What do you need to
consider when planning the purchase?
Treasurer's Instructions 1100 series and 1401
Prior to commencing any planning, can you
answer yes to the following?
Are you aware of and do you understand:
Is the purchase justified?
Was consideration given to other ways of achieving the desired
outcome or acquiring the required outputs?
Was the decision to purchase made following the development of a Business Case (used for complex, high risk, high value
purchases) and do you need to do a cost / benefit analysis?
Does the requirement align with agency objectives / desired
Do you have the authority to purchase?
Have you estimated the value of the
procurement in line with the requirements of the Treasurer's Instruction 1104 and is funding
If appointing a consultant or contractor, has
Secretary or Deputy Secretary approval been obtained as required by
Have you considered alternative buying opportunities or the availability of whole
of government or whole of agency contracts?
Do you need to consider an Industry
What do you need to consider when planning the purchase?
Undertaking planning prior to preparing tender
documentation is the foundation of a good specification, selection
and contracting process. Prior to undertaking a high value,
complex, high risk, unique or strategic purchase, you should
develop a formal procurement plan.
You may wish to adopt a full project
management approach. If so, guidelines and documentation are
available to assist you at http://www.projectmanagement.tas.gov.au/.
The following checklists are available to
assist in planning and conducting the procurement:
Tender process checklist; and
Tender process checklist - Free Trade Agreements.
Regardless of the complexity / value of your
purchase, all purchases require some degree of planning, and the
list below will assist you to plan your purchase.
It is important to have an understanding of
For all procurements valued at $100 000 or
more, this must include consulting with the Industry Capability Network (ICN), who will assist you in
identifying local capability.
Refer also to the publication Buy Locally - A Guide for Tasmanian Government
Defining the specification
The specification is the description of your
Agency's requirements. This should encompass all the
functional, performance and technical requirements of the goods and
or services being procured. If the specification is not
appropriate then the end result may not meet your needs
What purchasing method will you need to
The purchasing method you must follow will
whether there is an existing contract;
market characteristics - eg how many suppliers, identifying
how competitive the market is etc;
the value of the proposed purchase, including ongoing costs such as
maintenance agreements (for more information see purchasing thresholds); and
how well defined the requirement is and the complexity of the
project (in such cases it may be appropriate to undertake a multi-stage purchasing process).
Is it appropriate to:
Who will be on the evaluation committee?
What evaluation criteria, including weightings
(if relevant) and evaluation methodology will be used?
Should an evaluation plan be developed?
Is it necessary to undertake a risk management assessment and develop a risk management
Do you need to employ a probity
A probity adviser is recommended when a
purchase is complex, of high value or is likely to be
What are the potential impacts on local
What are the community, industry and economic
How should they be addressed?
Have you considered the impact of specific procurement
policies such as those relating to climate change and
What procurement documentation is
Template documentation has been prepared by
the Crown Solicitor for use by agencies. Refer to Resources.
Contract documentation and contract
What contract documentation is appropriate?
Note: if Crown Solicitor template documentation has been used
(refer Resources), the form of contract is set out in that
Is approval to include a confidentiality
provision required? (Refer to Crown Contracts Confidentiality Policy)
Who will manage the contract? Do you need a
formal contract management plan?