Innovation Procurement Models Guide

The BPS Primer on Innovation Procurement (Interim) describes six innovation procurement models and provides advice on when and how to use each of these models. This guide is intended to supplement the Primer, and discusses additional considerations, risks, and risk mitigation measures in selecting and executing an innovation procurement. This guide continues the guidance contained in the Early Market Engagement Strategies Guide-03., by providing guidance about the competitive procurement process that occurs after the market has been sufficiently engaged.

This guide is intended as a resource tool to assist HSPs in developing competitive procurement processes for innovative solutions. It is intended as a general reference, with commentary on issues and options with various innovation procurement models and features. This guide is supplemented by specific guidance embedded in the RFS Template. This guide (and the accompanying templates) do not replace your organization’s own procurement policies and processes. The IPT has been designed to be compliant with the BPS Procurement Directive. Organizations should seek legal advice on the application or modification of any template to meet their individual circumstances. 

Medigy Insights

Innovation procurement, which is a method organizations use to acquire new and untested solutions for problems or opportunities that cannot be solved by existing products or services in the market. The process can be challenging because it requires the development of a clear problem or opportunity statement that defines the desired outcomes and associated requirements. Traditional market analysis methods may not be effective in this situation, as the solution is not yet known. Therefore, collaboration with suppliers may be necessary to inform and define outcome-based specifications that lead to the optimal solution. The BPS Primer on Innovation Procurement (Interim) is mentioned as a guide that provides seven early market engagement strategies and advice on when and how to use each of them, which can help organizations to derive maximum benefit from the process.