Managing vendor performance

Learn how Public Services and Procurement Canada (PSPC) will work with vendors to manage performance.

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Measuring vendor performance

The Government of Canada wants to continue to do business with vendors who perform well and provide value to Canadians, thereby building a stronger supplier community.

PSPC is testing a Vendor performance management policy.

Our approach combines clear performance expectations with a fair, balanced and consistent evaluation process, supported by guidance and training.

The key objectives of the policy are to:

The performance-evaluation results will be created and monitored in the Government of Canada`s new web-based tool, the Electronic procurement solution.

We are working with other departments, industry and vendors throughout this process to ensure that the approach outlined under the policy will support fair, balanced and consistent performance evaluations.

Consultations and findings

In 2019, PSPC invited the federal procurement community and industry to attend in-person sessions across Canada and via WebEx and to complete an online survey. As part of these consultations, a draft of the Vendor performance management policy was posted on

We heard that we need to communicate with vendors more often about performance. More detail is available in the Vendor performance management: what we heard—a summary of stakeholder engagement. We have updated the Vendor performance management policy on what we heard from the consultations and ongoing engagement efforts.

Phased testing at Public Services and Procurement Canada

A gradual approach is key to changing how we manage vendor performance. Starting in 2020, we will test the evaluation methods outlined in the Vendor performance management policy along with the scorecards with key performance indicators for selected goods and services in procurements of several commodities.  These procurements will result in contracts awards.

We will use the test results to improve the policy, the key performance indicators, and the accompanying tools. While these procurements will result in contract awards, the performance information we gather during the initial tests will not be used to award contracts. We are currently developing key performance indicators for selected goods and services, working with departments and industry to ensure the way we measure performance is fair and consistent and transparent. We will start to include the details of the evaluation process in bid solicitation documents and contracts as we move forward.

During the testing process, we will communicate regularly with vendors about the testing progress and seek their perspective and input on the tests. This open communication will allow us to refine the tools and procedures.

We will gradually expand these tests to include more goods and services.

This testing approach will allow us to refine and adjust the policy and supporting tools.

The elements of the Vendor performance management policy to be tested are in the pilot version of the Vendor performance management policy.

Please see for more information on these procurements.

Learning more

To share your comments or learn more about our plans, reach us at:

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