Fairness, Openness, and Transparency

Fairness, openness and transparency are the three principles that federal procurement in Canada is expected to meet. The Office of the Procurement Ombudsman defines each one: fairness is equal treatment of all current and potential suppliers, openness is giving all potential suppliers the opportunity to submit bids, and transparency is giving Canadians timely information that allows public scrutiny of procurement decisions and actions.

The Government of Canada expects its procurements to be fair, open and transparent, while also meeting public expectations for prudence and probity, as described by the Public Service Commission. The principles apply to federal departments and agencies acquiring goods, services and construction.

How the Procurement Ombudsman defines the three principles

The Office of the Procurement Ombudsman sets out the definitions in plain terms. Fairness concerns how suppliers are treated. Openness concerns who gets the chance to compete. Transparency concerns what the public is told and when.

The Procurement Ombudsman is mandated to review the procurement practices of federal departments and assess them against these three principles. The Ombudsman's published reporting reflects that mandate.

Where the principles appear in a federal solicitation

• Evaluation: Bid evaluation criteria must be recorded and applied equally to all bidders, and evaluations follow the pre-established rules in the tender documents.
• Equal treatment: Purchasing departments are expected to treat bidders fairly and equally and to avoid preferential or unfavourable treatment.
• Access: Competitive processes place bidders on equal footing and subject them to the same terms and conditions.
• Clear information: Timely solicitation information lets suppliers prepare responsive proposals and lets the public scrutinize decisions.
• Notice and records: Departments are expected to give notice of intended procurements, publish accurate award information and keep records of key procurement decisions.

Non-competitive contracts and proactive disclosure

The principles also shape when a department can skip a competition. The award of non-competitive contracts is to be limited to exceptional and justifiable circumstances. Where a contract is awarded without competition, the decision needs to be documented and defensible.

Transparency is supported by publishing solicitation and contract-award information through Buy Canada. That public record is what allows suppliers, other bidders and Canadians to scrutinize how contracts were awarded.

How NATO frames the same concepts

NATO uses closely related language for its common-funded procurement. Its procurement policy calls for open and fair competition, non-discrimination, equal treatment of eligible vendors and transparency throughout procurement activities. NATO also describes its industry framework as grounded in open and fair competition, transparency, good governance, efficiency and proportionality, as outlined by Allied Command Transformation. Suppliers working on both Canadian and NATO opportunities will recognize the same core expectations in each.

What it means for a supplier bidding on Canadian public contracts

For a supplier, these principles mean the solicitation is the rulebook. Follow it exactly, rely on the stated requirements and evaluation criteria, submit by the deadline and through the required channel, and raise clarification or procedural concerns through the mechanisms the solicitation identifies. Because evaluation criteria must be applied equally to every bidder, a bid that addresses each stated criterion directly is the strongest position to be in.

The principles set the obligations on departments. They do not create one universal supplier procedure for every procurement, so always check the terms of the specific solicitation.