Government Should Leverage Its Size to Get Better Prices, Senators Say

The seven-year-old effort by agency buyers to achieve private-sector levels of strategic sourcing has shown only modest progress, a Senate panel was told on Monday, due to managers’ fears of losing control of budgets, a lack of incentives and vague performance metrics.

The push to increase efficiency by bulk buying office products, printing and increasingly sophisticated services has brought only a 5 percent participation rate in contracts governmentwide, compared with as much as 90 percent at such companies as Pfizer, Delphi and Dell, according to witnesses at a hearing by the Senate Homeland Security and Governmental Affairs Committee.

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Full Article at Government Executive website:

http://www.govexec.com/contracting/2013/07/government-should-use-its-size-bargain-better-prices-senators-say/66794/

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