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Michigan Procurement Earns Top Spot in National Ranking

Michigan Business Network
September 17, 2019 4:00 PM

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Reduced costs and accelerated processes cited as reasons for #1 ranking

LANSING, Mich. -- The Governing Institute named the Department of Technology, Management and Budget’s Central Procurement Services best in the nation in a triennial review of state government purchasing operations released late last month. Tricia FosterWe hold our role as stewards of public funds in the highest regard,” said DTMB Director Tricia Foster. “Our dedicated team is in constant pursuit of more efficient and effective purchasing procedures and this top ranking is validation of the progress we have made.” 

Michigan’s ascension to the number one ranking in the 2019 Governing Institute Procurement Survey is an improvement from the ninth spot it received in 2016. The Governing Institute lauded the state’s use of multiple sourcing methods to speed up the procurement process and reduce costs as justification for the top spot. They also noted that the state’s contract monitoring plan was among the best evaluated across the nation. 

It is an honor to be recognized for the hard Jim Colangelowork placed into optimizing purchasing in Michigan, for state agencies and suppliers,” said Michigan Chief Procurement Officer Jim Colangelo. “Our goal has always been to make it easy and efficient for state departments to get the products and services they need to carry out their respective critical missions for Michiganders. Whave completely transformed how the state looks at procurement, with our efforts showing measurable success, and the Governing Institute agrees. 

In addition to the innovations cited in the Governing Institute report, Gov. Gretchen Whitmer has instituted recent directives that make it easier for small and large businesses throughout Michigan to compete for sate contracts. Executive Directive 2019-8 expands business opportunities for geographically-disadvantaged businesses and directive 2019-15 ensures that businesses with a Michigan presence come first.   

With a staff of approximately 59, Central Procurement Services oversees a portfolio of more than 800 multi-year contracts with a total value of $60.5 billion and has generated $10.7 million in hard savings so far in Fiscal Year 2019. More information about Michigan procurement is available at www.Michigan.gov/DTMB 

Michigan Business Network is an online broadcasting company that provides knowledge, news, and insights into Michigan’s businesses, industries, and economy.