Procurement in the public sector has evolved significantly over the past decade. With the growing demand for transparency, efficiency, and flexibility, organisations have had to rethink traditional tendering processes. One of the most effective solutions to emerge from this shift is the DPS Framework, or Dynamic Purchasing System. This innovative approach simplifies buying while maintaining compliance and value for money.
In this blog, we’ll explore what the DPS Framework is, how it works, and why it’s becoming an essential tool for public sector procurement teams.
What Is a DPS Framework?
A Dynamic Purchasing System (DPS) is a procurement tool designed to make it easier for public sector organisations to source goods, works, or services. Unlike a traditional framework agreement, a DPS remains open to new suppliers throughout its lifetime. This means that new providers can apply to join the system at any point, provided they meet the required standards and criteria.
In simple terms, the DPS operates much like an approved supplier list — but one that evolves over time. It provides a flexible, fully electronic system where buyers can quickly run mini-competitions among qualified suppliers to meet their specific needs.
How Does the DPS Framework Work?
The DPS process is divided into two main stages: the qualification stage and the call-off stage.
1. Qualification Stage
In the first stage, suppliers express interest in joining the DPS by submitting their details and demonstrating compliance with key requirements. This may include financial checks, health and safety credentials, and relevant experience. Once approved, they become part of the DPS and can be invited to compete for opportunities.
2. Call-Off Stage
The second stage occurs when a buyer needs a specific product or service. The buyer issues a mini-competition to all approved suppliers within the relevant category. Suppliers then submit bids, and the buyer selects the best value offer based on quality, price, and other evaluation criteria.
This two-stage process ensures that the DPS remains competitive, dynamic, and inclusive, fostering innovation and fair access for both established and emerging suppliers.
Key Benefits of Using a DPS
1. Flexibility
One of the biggest advantages of a DPS is its open structure. Unlike traditional frameworks, which are fixed for several years, the DPS allows new suppliers to join at any time. This helps organisations tap into fresh expertise, innovation, and competitive pricing.
2. Efficiency
Since the system is entirely electronic, it significantly reduces administrative effort. Buyers can quickly issue tenders, evaluate responses, and award contracts — all within a streamlined, transparent process.
3. Inclusivity
The DPS encourages participation from a wider range of suppliers, including small and medium-sized enterprises (SMEs). This not only promotes diversity but also strengthens local economies.
4. Compliance
Operating under public procurement regulations, the DPS ensures that all purchasing activity remains fair, open, and compliant. This protects both buyers and suppliers from legal and reputational risks.
5. Cost-Effectiveness
By promoting competition and transparency, the DPS helps achieve better value for money. Buyers can access the most competitive bids without compromising on quality or service delivery.
DPS vs Traditional Frameworks
While both systems aim to streamline procurement, there are some key differences:
| Feature | DPS Framework | Traditional Framework |
| Supplier access | Open throughout duration | Closed after initial setup |
| Duration | Can be long-term | Usually fixed for 4 years |
| Competition | Mini-competitions for each contract | Often limited competition |
| Flexibility | High – suppliers can join anytime | Low – supplier list fixed |
The DPS Framework therefore provides a more agile and adaptable approach, ideal for sectors where needs change frequently or innovation is key.
When Should You Use a DPS?
The DPS is particularly effective for recurring or frequently purchased goods and services, such as transport, IT support, or maintenance. It works well when requirements vary across projects or when there’s a need to encourage supplier diversity.
Public bodies including councils, housing associations, and NHS trusts are increasingly adopting DPS solutions to ensure more responsive and efficient procurement.
Implementing a DPS Successfully
To get the most from a DPS, it’s essential to plan carefully and manage it proactively. Key steps include:
- Defining clear categories – Organise suppliers into relevant lots for easier competition.
- Regularly reviewing participation – Ensure that only qualified and compliant suppliers remain active.
- Encouraging supplier engagement – Provide feedback and support to help suppliers meet standards.
- Monitoring outcomes – Track performance, savings, and satisfaction to measure success.
With the right management, a DPS can deliver exceptional value, foster innovation, and build stronger supplier relationships.
Final Thoughts
The DPS Framework is transforming the way public sector organisations approach procurement. By combining flexibility, transparency, and efficiency, it empowers buyers to source competitively while ensuring compliance with public procurement laws. Its open nature supports inclusivity and innovation — making it a forward-thinking solution for today’s evolving procurement landscape.
For organisations seeking guidance in establishing or managing a DPS, expert partners can make all the difference. Inprova offers comprehensive procurement support, helping public sector bodies implement effective systems that drive value and deliver lasting results.
