Department of General Services

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Department of General Services

Virginia Municipal LeagueAnnual
Conference October 20, 2003
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Electronic Procurement

• eVA Internet based electronic portal for all
  purchases by state agencies, institutions,
  and many local governments
• Single face to vendors doing business with the
  Commonwealth
• Virtual enterprise approach to state
  procurement, while maintaining local
  autonomy
• Easier and faster purchasing, with less time-
  consuming administrative tasks
• Vendor financed Transaction charge (not to
  exceed 500.00) built into the cost of doing
  business

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Tools Benefits

• Single Vendor Registration - - register one
  time
• Push Technology - - notification of business
  opportunities and improved competition
• Single Source - - one place to access business
  opportunities and procurement information
• Electronic Ordering -- standardization to do
  business with electronic commerce
  efficiencies
• Buying Tools - - e Mall, Quick Quote,
• e Procurement (over 50,000), Reverse
  Auctions provide opportunities to bid

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Tools Benefits

• Message Broker - - Connect to Financial
  Systems
• Data Warehouse - - access to purchasing
  history and reports.what we are buying, from
  whom, and how often
• Electronic Store Front - - supplier product
  catalog and marketing to whole state and
  more agency access to suppliers
• Faster Payment - - faster processing and
  less error reduces administrative costs and
  improves cash flow
• Business Outreach Center - - state resources
  to help large and small businesses move to
  electronic commerce

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How Were Doing

• 171 agencies and universities, and 322
  local government entities use eVA
• 181,000 purchases
• 1.18 billion in spend
• 14,495 registered vendors . over 7,200
  are SWAM
• 749 catalogs including over 4 million
  products on the internet including
  technology, fuel, vehicles, supplies, maintenance
  and repair parts, and services
• 6,000 plus buyers

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Awards
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Spend Management
Virginia Partners in Procurement

• Pilot Project Leverage Buying Power across
  all state agencies and institutions
• Consultant Silver Oak Partners, Inc.
• Private industry and public sector experience
• Guaranteed Return on Investment
• Reduced costs by leveraging Virginias
  Fortune 300 level spending
• Maintaining/improving services and value
• Virginia-wide buying collaboration that is a
  win-win for agencies and suppliers

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Pilot Takeaways

• The VaPP Pilot resulted in
• Better coordination across Virginia agencies,
  institutions and limited municipalities
• Leveraging Virginia-wide purchasing power
• More competitive negotiation process
• Increased on-contract spending with SWAMs
• Efficiencies for suppliers
• 126M in savings for contracts renewed over the
  next 5 years
• Rebates from new supplier contracts that will
  fund the effort through their use

ProductGE F35CW/U/6/WM Fluorescent Lamp ProductGE F35CW/U/6/WM Fluorescent Lamp ProductGE F35CW/U/6/WM Fluorescent Lamp
Old Price 5.32 New Price 3.36 Savings 38
Product Dell GX 260 Desktop Product Dell GX 260 Desktop Product Dell GX 260 Desktop
Old Price 994 New Price 828 Savings 17
ProductBIC Ball Point, BK, M, Round ProductBIC Ball Point, BK, M, Round ProductBIC Ball Point, BK, M, Round
Old Price 1.27 New Price 0.81 Savings 36
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VaPP Pilot Project
Category Details
VAPP Pilot Final Savings RecommendationProjected
Savings By Category Millions
Scope/ Definition
Software Off-the shelf Software, including Microsoft and other fully packaged and electronically distributed software
Computer Hardware Intel-based PC Desktops, Laptops and Servers
Lab Supplies Glassware, Plasticware, Filtration Products, Chromatography, Equipment, Chemicals, Tissue Culture Diagnostics, Life Science Products, Safety Supplies
Office Supplies Paper 18 Categories of Office Supplies, Toner (both new and remanufactured) and Packaged Fine Paper
Uniforms Professional Uniforms Emblems, Patches and Badges Inmate and Juvenile Clothing Work Clothing, Protective and Safety Medical and Lab Wear Recreational Clothing Footwear and Accessories Cadet and Band Uniforms
Janitorial Supplies Floor Care, Cutlery, Floor Pads, Laundry Liquid / Powder, Paper Bags, Paper Cups/ Plates, Paper Tissue, Plastic Products, Dishwashing Compounds, Garbage Can Liners, Paper Products, Skin Cleansers, Soap, Toilet Tissue
MRO Lamps, Ballasts, Electrical Supplies, Industrial Supplies, Plumbing Supplies, HVAC Supplies, Air Filters
Temps Administrative, Fiscal/Accounting/Tax, General Labor, Technical/ Engineering, Health Human Services, Media
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VaPP Pilot Project
New Contracts
VAPP Pilot Final Savings RecommendationProjected
Savings By Category Millions
of New Contracts Supplier Names
Software 8 ASAP, Attachmate, Cognos, DLT, ESRI, Novell, PC Mall Gov, Ronald A. Williams
Computer Hardware 5 Dell, Gateway, HP, IBM, Gateway
Lab Supplies 4 Colonial Scientific, Fisher, Thomas, VWR
Office Supplies Paper 2 BW Wilson, Office Depot
Uniforms 18 Aramark, DRL, Fashion Seal, Ganis, Guardian, Howard, Jaland, JH Churchill, Kay, Lehigh Saftey Shoe, Leslee Scott, Lohmann Rauscher, Mixson, Outdoor Outfits, OD Taragin, Safeware, Southern Police Equip, Uniforms Mfg
Janitorial Supplies 7 Acme, Birsch, Calico, Ecolab,Papertown, Riverside,Unisource
MRO 6 Eck, Grainger, Hajoca, Noland, State Electric, Tri-Dim
Temps 2 Abacus, Caliper
Total 52
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VaPP Pilot Project
VAPP Pilot Final Savings RecommendationProjected
Savings By Category Millions
Savings Results
FY04 Forecast Spend Estimated AnnualSavings Savings Total Contract Length Savings
Software 27.8 2.3 8
Computer Hardware 65.5 7.8 12
Lab Supplies 18.1 2.3 13
Office Supplies Paper 35.7 6.4 18
Uniforms 8.6 1.5 17
Janitorial Supplies 11.2 1.2 11
MRO 12.3 1.6 13
Temps 7.1 2.3 32
Total 186.3 25.4 14 126.0
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VAPP Wave 2
New Categories Underway

• PC Accessories (e.g., Printers, etc)
• Heavy Trucks (e.g., Dump Trucks, etc)
• Off Road Equipment (e.g., Tractors, etc)
• Grounds Maintenance Equipment
• School Buses
• Travel Airlines
• Travel Hotels
• Travel Travel Agency
• IT Enterprise Storage Devices
• IT Storage Media

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More Leveraged Buying.
Virginia Distribution Center

• Purchases and distributes 25-30 million
  worth of food and custodial supplies annually
  to over 1,200 customers statewide.
• Leveraged Buying Power - items consumed in
  large quantities by public agencies into single
  purchases obtaining better pricing than
  individual agency buys.

• Saves on average 34 less than market prices
  for items purchased. This savings is
  passed directly to the agencies.
• Strong quality assurance and lab testing
  program to ensure highest quality
  products.
• Dynamic catalog on the Internet eVA website.

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MARKET PRICE COMPARISONS



Furniture Polish (19 oz)
Mayonnaise (1 gallon)
Ketchup (10 Can 115 oz)
Tuna (66.5 oz)
Plastic Wrap(18 x 2,000 3,000sqft)
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Hand Sanitizer (12 oz)
Window Cleaner (19 oz)
Soup (50 oz)
Hot Chocolate (50-1 oz packs)
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Paper Towels (100 sheet roll)
Artificial Sweetener (250 packs)
BAB-O Cleanser (21 oz)
Aluminum Foil (18 x 1,000 1,500sqft)
Rice (25 Lbs)
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Participating is Easy

Local buyers register at http//evalite.dgs.state
.va.us/ Assistance Ms. Gail Kemper, (804)
786-3841 or 786-3842 On line training materials
are also available on this web site
Assistance Mrs. Teresa Owens, [phone]
Help buying from VDC and use of eVA VDC catalog
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Thank You Visit . . .
www.eVA.state.va.us