Reverse Auctions are in the FAR— what is your agency's plan?
Reverse auctions were once a foreign concept in federal procurement. With the recent FAR Final Rule advocating for their use in FAR Part 17.8, agencies are expected to leverage this tool. In FY25, you'll likely be asked to demonstrate how your agency incorporates reverse auctions into its procurement strategies.
If your agency still needs a reverse auction plan, we've made an easy checklist below. Join the Federal Civilian and DoD agencies already using reverse auctions to:
- Boost government efficiency in answering incoming mail from the new Administration.
- Increase outreach to industry earlier and more often; boost small business access with more than 94% of awards going to small businesses last fiscal year.
- Stretch FY25 budgets to the tune of 12-15%.
- Reduce contracting touch time and PALT.
- Access real-time dashboards to analyze vendor participation, prices paid, category management, and other critical data elements.
Agency Reverse Auction Program checklist:
- No-Cost Contract? Check if your agency already has a no-cost contract in place by emailing Jennifer.Chaddic@unisonglobal.com.
- You heard that right – there is no up-front budgeting for a reverse auction program and with an intuitive dashboard and integration with contract writing systems, team members can start using it right away.
- Program sponsor: Select a forward-leaning team member to oversee the program – this is typically someone in policy, strategic sourcing, or who oversees the firm-fixed price product and service actions processed by your agency.
- Effective use: Learn about effective use of reverse auctions via the Virtual Acquisition Office’s newest publication: At a Glance, “Going Once, Going Twice … Bought!”
- Start small: Request a meeting with Jennifer.Chaddic@unisonglobal.com to discuss a pilot of Unison Marketplace.
- An analysis of the one-off actions along with GWAC, BPA, and IDIQ actions will be available for you to review how effective reverse auctions will be for your agency, along with a short list of who to engage in your agency (recommend starting with just five to ten 1102s).
- Quickly receive benefits: 1102s will be onboarded and effective within the tool in less than an hour.
- They’ll be armed with: an effective sourcing team to reduce repetitive back and forth with the program and vendors while reducing the frustration and friction; automated negotiations via the reverse auction dynamic bidding functionality to ensure the best price while also considering other evaluation criteria; standardized quotes ready for technical evaluation and documentation audits; and a dedicated buyer support team to support use of the tool who will work with agency leadership to train on effective use of reverse auctions.
The FAR has officially recognized the value of reverse auctions. To ensure your agency is well-prepared for FY25, it is time to consider your agency’s reverse auction strategy. Use the provided checklist to get started. For further assistance, contact Jennifer.Chaddic@unisonglobal.com to discuss a no-cost pilot program.
