Page 17 - Procurement guidelines for smart sustainable cities - A U4SSC deliverable

• joint commissioning across organizational boundaries;
• behavioural insight and change; and

• new service delivery models, which adopt a whole systems approach.

Furthermore, the OECD developed 11 principles that define the more holistic approach to public
procurement that commissioning represents:

1) Set the context: Specifying too much detail at the outset of procurement will limit the possible
outcomes – the “new solution” is often just a technological replacement of the older, more
traditional method. In this context, it is important to define the problem to be solved before
designing the solution.

2) Start by understanding user needs: Procurement-led approaches often lose sight of user
needs in favour of highly functional specifications – embed a user-centred, design-led, data-
driven approach, universal and inclusive design approaches.
3) Design procurements and contracts that meet users’ needs: Establishing routes to market
can be costly – successful market engagement requires a two-way open dialogue, starting from
users’ needs. In this situation, it is important to work with the relevant research team and acquire
additional user information; this will enhance the procurement mechanisms.

4) Be agile, iterative and incremental: Traditional procurement methods are rigid. Agile
procurement provides a way of thinking differently. Therefore, it is important to anticipate
challenges and embrace change.

5) Work as a multidisciplinary team: A narrow perspective limits innovation, efficiency and
effectiveness. It also brings together diverse skills and experiences right from the beginning
of the commissioning process.

6) Make things open: Openness reduces friction, enhances transparency and prevents duplication
of effort. It also encourages a better understanding of the outcome required.

7) Build trusting and collaborative relationships, internally and externally: Reduce duplicated
effort and increase innovation by working collaboratively within and outside of government –
keep talking with suppliers and industry groups.
8) Share what you have with others and re-use what others have: There are many opportunities
for governments worldwide (who do not compete on service delivery) to collaborate with other
governments and departments. This also encourages collaboration within the country, as well
as with others.

9) Move from specifying solutions to defining outcomes: Technology is now delivered
differently. Governments should move away from specifying the type of ICT solutions and aim
to determine the outcomes that would best fit users.

10) Public procurement for the public good: Government agencies should adapt or change
their procurement process to increase accessibility and create opportunities for disadvantaged
groups – meet functional needs while supporting the public good.

Procurement guidelines for smart sustainable cities | May 2023 3