Annex: Key terms used in the report |
Framework agreement: A
framework agreement is a general term for agreements with suppliers
which set out terms and conditions and standard prices under which
specific purchases can be made throughout the term of the agreement.
For example, OGCbuying.solutions has a range of framework agreements
for IT equipment.
Managed services: A range
of on-going services managed by OGCbuying.solutions on behalf
of public sector customers. For example, the Managed Telecommunications
Service provides a combination of equipment, infrastructure, service
and support to ensure continuous operation of an organisation's
communications systems. Organisations are charged a single fee
per telephone handset.
Memoranda of Understanding:
OGCbuying.solutions manages several Memoranda of Understanding
which provide public sector organisations with agreed price discounts.
For example, for software purchased from Microsoft and Oracle.
Government Procurement Card:
The Government Procurement Card provides substantial benefits
for users by providing, in a similar way to credit/debit cards,
a streamlined process for low value, ad hoc purchases.
Zanzibar: The Zanzibar
Managed Service is the new purchase-to-pay and emarketplace available
to the whole of the UK public sector, extending to any organisation
subject to European Union procurement rules. It enables the public
sector and suppliers to be linked up over the Internet, and transact
in a fully integrated end-to-end manner, from initial tender to
invoicing, using electronic systems.
Single approach to sourcing:
The Office of Government Commerce will identify either OGCbuying.solutions
or a relevant departmentgenerally the one that has the
largest spending for the categoryto lead on behalf of the
rest of government in buying a range of commonly procured goods
and services, where that can provide good value for money.
eAuction: An eAuction
(electronic auction) is an online bidding process between pre-selected
suppliers for a specific piece of business. Suppliers compete
online and in real-time using the internet to communicate offers.
Its principles, therefore, follow those of a conventional auction,
but as the eAuction proceeds, suppliers make offers to supply
goods and services at successively lower prices until nobody wishes
to place a lower bid.