DTA opens consultation on Digital Seller Underperformance Policy

The Digital Transformation Agency has announced it is opening consultation with digital sellers and industry stakeholders on the proposed Digital Seller Underperformance Policy (DSUP). The policy is designed to enable fair and transparent management of seller underperformance information and to drive improved digital project outcomes across government.

Government digital contracts are often large and complex, and performance challenges can arise from many factors. The proposed DSUP provides incentives for digital buyers and sellers to work together to resolve delivery challenges and achieve successful outcomes.

“Engaging with industry is essential to shaping a policy that is fair, practical and delivers better outcomes,” said Chris Fechner, CEO of the DTA.

The DTA is seeking feedback from sellers and other industry stakeholders to ensure the policy is fair, clear, transparent and proportionate, in order to support effective collaboration between sellers and government buyers.

The proposed policy establishes a consistent and transparent process for reporting and assessing notifications of serious underperformance in the government’s strategically significant digital contracts (contracts valued at $4 million or more or as identified by the DTA).

The policy embeds procedural fairness safeguards, including a ‘right of reply’ for sellers. These safeguards include the DTA assessing agency reports impartially and ensuring sellers have the opportunity to respond before any information is shared across government. This would support fair, evidence-based decision-making across the digital procurement process.

The DTA says it will use feedback gathered through this consultation to consider options to apply the underperformance policy to other contract types. Feedback from a wide range of sellers and stakeholders will help to inform these decisions.

“Insights from this consultation will shape the final version and scope of the policy that delivers stronger information-sharing across government buyers,” Fechner said. “Simultaneously, it will help to reinforce a fair, competitive and transparent marketplace for digital sellers of all sizes.”

The consultation is now open and will close on 21 December at 4 pm (AEDT).

Visit the ‘Have your say’ module for further information on the DSUP.

Image credit: iStock.com/cagkansayin