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The Power of Government Purchasing

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Leveraging AbilityOne to help support other CRP business opportunities. Market research ... NISH receives fee from CRP/Federal government based upon sales ... – PowerPoint PPT presentation

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Title: The Power of Government Purchasing


1
The Powerof Government Purchasing
  • Deborah Atkinson
  • Workability International Conference

2
Government at Its Best
A non-profit organization designated by the US
government to help administer the
Javits-Wagner-ODay (JWOD) Act.
A federal procurement program first enacted by
Congress in 1938.
formerly the Javits-Wagner-ODay Program
3
Government at Its Best
Provides employment opportunities for people who
are blind or have other severe disabilities in
the manufacture and delivery of products and
services to the Federal Government
4
Government at Its Best
  • MissionNISH creates employment for people with
    severe disabilities

A job for every person with a severe disability
Right job options choice, personally
satisfying,advancement and upward mobility,
productivity enhancement
5
Government at Its Best
  • VisionEmployment for every person with asevere
    disability

6
Government at Its Best
  • ValuesEmployment for every person with asevere
    disability
  • Excellence
  • Innovation
  • Accountability
  • Diversity
  • Collaboration
  • Integrity

7
Government at Its Best
  • Customers

Federal Government(Purchasing agents end
users) Community Rehabilitation Programs(NPAs,
community partners) People with Severe
Disabilities
8
Government at Its Best
  • NISHs Other Key Stakeholders
  • Committee for Purchase
  • Congress
  • Board of Directors
  • Communities served through AbilityOne

9
Government at Its Best
  • Dual Political Support

LiberalsStrong social missionwith high impact
Creates Win-Win!
ConservativesReduces dependency on government
benefits and creates tax paying workers
10
Government at Its Best
  • Socio-economic Impact
  • (Net Impact reduced entitlements taxes paid)

Annual savings of
Custodial
6,084 per worker
Food service
3,053 per worker
Commissary
3,138 per worker
11
Government at Its Best
  • Relationship to the Committee for Purchase and
    the National Industries for the Blind
  • 1938 act passed 1971 amended
  • In 1974, NISH was formed
  • Board of Directors comprised of stakeholders
  • A national office located near Washington, DC
    with 6 regional offices across the USA

12
Big Picture
What does it take?
  • A need
  • A capability
  • Meeting the AbilityOne program requirements

NPA
Federal Government
Committee
NISH
13
Where does NISH fit?
The President of the United States
The Committee for Purchase From PeopleWho Are
Blind or Severely Disabled
Committee Staff
NIBNational Industries for the Blind
NISH
Non-profit Agencies employingpersons with severe
disabilities
Non-profit Agencies employingpersons who are
blind
14
The Value of Partnering
NISH Regional Map
15
Government at Its Best
2006
  • 43,344 people with severe disabilities employed
  • 1.8 billion plus in sales
  • Average wage is 9.99 per hour(94 above Federal
    minimum wage)

16
Government at Its Best
  • How we do it
  • 569 non profit community rehabilitation programs
    producing under AbilityOne
  • Goodwill
  • Many members of the Americas Group of
    Workability International
  • Another 929 associated with NISH
  • Many want contracts
  • Many want capacity building services
  • New re-affiliation process requires
    renewingapplication to include capability
    capacity

17
Government at Its Best
  • How we do it
  • Both NISH and the community rehabilitation
    programs share missions of training employing
    people with disabilities
  • Both NISH and the community rehabilitation
    programs have a vested interest in satisfying the
    federal customer
  • We share the responsibility in building,
    maintaining and expanding the AbilityOne brand
  • Build brand through quality, performance best
    value

18
Government at Its Best
CRPs NISH share acommon mission
  • The need
  • 38 employment rate of people with disabilities
    in the US compared to 95 employment rate of
    general population
  • 10M plus people with severe disabilities are
    unemployed in the US

19
Government at Its Best
Voices of our customers
  • Federal Customers Want
  • Performance (ensure requirements of the
    contractare met)
  • Price (offer prices based on current market
    value)
  • Responsiveness (solve my problems quickly)
  • Communication (notify me about policy changes)
  • Create added value (save me )
  • Provide social value (show me how support of
    AbilityOne is good for our country)

20
Government at Its Best
Voices of our customers
  • People with Severe Disabilities Want
  • See me as a person not a disability
  • Provide me a job
  • Support my work environment
  • Listen to me
  • Be my voice
  • Help me develop advance

21
Government at Its Best
Voices of our customers
  • CRPs Want
  • Relationship (know me, help me resolve my
    problems, treat me fairly)
  • Business development (grow my business)
  • Operational excellence (make me better
    operationally)
  • Be my advocate (protect jobs, be a leader in
    field)
  • Help me grow my capability capacity
  • Tailor services to my CRP
  • Collaborate with me (involve me)

22
Government at Its Best
2007-2010 NISHStrategic Goals What We Do
  • Innovation in Employment
  • Expansion in Employment
  • New Business Development
  • Program Integrity
  • Program Integrity
  • Customer Satisfaction
  • Promoting AbilityOne
  • Performance Excellence
  • Leadership Succession

23
Government at Its Best
How NISH does it? Simplistically find it, get
it, keep it
  • Marketing
  • Research marketplace potential opportunities
  • Market to potential customers
  • Develop market new lines of business
  • Use relationship research based marketing
  • Acquiring administering contracts
  • Contract distribution
  • Market price analysis
  • Perform procurement addition list process
  • Perform contract renewals
  • Monitoring contract performance
  • Contract readiness start-up
  • Regulatory compliance reviews
  • Performance reviews
  • Respond to complaints concerns

24
Government at Its Best
How NISH does it? Simplistically find it, get
it, keep it
  • Ongoing technical assistance
  • Problem resolution
  • Honest broker
  • Quality assessments assistance
  • Ongoing technical assistance support
  • Problem resolution
  • Negotiation assistance
  • Honest broker

25
Government at Its Best
  • Additional Support Providedby NISH
  • Grassroots Public Policy Advocacy
  • Strong Communications Publications
  • Free Training
  • Financial Assistance (loans, consultation, grants)

26
Government at Its Best
  • The current business environment facing JWOD
  • The easy jobs are long gone
  • People with disabilities want meaningful work,
    development advancement
  • More complex work requires more sophisticated
    approaches
  • High cost of line of business entry (time, money,
    skill)
  • All want flexibility responsiveness in contract
    management
  • Bundled contracts strategic sourcing
  • Turn over in government contracting officials
  • Severe federal budget reductions on
    domestic/civilian front
  • Socio-economic goals of 30
  • Presidential election pending

27
Government at Its Best
  • Core business line examples
  • Custodial
  • Food services
  • Grounds maintenance
  • Clothing textile manufacturing

28
Government at Its Best
  • Strategic lines of business (new expanding)
  • Document destruction
  • Laundry
  • Hospital housekeeping
  • Fleet up-fitting management
  • Tele-services
  • Secure mailroom
  • Warehousing distribution
  • More sophisticated clothing textiles with
    emphasis on civilian agencies

29
Government at Its Best
  • Strategic lines of business Standing Up a New
    Business Line
  • Market Research Government contracting expert
    conducts market analysis (competitors, market
    share, buying trends)
  • Develop Business Plan
  • Obtain funding support for NISH Board of
    Directors
  • Set up NISH line of business office
  • Access capability capacity of CRPs
  • Build capability capacity of CRPs
  • Distribute contracts
  • Add jobs to Procurement List
  • Approximately three years start to finish

30
Government at Its Best
  • What AbilityOne can offer
  • Ease in contracting
  • A national network supporting geographic high
    volume requirements
  • A dependable workforce
  • Technical assistance capacity building
  • Long term relationships
  • Beyond provider to problem solver solution
    finder
  • Trusted advise

31
Government at Its Best
Leveraging AbilityOne to help support other CRP
business opportunities
  • Market research
  • Business risk analysis
  • Line of business consulting training
  • Business planning
  • Pricing, distribution standardization
  • Teaming with commercial partners on AbilityOne
    contracts
  • Filling excess capacity
  • Government experience as a reference

32
Government at Its Best
How the AbilityOne Programis funded
  • Committee for Purchase receives small budget from
    Federal Government appropriations
  • NISH receives fee from CRP/Federal government
    based upon sales
  • Paid by government to CRP who in turn pays NISH
  • Set by Committee for Purchase annually
  • Maximum of 4
  • Currently 3.75

33
Government at Its Best
Whats New
  • New name
  • AbilityOne program new executivedirector
    search
  • New standards requirements
  • Growth budget leveling off in 2007 2008
  • Institute for Economic Empowerment
  • Increased emphasis on business development
  • Voice of the customer
  • Organizational excellence

34
Government at Its Best
  • JWOD Act Regulations
  • Independent Agency (15 members/29 staff)
  • Requires if an entity of the Federal Government
    intends to procure an item on the PL, must buy
    from Committee-designated source at established
    price, if available in needed timeframe.
  • Oversight of Central Non-Profit Agencies (CNAs)
  • Ensure program compliance

35
Government at Its Best
  • JWOD Statutory Roles Responsibilities
  • Establish, publish and maintain the PL with
    additions deletions
  • Determine Fair Market Price
  • Designate CNA to facilitate orders
  • Make rules regulations
  • Study evaluate

36
Government at Its Best
  • The Way Committee for Purchase Operates
  • Deliberate decisions
  • Transparent
  • Suitability
  • Impact
  • 90 day additions administration minimum
  • Impasses (e.g., pricing)
  • Federal procurement trends

37
Government at Its Best
  • Non-Profit Agency (CRP) Qualifications
  • Non-profit serving people who are blind or who
    have severe disabilities
  • Certify 75 of direct labor performed by people
    who have severe disabilities
  • Personnel records (disability documentation
    competitive employment evaluation)
  • Placement Program
  • Department of Labor requirements

38
Government at Its Best
  • JWOD Act Modernization
  • Law since 1938
  • Previous administrative clean-up only
  • Congress looking at 2 long standing disability
    programs including AbilityOne
  • New legislation to modernize JWOD Act not
    expected until 2008-2009
  • Produces opportunities for improvements

39
Government at Its Best
  • Considerations for buildinga law
  • Ratio 75 vs. 50 (Act vs. public policy
    thinking)
  • Balance disability and (small) business concerns
  • Definition of disability (Over 60 Federal
    definitions now)
  • Severity of disability serve people with
    disabilities or people with severe disabilities
  • Can others besides non-profit participate?
  • Role of placement and advancement for peoplewith
    disabilities
  • Importance of choice and options

40
Government at Its Best
  • Considerations for buildinga law
  • Integrated work settings
  • Payment of minimum wage or commensurate wage
  • People with disabilities and entrepreneurial
    (self-owned) businesses
  • Other Federal Government goals priorities
  • Impact of other Federal laws programs (ex. SCA)
  • Contracts for perpetuity
  • Due diligence, transparency program
    responsiveness (AbilityOne process takes too
    long)

41
Government at Its Best
  • Considerations for buildinga law
  • Coordination with other disability programs
    policy
  • Innovation role of research development
  • Count subcontracting (procurement programs)
  • Agency requirements (agreement/contract,
    governance, performance, payment of program fee)
  • Oversight compliance (program integrity)

42
Government at Its Best
For More Information
Deborah Atkinson NISH 8401 Old Courthouse Road
Vienna, VA USA 22182 datkinson_at_nish.org
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