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Establishment of New State Term Contract for MRO Materials Through MyFloridaMarketPlace

The MyFloridaMarketPlace Strategic Sourcing initiative successfully created a new State Term Contract for Maintenance, Repair, and Operating (MRO) Materials. Utilizing a multi-phased approach, data was collected and analyzed from multiple vendors. An RFI was distributed to 60 vendors, leading to competitive bidding from 17 lots. The process resulted in identified annual savings of $1.7 million, or 13%. The new contract is effective from 11/14/2003, with inquiries directed to Chuck Beall. Training for vendors was also provided for the Sourcing tool.

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Establishment of New State Term Contract for MRO Materials Through MyFloridaMarketPlace

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  1. MyFloridaMarketPlaceStrategic Sourcing – MRO Materials Event DMS recently leveraged the MyFloridaMarketPlace Sourcing tool and a multi-phased process to establish a new State Term Contract for MRO (Maintenance, Repair and Operating) Materials. • Reviewed FLAIR and SPURS data and item-level data received from vendors • Categorized and analyzed vendor item-level data and grouped into 17 lots Phase 1 Data Collection* • Distributed RFI to 60 targeted vendors and posted on VBS an Excel-based workbook containing approximately 10,000 SKUs across 17 lots (provided Mfg. Part Number, Item Description and Unit of Measure) • Requested vendors to indicate which items they could provide statewide within specific delivery time • Received RFI responses indicating that at least two vendors could provide every item listed in 17 lots Phase 2 RFI* • Conducted 17-lot event within MyFloridaMarketPlace Sourcing tool • Bidders used provided offline bidder pricing tool to capture pricing on core items listed (approximately 80% of demand) and discount off catalog price for non-core items (20% of demand) not listed • 25 questions were submitted by vendors using the Q&A board • Official answers posted on Sourcing tool as addendum • Optional bidder training conference call sessions provided to help vendors learn how to use Sourcing tool • Bids were submitted via Sourcing tool, including pricing workbooks and forms • Bid award posted in Sourcing tool and VBS Phase 3 ITB * MyFloridaMarketPlace Tool was not yet live

  2. MyFloridaMarketPlaceStrategic Sourcing – ITB Results The MRO Materials ITB generated identified annual savings of $1.7 million, or 13%. Note: MM = Million

  3. MyFloridaMarketPlaceStrategic Sourcing – Ordering Instructions The new MRO Materials State Term Contract is effective 11/14/2003 and has a 2-year term. State Term Contract #450-000-04-1 Please call Chuck Beall at (850) 487-0635 with questions or email him at beallc@dms.state.fl.us * New STC is effective 11/14/2003 ** New STC is estimated to be enabled by 1/2004

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