What is a Group Purchasing Organization (GPO)?
Kinetic is a Group Purchasing Organization (GPO) that helps Canadian Public Sector and MASH entities realize savings through leveraging purchasing volumes. This leverage allows for Kinetic to better establish discounts on behalf of its members through a competitive public tender process.
Beyond savings what other value add services are offered?
Kinetic GPO actively manages contracts throughout their term. We monitor key performance indicators, as well as provide ongoing education for suppliers to ensure they are operating in compliance with the terms and conditions of the contract.
What is the advantage of buying through Kinetic GPO?
Kinetic makes cooperative purchasing as simple as possible, yet our compliance process provides the legally required competition for our contracts. We’ll do the work, you save the time and money.
Additional advantages are as follows:
- Voluntary access to our contracts, with no spend or volume commitment;
- Continuously increasing choice of a wide range of collaboratively-sourced and competitively-priced products and services available through our contract;
- A fair, open and transparent procurement process to ensure compliance with Chapter 5 of the Canadian Free Trade Agreement (CFTA) and other international trade agreements, including the Canada-EU Comprehensive Economic and Trade Agreements (CETA).
- Cost-efficient and time-saving way to meet your organization’s procurement needs.
How does the administrative fee collected by Kinetic affect its members?
The short answer is, it doesn’t. Kinetic collects an administrative fee from its suppliers based on purchases made from contracts by its members. That means membership is free and allows public sector entities to redirect valuable time & resources back in to their organization.
PROCESS & COMPLIANCE
What purchasing procedures does Kinetic follow?
All Kinetic contracts are awarded using a competitive solicitation process consistent with Chapter 5 of the Canadian Free Trade Agreement (CFTA) and other international trade agreements, including the Canada-EU Comprehensive Economic and Trade Agreement (CETA).
Will Kinetic help members meet the notice of participation requirements under the CFTA?
CFTA requires the public sector entities to publish a notice of their participation with Kinetic at least annually on one of the tendering websites or systems designated by its province/territory. Kinetic will take care of doing this for its members, to facilitate compliance.
What does the Canadian Free Trade Agreement (CFTA) state about Group Purchasing?
The Canadian Free Trade Agreement (CFTA) recognizes "Group Buying" as a valid way for public sector organizations to procure goods and services. The following language is from Article 504.5-9: Scope and Coverage found on Page 40 of the CFTA:
5) A procuring entity shall ensure that any procurement conducted through a buying group is carried out in a manner consistent with this Chapter.
6) A buying group shall publish a notice for each procurement. The notice must list the participating procuring entities and must outline the potential for other procuring entities to participate in the procurement after the procurement instrument has been put in place.
7) A procuring entity shall publish a notice of its participation with the buying group at least annually on one of the tendering websites or systems designated by its Party. That notice shall direct potential suppliers to the buying group tender notices website if it is different from its Party’s tendering websites or systems.
8) Subject to Article 503.1, when a procuring entity procuring through a buying group has little or no control over the procurement process, it is not required to ensure that the procurement is consistent with this Chapter.
A member’s ability to use Kinetic’s contracts depends on the member’s local policies, guidelines and regulations. Some agencies feel that Group Buying is like using a Standing Offer or Master Agreement from their province or federal government.
Who developed the Kinetic GPO solicitation documents & templates?
Our policies, protocols and solicitation templates have been designed with the help of The Procurement Law Office, an award-winning public procurement law office led by Paul Emanuelli.
Where does Kinetic post tender notices?
Kinetic posts RFX opportunities on MERX, Biddingo and Bonfire
Where does Kinetic post award information?
Award information is available on the Kinetic website (www.kineticgpo.ca). Merx, Bonfire and Biddingo are also updated with award information once the evaluation process is complete and a contract signed.
How long does Kinetic post their RFX opportunities for?
Kinetic posts RFX opportunities for a minimum of forty-five (45) calendar days which exceeds the minimum posting times in the trade agreement. Kinetic does this to ensure all bidders have ample time to prepare proposals. In addition, Kinetic engages the supplier market in the procurement planning stage via supplier consultations and issues a notice of procurement in advance of the upcoming RFX opportunities.
Do Kinetic's tender notices comply with trade agreement requirements?
Yes, the following information is included:
- Kinetic’s name and contact information;
- a list of participating procuring entities while also outlining the potential for other procuring entities to participate in the procurement after the standing offer agreement(s) is put in place;
- a description of the procurement, including the nature and quantity of the deliverables and the contracting opportunity;
- a list and brief description of any conditions for participating in the process and requirements for specific documents/certificates;
- trade agreement(s) procurement is subject to;
- a description of the initial term of the agreement and description of any options;
- the procurement method that will be used and whether it will involve negotiation;
- any authentication and encryption requirements related to the submission of supplier information by electronic means;
- the location and deadline for the submission of bids;
- the language or languages in which bids may be submitted;
- the criteria that will be used to select a limited number of qualified suppliers (if applicable) and any applicable limitation on the number of suppliers permitted to tender.
Does Kinetic have a supplier debrief protocol?
Yes, unsuccessful suppliers can direct their debriefing request to the contact person identified in the solicitation document within (60) days of the notification of the outcome of the procurement process.
Supplier debrief meetings will provide the following:
- Overview of the purpose of the debriefing.
- Explanation of the procurement process.
- Overview of the evaluation matrix.
- The unsuccessful supplier’s average score in each of the published evaluation criteria.
- A review of the proposal’s strengths & weaknesses.
Do I have to spend at a certain level?
No. There is no obligation to spend or to use any supplier. Additionally, most of our suppliers do not require any minimum to be spent with them to access our discounted prices.
If our agency wants to use the Kinetic contracts and buy from other contracts, is that permitted?
Yes, all Kinetic contracts are non-exclusive.
How can I become a member?
Membership is free! Just follow these simple steps to start the buying process:
- Go to www.kineticgpo.ca/kinetic-gpo-benefits-of-membership.html to become a member of Kinetic.
- CFTA requires public sector entities to publish a notice of your participation with Kinetic at least annually on one of the tendering websites or systems designated by its province/territory. We encourage our members to post on your preferred tendering website. Additionally, Kinetic will proactively take care of this for our members, to help facilitate compliance.
- Contact the supplier(s) for information on their products and services (if required) and confirm your requirements.
- Sign a Client Supplier Agreement (CSA) with your supplier partner of choice and start buying.
Do we have to pay a fee before we can access Kinetic's contracts?
No, there is not a fee to use any of Kinetic's contracts
What is expected of me?
Essentially the key requirement is confidentiality. Kinetic works hard to develop solid supplier relationships and to secure advantageous pricing for our members, and as such, we need to protect our interests! To become a member, Kinetic will ask that you sign a membership agreement prior to being given access to our contracts.
What if I choose to cancel my membership?
Your membership agreement will provide details on cancellation, but it’s as simple as giving us 30 days written notice.