In the healthcare industry, innovation is key to achieving better results for patients.

Oftentimes, it is necessary to purchase solutions that do not yet exist – this is called innovation procurement, and it requires new methodologies as well as the development of new skills.

To assist healthcare service providers in developing competitive procurement processes for innovative solutions, HSCN has developed an Innovation Procurement Toolkit (IPT) that includes tools, templates, and guidance documents to assist in the development and management of innovation procurement initiatives.

The IPT is based on extensive research and incorporates leading practices in innovation procurement from multiple international jurisdictions. Specific to Canada, the IPT builds on the Ontario Ministry of Government and Consumer Services’ BPS Primer on Innovation Procurement (Interim) (the Primer), which provides overall guidance on innovation procurement strategies and models.

The IPT is intended as a general reference, with commentary on issues and options with various innovation procurement models and features. The IPT (and the accompanying templates) does not replace your organization’s own procurement policies and processes. Organizations should seek legal advice on the application or modification of any template to meet their individual circumstances (the IPT has been designed to be compliant with the BPS Procurement Directive.

Sources used in developing the documents in the IPT can be found in the compendium of resources. The IPT is a dynamic set of documents and will be updated over time.

Toolkit Resources:

Toolkit Templates:

It’s important to select an appropriate form of agreement in order to document the arrangement arising from the innovation procurement process. While some innovation procurement processes may lead to a direct purchase solution (utilizing a traditional purchase contract), and other may involve research and development activities leading up to a possible purchase (once developed).

  • R&D Services Agreement: This agreement template is recommended when the intended outcome is research and development of a solution, with no production or deployment of a solution.
  • Innovation Agreement: This agreement is recommended when the intended outcome includes production or deployment of a solution.

Have more questions If you have any questions regarding the Innovation Procurement Toolkit or the documents included in the toolkit, please check out our Frequently Asked Questions or contact us.

Looking for further training? HSCN offers training sessions, please visit our Events Calendar to see upcoming training sessions or email

Please note that Healthcare Supply Chain Network is unable to provide advice about the application of templates in specific procurements.