One small step for procurement, giant leap for digital?

I’m a big fan of the NSW ICT Strategy. Cynics might say that I would be, given that it’s the work of my recent colleagues, but that notwithstanding, I’m an acolyte because it continues to put the customer at the heart of its thinking.

The announcement today of an app that makes vehicle registration easier is a case in point. Whether this is badged as “Gov 3.0″ or “digital disruption” is irrelevant. It’s an app that makes something previously complex now very simple.

Saves us time, saves them money, so that’s a yes from me.

The NSW Government recently released an update to the strategy, named “Digital Plus”. Amongst the many things that made headlines in the trade press were; establishing new cross government standards in the use of Cloud, the development of a new Enterprise Architecture Framework and continuing good works in Data Centre and Procurement Reform strategies.

All good, all building on an already successful initiative. But an old mentor of mine was fond of saying “God is in the detail” and it’s in the detail that you’ll find one of the tiny hidden gems of this strategy update. It is in fact the last item listed under New Actions for Industry and it announces the plan to “Create a Procurement Innovation Stream”. Specifically, it mentions that agencies will be able to engage SME’s on “high risk” projects on short term contracts up to $250,000.

This is a good thing. In terms of timing, it’s absolutely perfect.

Here’s why. The current rules on procurement (which are many and complex) across the NSW Government broadly require departments to obtain 3 quotes for most tasks with a likely cost of over $30,000. Even at this early stage, the decision to create a new stream to broaden that scope deserves widespread recognition. While it’s true that in the Digital Age we’re doing many things cheaper than ever before, it’s nevertheless hard to engage the interest of really key innovators for a prize of less than $30,000, particularly if any subsequent work they inspire also has to go to tender.

The heightening of the new procurement ceiling to $250,000 will potentially see a wide range of companies in the digital communications space reconsider how they can adapt successful digital solutions to solve Government problems. And as Governments worldwide face many similar issues in adapting to the Digital Age, companies with affiliates overseas or interstate would do well to consider what they might have developed elsewhere that can be put to use in NSW. And meanwhile local start ups with a great idea may soon get a ready made forum to pitch the idea.

And best of all, NSW and its citizens will be the continual and ongoing benefactors. Done well, these kind of strategic procurement initiatives are “win-win” on all levels, improving the quality of life for citizens, saving everyone time and saving the Government some money. Which in itself is also going to improve life in NSW, as savings are reallocated to important areas.

The announcement is carefully worded and if I do have a small criticism it’s that this concession shouldn’t be limited to SME’s, but that point can be debated another day. Instead, I await the development of this plan with interest.

Building on the good work already being done with digital natives under the “apps4nsw” banner, it’s absolutely critical that the NSW Government put some thought towards exactly how companies will be able to easily pitch ideas and projects to this innovation stream.

We’d probably want to avoid the public sector equivalent of the Dragons Den (although like The Gruen Transfer it might make good telly) but there must be a simple, well publicized and open forum for interested businesses to pitch their ideas. The form filling needs to be minimised and the rules of engagement clearly outlined and understood. And whilst the public sector context is understood, a commitment must be made that decision making will be responsive and timely.

All eminently doable and well worth the investment of time and effort. By encouraging the best brains to take part and ensuring a level playing field for all, while the rest of the world worries about “Government 3.0″, the NSW Government can create a unique digital innovation stream that benefits all and sees “the best ideas win”.

Now that would be a giant leap forwards….

Comments welcome here/mail/Twitter@alunprobert. Thanks for reading…