The "Procurement Challenge"

The Procurement Challenge is designed as a low-cost, high-impact review of current procurement arrangements in a single public sector organisation. However, it can be applied to other arrangements such as shared procurement services or by two or more organisations with an interest in working together on collaborative procurement.

The objectives of the "Procurement Challenge" are to provide:

  • A "health check" of the effectiveness of the current approach to procurement
  • An understanding of how this approach compares to current good practice
  • Recommendations for actions which will help to secure efficiency savings and better overall performance

The process

The Procurement Challenge involves a relatively short, "low impact" period of time spent working on-site with the organisation concerned. One of our associates will be appointed to your organisation to carry out:

  • Desk based research on the organisation’s current procurement processes and structure, including a review of existing contracts procedure rules and procurement strategy
  • Data gathering and analysis of (as a minimum):
    • External supplier spend or similar financial information
    • The council’s contracts register or suitable similar document
    • The council’s forward plan for tenders or contract renewals, if available
  • Face-to-face work, including:
    • Meetings with key stakeholders (e.g. members, high spend managers, procurement staff)
    • A review of existing operational procurement arrangements e.g. contract management, tendering processes, supplier management, out-sourced contracts
  • Analysis of procurement policies and strategy documentation

The outcomes

The main outcome of the Procurement Challenge process is a report covering:

  • A frank diagnosis of the “as is” procurement arrangements
  • The identification of any procedural issues and barriers to better procurement
  • The identification of wider organisational or strategic issues which have an impact (although the Procurement Challenge is not intended to offer detailed solutions to such issues, merely to highlight them)
  • A proposal for potential “to be” procurement arrangements, including:
  • Identification of any savings opportunity “quick wins”
  • Identification of a prioritised list of opportunities for improved procurement arrangements, including outline investment costs and expected potential savings arising
  • A phased outline road map of how/when changes might be made

For details of how the Procurement Challenge works and how to commission one for your organisation, please download the Procurement Challenge briefing document here.