OSPE - COVID-19 Economic Recovery Recommendations - Federal Government - 13

The Benefit to Canadians:

i. Better value to taxpayers

QBS encourages innovation which in turn drives better value on the infrastructure investment. It provides accountability

by ensuring that fees will directly correspond to the level of service and the value of deliverables to be provided. QBS also

results in more realistic and predictable budgets and schedules for project expenditures.

ii. Significant life-cycle savings

QBS maximizes the value of the consultant's contribution to a project while reducing the project's life cycle costs. A recent

American Public Works Association study shows that using QBS for professional services reduces construction cost

overruns from an average of 10% to less than 3% - equivalent to a savings of up to $700K on a $10M capital project.

iii. Benefits small firms

QBS helps small firms compete by providing them a process through which to demonstrate the advantages that they often

have over larger firms, including a greater degree of niche market expertise, greater knowledge of the local market and

greater involvement of senior level management in the execution of the project.

iv. Promotes communication and technical innovation

Using QBS provides owners the opportunity to fully define the scope of work of the project during the selection process.

This results in a project that is thoroughly thought out and fosters innovative, creative, cost-saving, and timesaving

approaches to problems. It also fosters better communication and business relationships between owners and proponents

as the process makes them partners in the job.
b. Effectively report life-cycle costing
It is essential that all infrastructure projects conducted by the province properly report and consider life-cycle costing. To gain the
maximum value for money, all costs incurred over the whole life span of infrastructure projects must be estimated. This will ensure that
taxpayer's money is used for infrastructure projects that are able to produce multigenerational benefits for most Canadians at a
proper cost.
c. Consider diversity and inclusion
The federal government should continue to work towards the implementation of supply chain diversity policies. This will enable the
government to use procurement to advance equity, diversity, and inclusion. The benefits of a diverse supply chain are well documented
in research done by the Centre for Diversity and Inclusion and the Conference Board of Canada. Small to medium enterprises owned by
women and members of other equity seeking groups provide value to large organizations, reduce the risk of streamlined supplier
pipelines, and lead to economic growth. It is imperative that the federal government establish this to ensure that engineering companies
led by women and members of equity seeking groups are provided with access to public procurement opportunities.

OSPE - COVID-19 Economic Recovery Recommendations - Federal Government

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