TORONTO ON, September 30, 2014: The Government of Ontario needs to adopt a new, strategic approach to public procurement, according to a new report from the Ontario Chamber of Commerce (OCC) and Canadian Manufacturers and Exporters (CME).
The report, Spend Smarter, Not More, makes the case that the government can use public procurement as a way to spur economic growth across the province.
By some measures, the Ontario government is the single largest contributor to the provincial economy. A strategic approach to public procurement has the potential to leverage government spending in order to create value in the economy in the form of job creation, long-term savings and investment, innovation, and cluster growth.
“As Ontario’s economy shifts from recovery to growth, there are significant opportunities for the government to leverage its economic weight,” says Allan O’Dette, President and CEO of the Ontario Chamber of Commerce. “A strategic approach to procurement could spur economic growth by leveraging public dollars to create jobs and foster innovation.”
The report outlines a number of steps that the government should take in order to overcome barriers that prevent government from adopting a strategic approach to public procurement. As a start, the government should follow the UK’s lead and establish an independent procurement centre of excellence.
Additionally, the report calls on government to increase collaboration with industry on the development of procurement criteria and improve access to tendering for small and medium enterprises (SMEs), which make up 98 percent of Ontario’s businesses and employ 88.5 percent of the province’s workforce.
“Government expenditure makes up roughly 20 percent of Ontario’s economic output. It is time for government to utilize all of the tools at its disposal, including strategic procurement,” adds O’Dette.
Learn more by reading Spend Smarter, Not More: Leveraging the Power of Public Procurement
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For more information contact:
Neville McGuire, Manager of Communications
Ontario Chamber of Commerce
t. 416.482.5222 ext. 2410