Reform 6.5: Strategic Sourcing

Expanding Use of “Strategic Sourcing”.

Other Information:

Outside of the immediate cost savings to the FY 12 budget, the Roadmap to Reform urges the Mayor and City Council to direct staff in FY 2012 to initiate the long-term use of “Strategic Sourcing” analysis to reduce contract expenditures and improve contract performance. A number of outside vendors provide strategic sourcing analytic services – and the city should consider engaging one using a no-risk “share-in-savings” contract to achieve additional cost savings. Finally, in FY 2012 the City should approach other regional governments – including the county government, school districts, water districts, etc. – and explore the idea of creating a county-wide procurement vehicle for common services. Similar to the GSA and DOD supply schedules used by the Federal Government, San Diego taxpayers may see improved buying power and better rates if this vehicle is created.

Indicator(s):

Indicator:1

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