Question

Assume that you are the new director of procurement for a local transit authority in the Chicago area. You have been hired by the agency to shore up their procurement practices and specifically, to increase the use of local, disadvantaged businesses. The chief executive officer (your boss) of your agency is an influential member of the small business community and has made certain in promises to local chambers of commerce. These constituents include women and minority business owners who have been vocal about being left out of the public procurement process. Your challenge in the first year of this new job is to increase contracting opportunities for these businesses as well as increase your agency spending with small and diverse businesses. Only local funds will be used for this program so no federal requirements will apply. Consider and address the following questions. Your answers should be at least 100 words in length for each question/prompt.

1. What type of homework do you believe is needed for you to be successful in this new role? Would your research the history of the organization's procurement spending, analyze state laws on preferences and small businesses? Would you consult with other area colleagues?

2. Would you consider adopting a preference for disadvantaged businesses? If so, would the preference be structured? Please explain your position thoroughly.

3. What types of challenges might you encounter if you gave preferential consideration to the disadvantaged business community? How might you deal with others who question your efforts (elected officials, local media, non-disadvantaged contractors, etc.)?

4. What are your personal opinions about the use of preferences in public procurement? Do you believe they are helpful? Are they unnecessary? Do you believe the advantages outweigh the disadvantages?

Thank you for your hel

Answer 1

To be successful as the director of procurement for the local transit authority, conducting thorough research on procurement spending, analyzing state laws, and consulting with colleagues is necessary. Adopting a preference for disadvantaged businesses can help increase their contracting opportunities. Challenges in giving preferential consideration include opposition from officials and resistance from contractors. Preferences in public procurement can be helpful, but should be carefully balanced to ensure fairness and competitiveness.

Step-by-step explanation:

To be successful in this new role as the director of procurement for the local transit authority in the Chicago area, you would need to conduct thorough homework. This would involve researching the history of the organization's procurement spending and analyzing state laws on preferences and small businesses. Consulting with other area colleagues who have expertise in procurement practices would also be beneficial.Yes, it would be advisable to consider adopting a preference for disadvantaged businesses. The preference could be structured by implementing set-asides or preferences in the procurement process that prioritize contracting opportunities for women and minority-owned businesses. This would help increase their participation and spending with the transit authority.Challenges that might be encountered when giving preferential consideration to the disadvantaged business community include opposition from elected officials, criticism from local media, and resistance from non-disadvantaged contractors. Dealing with these challenges would require effective communication, transparency, and highlighting the benefits of diversity and inclusion in the procurement process.Personally, preferences in public procurement can be helpful in promoting diversity and addressing historical disadvantages faced by marginalized business owners. However, it is important to strike a balance and ensure fairness and competitiveness in the procurement process, so that advantages don't outweigh disadvantages. Preferences should be implemented with careful consideration and evaluation of their impact.