal with a supplier or local dealer using the Sourcewell contract number of your account number. There is no cost to you or obligation.
Here at Sourcewell, we help public agency buyers procure fleet vehicles faster by fulfilling the time-consuming bid process for them. Through cooperative contracts, we expedite the fleet vehicle procurement process so you can better serve your teams.
Want a faster procurement process? Contact one of our specialists today to buy the fleet solutions you need!
