OFFICIAL Texas Department of Information Resource (DIR) Cooperative Contract Sales Data Fiscal 2019 To Present

Project Overview

DIR’s Cooperative Contracts program is a streamlined cooperative purchasing program with over 750+ Master Contracts (MCs) for technology products and services. MCs cover offerings for hardware, software, staffing services, maintenance, and other services—such as managed services and technology training. Buying through the Cooperative Contracts program helps:

Save time- All Master Contracts awarded by DIR have been competitively bid to meet state purchasing requirements, and all MC terms have been negotiated to comply with state law. The solicitation process—including evaluating market needs; posting a request for an offer; evaluating bids; negotiating pricing, terms, and conditions based on unique public-sector needs; and making the award—can take many months. DIR’s work in these areas allows agencies to purchase directly through a Master Contract knowing this process is complete. This allows organizations that use this contracting program to focus their efforts on the final steps of the procurement process: seeking several final offers from awarded vendors to secure the lowest possible price for each purchase transaction.

Save money- DIR Master Contracts offer carefully negotiated minimum discounts on hundreds of products and services. This program leverages the volume buying power of the state to negotiate competitive pricing, which translates into savings for your organization. DIR customers can negotiate even deeper discounts based on individual purchase volumes. This is accomplished by issuing purchase proposals, statements of work, or requests to multiple DIR vendors in order to drive price competition for the final purchase award.

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Problem Statement

Lack of visibility of supply chains is one of the major procurement challenges. According to the 2018 Deloitte`s Global CPO survey, 65% of procurement professionals have no visibility beyond their tier-one suppliers. Uncontrolled spending is also one of the toughest challenges faced by procurement professionals. Accidental orders, rush orders, purchases (from suppliers selling additional items) made outside the company`s established procurement procedures are indirect spend resulting in loss of revenue and control. Reports say 39% of firms find it very important to increase control of their indirect spending.

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