October 19, 2004: Pennsylvania Governor Edward G. Rendell announced the award of Commonwealth contracts for three commodities that, together with 10 previously awarded contracts, will net Pennsylvania’s taxpayers an annual savings of over $180 million.

Success Stories

The Commonwealth of Pennsylvania’s strategic sourcing initiative has been one of the most successful in the nation, generating $180M in annual savings and increasing the state’s historic MWBE participation rate from 2% to more than 25%.

The State of Illinois’ procurement initiative brought greater accountability, efficiency and transparency to the procurement process and resulted in validated cost reductions of more than $216M. In 2004, Illinois received the National Association of State Procurement Officials Cronin Classic Gold Award for transforming Illinois’ purchasing practices.

Pennsylvania and Illinois applied the sourcing methodology to dozens of commodities, from goods like IT Hardware, Furniture and Office Supplies to services such as IT Staff Augmentation and Medical Staffing.

The Pennsylvania and Illinois success stories have been widely covered in local, regional and national trade publications.