Objectives and Intended Outcomes

Upon successful completion of this course participants will be able to:

  • Distinguish between reducing price and reducing cost.
  • Utilize analysis techniques that reduce cost and total cost.
  • Recognize appropriate cost components that may affect end results.
  • Realize and benefit from trade off product re-use and innovation.

Intended Audience

Intended for all public procurement professionals

Description

There is more to every purchase than selecting the lowest price. It is possible to take the element of cost out of a purchase without sacrificing quality or effectiveness. This course will help students analyze specifications to create best value and optimize savings before ever sending the solicitation.

Course Outline

  • Taking costs out of the purchase defined
  • Taking costs out of the purchase vs. reducing acquisition price
  • Public procurement examples of taking costs out of the purchase
  • Defining the mission for the purchase
  • Identifying results oriented success metrics (ROSM)
  • Analyzing the SOW/specs for alignment to ROSM
  • Reuse vs. innovation
  • Potential issues with low cost materials and services
  • Calculating TCO components
  • Types of cost that can be reduced
  • Key Strategies to drive taking costs out of the purchase
  • Case study and report out
  • Call to action
NIGP Face to Face Classroom Courses

Face-to-Face

Key 7
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