Concerns over student loan payments to schools, grant funding to K–12, projected budget shortfalls, and enrollment declines are causing significant stress. The Georgetown Edunomics Lab estimates that $24 billion in funds used for labor—about 250,000 jobs—are currently at risk, going into the next budget cycle nationwide.
Every dollar is precious, and procurement teams are under intense scrutiny to make more strategic decisions about spending. In this environment, national purchasing cooperatives have become an even greater ally, helping reduce costs by aggregating spend across other institutions and streamlining procurement.
However, procurement teams must do more than just sign on to national purchasing cooperatives; it takes a strategic approach to maximize savings. Here are five essential contract tips to boost your strategy.
Not all cooperative contracts or organizations work the same way. Some are built for general government or corporate use and may lack the terms and protections academic institutions need. That’s why it’s essential to prioritize contracts designed specifically for education.
What sets education-focused cooperative contracts apart?
E&I Cooperative Services is the only sourcing cooperative that focuses solely on education, providing deep insight into the challenges and needs of academic institutions. Choosing contracts tailored for schools and universities ensures a smoother implementation and better value.
It’s easy to get caught up in just accepting the lowest price offer, but that can be a trap. It may look good at the point of purchase, but it may lead to higher long-term expenses. Institutions that focus only on the lowest number on the page may miss hidden costs or miss out on added value.
Here are a few key elements to consider:
You should always assess the total cost of ownership over a product’s lifecycle and not just the purchase price. Cooperative contracts that bundle training, support, and service options can reduce headaches and long-term costs.
Before using a national purchasing cooperative agreement, review the participation requirements closely. Different contracts may have different terms.
Ask questions like:
With E&I, membership is free and comes with no purchase obligations. Even better, institutions that participate in E&I contracts may be eligible for patronage refunds based on usage. This makes participation flexible and financially beneficial.
Procurement is more strategic when it’s driven by data. Robust reporting and analytics tools can help your team track spend, identify savings opportunities, and strengthen compliance documentation.
Cooperative agreements that offer integrated spend analysis allow you to:
E&I members, for example, have access to a no-cost Strategic Spend Assessment to uncover opportunities to move more spend onto contracts, reduce supplier fragmentation, and increase savings.
One of the biggest challenges in procurement is getting people to use an agreement. An often-overlooked contract tip is to get stakeholders involved early in the decision-making, which builds buy-in and reduces rogue spending outside of contracted rates.
A national purchasing cooperative contract should empower stakeholders, not just check a box for compliance. And you only save money if departments actually use the contract.
National purchasing cooperative agreements are powerful tools, and they work best when aligned with a broader procurement strategy focused on cost control, compliance, and institutional goals.
E&I Cooperative Services is the only member-owned non-profit sourcing cooperative focused exclusively on education. We provide competitively solicited contracts and procurement solutions tailored for more than 6,000 educational institutions nationwide. These cooperative agreements can result in significant savings while saving time and remaining compliant.
Ready to implement these contract tips at your institution? Explore our national purchasing cooperative contracts or apply for membership at eandi.org.
