Sustainable Procurement Tools
Login / First time Registration

Commissioning & pre-procurement guidance

It is important to consider the opportunities to achieve social impact (well in advance and before the procurement process begins). Using the Sustainable Procurement Tools and supporting guidance can help identify opportunities to include community benefit requirements and Fair Work First which are key mechanisms for delivering social impact.

Early consideration of outcomes on a case-by-case basis can help to ensure relevance and proportionality, by taking into account the subject matter of the contract, associated market analysis, value and duration of contract, along with local factors and the nature of the supply base.

Where proportionate, involving relevant key stakeholders from the outset will enable a diverse group of people to consider the contract or framework requirements from a range of viewpoints, increasing the prospect of high-quality sustainable outcomes. This is often managed in larger contracts or frameworks by establishing a stakeholder group or a User Intelligence Group (UIG) who are responsible for helping to develop the specification and providing feedback throughout the procurement process. For example, in the Re-development of Paisley Town Hall Renfrewshire Council involved colleagues with expertise in Education, Employability, Economic Development, Business Development, and representation from Engage Renfrewshire (Renfrewshire’s Third Sector interface) and Developing the Young Workforce West.

Success should be measured in terms of outcomes delivered.  It is therefore important that the buyer considers the intended outcomes that are to be delivered from a contract and optimum methods of delivering these so that progress can be monitored effectively over the duration of the contract to ensure delivery of commitments.

Buyers should ensure that the community benefits they ask for are relevant in their specific contract, and the community benefits offered by tenderers in response are what will be the most impactful for people and communities in the authority’s area without negatively affecting the current workforce. Community benefits offered by a supplier must be generated specifically for and because of the contract.

Voluntary or non-scored community benefits questions should generally be avoided and only considered in exceptional circumstances. For example, new requirements where it is not possible to clearly define employment, skills and training outcomes.

Framework call-offs must normally be awarded on the same terms as those applied at the award of the framework. However, Regulation 34(10) of the Public Contracts (Scotland) Regulations 2015 allows, where necessary, award criteria to be more precisely formulated at call-off stage, provided they remain within the scope of the original framework agreement.

For example, where a framework includes award criterion relating to “sustainability”, it may be permissible to more precisely formulate criteria under this heading at call-off stage to include relevant and proportionate community benefit requirements. In such circumstances, there is no requirement for these criteria to be treated as voluntary or non‑scored.

Define Need

Community benefit opportunities should be based on contract scope, location and value, taking account of the organisation’s aims and objectives when identifying the type of benefits required (employment, local engagement, green skills, etc). Buyers may state in the Invitation to Tender that certain community benefits will be expected and should provide examples of the type of benefits expected, providing scope for bidders to be innovative to differentiate themselves from other bidders. 

Buyers should also consider whether it is appropriate to revise the terms and conditions that will apply to their contract to allow for community benefit reporting, escalation and remedies etc to manage any instances of community benefit commitments being missed.

Community benefits requirements must be considered at a local level to ensure they are relevant to the place and the people and community they will impact. What is relevant in one place may not necessarily be appropriate for another. Public bodies that consult and engage with those affected by its procurements are likely to get the best outcome.

Buyers should consider how by including relevant and proportionate community benefits requirements in their procurement, the public body can demonstrate its positive impact on their local area and contribute to tackling inequalities in Scotland’s labour market.

The commodity / service strategy should demonstrate how the procurement will contribute to the wider public body’s aims including contributing to national priorities and local outcomes through compliance with the Sustainable Procurement Duty. An appropriate commodity / service strategy may focus on identifying:

  • What are the intended outcomes from the planned procurement – functional, technical, performance, end-user requirements?
  • What are the ambitions related to employment, skills and training?
  • How do these ambitions contribute to the public body’s outcomes on skills and training and promoting equality and reducing inequality?
  • Is it relevant and proportionate to include community benefit requirements?

The Life Cycle Impact Map (LCIM) is used to identify and assess the economic, social and environmental impacts within the life cycle of a product or service and can lead to appropriate market research. It can help a buyer / stakeholders undertake a robust Sustainability Test.

Use of the Sustainability Test can draw out and help the buyer / stakeholders understand the relevant opportunities and risks relating to their procurement.

See Annex D for a flowchart outlining the key stages and expectations on suppliers in relation to community benefits delivery within public procurement.

Market research and market engagement

Early market research which considers the nature of goods, services or works being bought is essential to help identify opportunities and potential associated risks. For example, identifying whether a contract is suitable to be reserved for supported businesses, or reserved for social enterprises for specific services. See Scottish Procurement Policy Note 2/2026 for guidance on reserving contracts for qualifying organisations.

Early engagement with local employability partners or Skills Development Scotland etc. can help to identify opportunities to create jobs for those facing barriers to employment or those at risk of exclusion, shape contract requirements and test candidate availability.

Market insight is key and early engagement with the market can help a buyer understand the current and evolving market capacity and capability, and the opportunities and risks for sustainable outcomes before starting a procurement process. Market engagement can also be used to support information sharing, leading to new ideas and innovation.

This may be done by issuing a Request for Information or organising market events where information can be gathered about what is typical in the sector and what opportunities are available, such as the nature of employment, skills and training, trends around payment of at least the real Living Wage, and pay and employment gaps.

Factor in sufficient time to conduct an effective market dialogue – communicate your intended objectives, outcomes, timescales, and the project business case. This signals your intent to the market (as well as internal stakeholders) and provides a basis for measuring and managing overall performance.

Identifying priority groups

Priority Groups can be determined at an organisation level based on its functions, responsibilities and its locality. Priority groups appropriate to target for community benefits can also be determined in a specific procurement. This should take account of the organisation’s strategic priorities, the subject matter of the contract and which initiatives could best align with the delivery of the contract to maximise social impact.

There are a range of national plans and strategies with commonality in the groups identified as experiencing disadvantage and inequality, including women, disabled people, unpaid carers, those with care experience, minority ethnic people, and working age people in poverty or at risk of moving into poverty (priority family types).

Community benefits Wish Lists

Some public bodies and regions have developed “wish lists” reflecting local priorities identified through engagement with stakeholders and which may support wider local and regional strategies, including Community Wealth Building. The following examples illustrate how this approach can work in practice:

Wish lists may help procurement teams identify community benefits during contract planning. When developing community benefit requirements, procurement professionals may wish to:

  • Review any organisational or regional wish lists that exist.
  • Use the content to help shape community benefits that are linked to the subject matter of the contract.
  • Ensure any community benefit requirements requested as part of a procurement are relevant, proportionate, and aligned with the scope of the contract.

Not all wish list items will be relevant or achievable within the context of a procurement. Although wish lists may help articulate local priorities and provide examples of deliverables that suppliers might be able to offer as part of their community benefit proposals, they should not restrict suppliers from proposing alternative or innovative community benefit requirements that are proportional, best suit their business and their capacity, and the nature of the contract.

Knowledge Checklist

  •   Consider policy and legislation when developing the commodity / service strategy
  •   Identify priority groups to target in the procurement aligned with the organisation’s priority focus.
  •   Define social outcomes early
  •   Engage stakeholders

Return to Legal and Policy

Continue to Pre-Contract Notification