Select your approach to market
- Market approaches can be categorised as traditional (such as requests for tenders) and non-traditional.
- Most agencies opt for traditional approaches, but we encourage you to look at non-traditional approaches too.
- Non-traditional approaches carry more risk but can lead to greater innovation.
Choose your market approach
If you’re procuring goods or services not covered by an existing scheme or contract, choose your market approach based on:
- the overall contract value (also called the maximum contract value, or MCV)
- your agency's level of accreditation, if applicable
- your agency's procurement policies and delegations processes
- any relevant supplier exemptions and procurement preferences
- whether the procurement is covered by Enforceable procurement provisions PBD 2019-05
- any relevant directions issued by the NSW Procurement Board.
Make sure you also consider:
- any special requirements you have for the work, products or services
- the work capabilities and commitments of suppliers
- your ability to monitor and assess the supplier’s performance.
Read more about selecting a supplier, including working with small to medium enterprises (SMEs) and regional businesses, Aboriginal businesses and Australian disability enterprises.
No single market approach is best
There’s no one-size-fits-all way of approaching the market. The best approach usually depends on the value, complexity, and timing of the procurement. It can also depend on the nature of the market itself, as well as on your procurement goals.
For instance, if you buy the same goods or services frequently, you may be best served by a selective tendering process using a NSW Government scheme with a list of prequalified suppliers.
Alternatively, if it’s unclear where to find a supplier – or whether a supplier even exists for the service you're envisioning – you may get the best result with an expression of interest (EOI). This will help you determine whether suppliers can meet your requirements.