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Government Procurement Business Survey

New Zealand Government Procurement (NZGP) runs an annual survey seeking businesses’ views on government procurement across the public sector. The survey focusses on businesses perceptions and experiences of bidding for government contracts as well as their experiences of government contract management. This forms a part of a programme led by NZGP aimed at improving procurement and commercial practice.


Key findings from 2016 Survey

Government agencies have made improvements across a number of areas, particularly in contract management. Results suggest an improvement in the performance of government’s contract managers and the overall quality of how government manages contracts.

Government agencies still have some way to go with supplier relationship management and overall quality of government procurement. Businesses also report that many government agencies do not provide helpful feedback after a tender response or in contract review meetings. A third of respondents indicated that they did not receive any follow-up from agencies after having bid for a contract.

There are some trends emerging:

  • How businesses perceive and find the experience of working with government can vary depending on sector. Overall, businesses in ‘personnel related’, ‘services’, ‘energy and utilities’, and ‘office solutions’ sectors were the most positive about government procurement and those in ‘professional services consultancy’, ‘marketing and media’, and ‘operational goods and services’ sectors were generally the least positive.
  • Businesses which rated government as more important to them were more positive about all aspects of government procurement than those who rated government as less important.
  • Larger businesses were typically more positive about government procurement than their smaller counterparts, except with regards to the time provided to respond to tenders.


Actions taken to improve government commercial practice


Actions taken and developments


Contract management

Results show an improvement in the quality of government contract management. However, there is still room for improvement, particularly in providing helpful feedback during contract review meetings.



Contract management guidance is available to assist agencies.

A framework for managing government’s significant service contracts has been developed and will be released in the coming months. The framework will also provide good practice guidance and training to improve supplier relationship and contract management capability.



Supplier relationship management


Businesses generally rated government procurement negatively on its supplier relationship management.



Supplier relationship management guidance is available to assist agencies.


Supplier relationship management training is currently being developed and will be made available to agencies once completed.


Providing debriefs

Many agencies do not provide helpful feedback after a tender response.

Guides and templates on providing debriefs are available for agencies. Tips for businesses on how to make the most of debriefs are also available.


Business size

Smaller businesses were more likely to be critical of government procurement than their larger counterparts.


Practical and general advice has been published on how businesses can approach their next tender opportunity and increase their chances of winning it. These can be found under our section on Resources for responding tenders for suppliers.

Resources on how to find contract opportunities, including those of other national governments, are also available.


Overall quality of government procurement

Businesses generally rated the overall quality of government procurement negatively.



A number of additional initiatives to build agency and individual commercial skills across government have been recently implemented. These include publishing construction procurement guidance for agencies, launching online procurement training modules, and piloting tender templates for government agencies.



Download the full reports


Last updated 9 August 2016