Why design a buying pathway
The triage process helps buying teams make an informed choice about the best procurement approach and tactics to achieve the desired project outcome. It guides buyers through the pros and cons of each option to build confidence in a procurement pathway.
Whether a buyer wants to implement a solution at scale significantly impacts the design of the buying process. A single procurement pathway can cover the test-and-learn and scale stages, enabling buyers to approach the market once.
A tailored buying pathway for innovation
An innovation buying pathway helps buying teams make an informed choice about the best procurement approach and the engagement methods to achieve the desired project outcome. It guides buyers through the pros and cons of each option to build confidence in a procurement pathway.
Whether a buyer wants to implement a solution at scale significantly impacts the design of the buying process. A single procurement pathway can cover the test-and-learn and scale stages, enabling buyers to approach the market once.
The first step of designing a pathway is to uncover whether there is a goal to scale a project. This brings the decision to scale to the start of project planning. This step defines the advantages, disadvantages, and indicative timelines for procurement options. It helps buyers balance time and budget constraints with good innovation outcomes while complying with procurement requirements.
Leaving scale decisions until after a market approach or trial stage can be costly to both suppliers and the NSW Government. Making this decision late may result in a new procurement strategy, approvals and a fresh market approach. It also has the potential to damage relationships with suppliers engaged in the early steps.
When to design a buying pathway
The buying pathway should be considered as early as possible. The decision to plan for scale should take place at the product strategy and project planning stage, before approaching the market. This avoids re-work and helps manage probity and other risks.
A buyer should engage procurement:
- as early as possible in ICT/digital product strategy and project planning stage to help shape the buying strategy
- during, or before buyer undertakes discovery to ensure discovery work can cover procurement considerations where relevant
- before engaging suppliers to ensure any market approach considers probity.
The outputs of the pathway step can be used to:
- design a testing and evaluation plan
- prepare the procurement strategy document
- prepare the briefing note for approval to proceed or for funding
- prepare tender documentation to communicate the procurement approach to suppliers.
- support a business case for multistage funding.
Who is responsible for the buying pathway
The buyer, or buying team, and the relevant procurement advisor should complete this step together. Expand the boxes to learn how this buying pathway guide supports both roles: Buyers and procurement support officers.
This guide informs buyers, including product and project managers, about pathway options and the pros and cons so they can:
- understand when to collaborate with procurement teams who will need to understand how risks are managed and balanced with business objectives to sign off the procurement strategy
- understand the limitations and risks of a test-and-learn approach before a competitive market approach
- customise a pathway and build in the tactics that will achieve the best outcome
- contribute to the Briefing Note (BN), Procurement Strategy, and Statement of Requirements (SoR) documentation
- consider how they might design their testing to inform any future activity.
This guide supports procurement officers, so they can:
- understand how and when to support buyers so they can make informed innovation procurement strategy decision, balancing risk with business outcome.
- map a custom scalable innovation pathway and tactics that help the buying team navigate toward the best outcome.
- contribute to Procurement Strategy documentation.
Procurement may support the buyer test-and-learn activity through direct engagement under standard provisions and processes. They should also revisit findings before preparing for the open market.
Procurement officers who do not have experience with innovation buying pathways can access innovation procurement advisory services by contacting innovationprocurement@customerservice.nsw.gov.au.
Next steps
Pathway triage resources
Make an informed decision about your procurement approach.
Explore options and build pathway that supports your outcome.
Examples from real projects with stages, milestones and timelines.