Forward Commitment Procurement: a practical methodology that helps to manage risk in procuring innovative goods and services

The Forward Commitment Procurement (FCP) is a Public Procurement of Innovation (PPI) methodology. It was specifically designed to both provide a practical methodology for procurers to follow and to manage the perceived risk of the customer and supplier in innovation investments. The paper describes FCP and its rationale and explores the actions undertaken in FCP projects and their impact on the barriers typically encountered in PPI projects. It draws on the practical experience on implementing and supporting PPI projects in the health care sector and uses three case examples to illustrate key points.