19 Dec 2022

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The Pros and Cons of Sole Procurement vs Competition Contracts

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Academic level: College

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Sole-source procurement is a non-competitive procurement process whereby the government solicits and negotiates with a single vendor. This technique is used mainly when only one known vendor exists or when the vendor in question is the only one who can fulfill the requirements as described by the National Association of State Procurement Officials ( NASPO, 2015). This technique has some pros and cons, as has been proven by studies. This essay will look into some of these pros and cons in comparison with competition contracts. 

Sole-source provides for a quicker procurement of services in cases of emergency or unanticipated urgency. Here, the government is provided with a technique that saves time and directly awards the contract to the most suitable vendor. By applying this technique, it becomes possible to avoid the over-bureaucratic competitive contracting procedures which waste time. Non-competitive procurement is instrumental when there is a need to bypass any hurdle, which might delay providing services during an emergency (Cohen, 2008) 

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Sole-source procurement also comes in handy when there is a need to develop capacity, especially in critical dockets such as defense. When the government needs to develop its national security capacity, it might choose to do so with minimal or no public awareness. With this in mind, sole-source procurement may be adopted to protect national security's critical interests (Pyman, 2009). As much as sole-sourcing procurement may seem beneficial on some fronts, it also has its shortcomings. One major shortcoming of this technique is that it deprives the government of the opportunity to determine the best-suited contractor through a well-laid structure. This technique may overlook some critical factors, such as the quality of services to be provided. According to Curry (2017), only one individual is tasked with writing a sole-source justification. This is a considerable limitation that prevents the identification of other contractors who may have delivered the services at an even lower price. This statement has been affirmed by the case of Harvard Elementary school, which adopted the sole source procurement to install windows and doors. Messina (2010) states that the school always awarded contracts to the cheapest contractor. The contractor's capability to deliver quality services was not considered and might lead to poor-quality services. The government may avoid such a shortcoming through the use of competition contracts. 

References 

Cohen, S. (2008). The Responsible Contract Manager-Protecting the Public Interest in an Outsourced World. Washington, D.C.: Georgetown University Press. 

Curry, W. (2017).  Government contracting. New York, N.Y.: Routledge. 

Messina, I. (2010, August 2). TPS bypasses local firms-Contractors urge change in policy on awarding jobs. Toledo Blade

NASPO. (2015). Non-Competitive / Sole Source Procurement: Seven Questions. National Association of State Procurement Officials. 

Pyman, M. (2009). The extent of single sourcing in defense procurement and its relevance as a corruption risk: A first look. Exeter: University of Exeter. 

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StudyBounty. (2023, September 15). The Pros and Cons of Sole Procurement vs Competition Contracts.
https://studybounty.com/the-pros-and-cons-of-sole-procurement-vs-competition-contracts-essay

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