Blog/What is a Dynamic Purchasing System?

What is a Dynamic Purchasing System (DPS)?

A Dynamic Purchasing System is one of the most accessible procurement routes for suppliers — you can join at any time, unlike a framework. Here is how DPS works, how to get on one, and when buyers use them.

Published by PSIP·March 2026·7 min read·Last updated: March 2026

Quick answer: A Dynamic Purchasing System (DPS) is a procurement arrangement where suppliers can apply to join at any time — unlike a framework which closes after the initial competition. Once approved, you can bid for all requirements issued under the DPS. Buyers must invite all qualified DPS suppliers to respond to each specific contract. It combines the speed of frameworks with the openness of competitive tendering.

DPS vs framework agreement — key differences

FeatureDynamic Purchasing SystemFramework Agreement
When can suppliers join?Any time during the DPS lifeOnly during initial competition window
Maximum supplier numbersNo limit — all qualified suppliers admittedOften capped per lot
How call-offs workMini-competition among all DPS suppliersDirect award or mini-competition
Typical durationNo maximum (but usually 4-8 years)Typically 4 years maximum
Best for buyersCommoditised, high-volume, changing marketsSpecialist services, stable supply market
Best for suppliersEasy entry, high volume of opportunitiesDirect award opportunities, less competition per call-off

How a DPS works in practice

1

Buyer establishes the DPS

The buyer publishes a DPS notice on Find a Tender defining the category, qualification criteria, and duration. This is a one-time setup — the DPS then remains open.

2

Suppliers apply to join

Any supplier meeting the criteria can apply at any time by submitting a selection questionnaire. Applications are evaluated promptly — typically within 10-15 working days.

3

Buyer issues specific requirements

When the buyer has a specific requirement, they issue a call-off notice inviting all qualified DPS suppliers to submit a bid. The call-off specifies the scope, timeline, and evaluation criteria.

4

Suppliers compete for the call-off

All DPS suppliers invited to the call-off submit proposals. The buyer evaluates and awards to the most advantageous offer. This is faster than an open tender but more competitive than a direct award.

5

New suppliers can join throughout

Throughout the DPS life, new suppliers continue to apply and join. This keeps the supply market current and gives new market entrants access to opportunities.

Where DPS is commonly used

Temporary and agency staffing
Construction maintenance
Professional services
IT goods and consumables
Social care services
Transport and vehicles
Training and e-learning
Grounds maintenance
Cleaning services
Office supplies
Healthcare staffing
Catering supplies

How to find DPS opportunities with PSIP

DPS call-offs are published as contract notices on Find a Tender and Contracts Finder. Search PSIP using your relevant CPV codes and set up alerts — DPS call-offs appear alongside open tenders in search results. When you see a DPS call-off for a system you are not yet on, check the original DPS notice for how to apply to join, then respond to future call-offs once admitted.

Frequently asked questions

What is a Dynamic Purchasing System?

A Dynamic Purchasing System (DPS) is a procurement arrangement similar to a framework agreement but with one key difference — suppliers can apply to join at any time during the system's life, not just during an initial competition window. This makes it more accessible than traditional frameworks. Buyers must invite all qualified DPS suppliers to bid for each specific requirement.

What is the difference between a DPS and a framework agreement?

The key difference is timing of entry. Framework agreements are closed after the initial competition — you cannot join later. A DPS remains open throughout its life, so suppliers can apply to join at any time. Both allow buyers to call off contracts without running a full open tender.

How do I join a Dynamic Purchasing System?

To join a DPS, submit a selection questionnaire demonstrating you meet the minimum requirements during any open application window. Applications are evaluated against the selection criteria — typically financial standing, insurance, and technical capability. If successful, you are admitted to the DPS and can bid for all subsequent requirements.

Can a buyer exclude me from a DPS after I have joined?

Yes, in limited circumstances. Buyers can remove suppliers from a DPS if they no longer meet the qualification criteria, provide false information, or breach the DPS terms. Regular re-assessment of qualification is permitted.

Is there a limit to how many suppliers can be on a DPS?

No. Unlike framework agreements which often cap supplier numbers per lot, a DPS must admit all suppliers that meet the qualification criteria. There is no maximum number of approved suppliers.

What is the difference between a DPS and an open tender?

In an open tender, any supplier can respond to a specific contract notice. In a DPS, only pre-qualified DPS members can respond to call-offs, but entry to the DPS is open at any time. DPS provides faster call-off than open tender while maintaining competition among pre-qualified suppliers.

Which sectors commonly use Dynamic Purchasing Systems?

DPS is commonly used for temporary staffing, construction maintenance, professional services, IT goods and services, transport, and social care. Any category with a large and changing supply market benefits from the open-entry approach of a DPS.

Find DPS opportunities across all UK portals

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