Public sector infrastructure buyers, especially in larger projects, have to weigh multiple objectives, such as pursuing quality infrastructure, achieving value for money, ensuring reasonable budget certainty, and including small and medium enterprises. In addition, the choices around these − often competing − objectives need to be made against the constraints of the environment in which they operate. For instance, a public buyer may have limited in-house competence to engage in some contractual models, or the market structure may not favour contract sizes above a certain value.
To address this complexity, with the support of the Queensland University of Technology, the OECD developed the Support Tool for Effective Procurement Strategies (STEPS), grounded in economic theory and evidence, to assess procurement trade-offs and inform optimal delivery strategies. The Federal Real Estate Institute of Germany (BImA) partnered with the OECD to support the development a procurement strategy for a new headquarters of the Federal Criminal Police Office − a mega project expected to accommodate 7,000 staff on a 30-hectare site. This report summarises the method, the analytical process, and procurement strategy solutions of this application of STEPS.
