Procurement drivers - and how not to be driven by them
In the current financial climate, procurement professionals can save the organisation a lot of money by suggesting better ways of buying things and better things to buy (or not buy). Some examples include:
- Framework agreements. Can you avoid the expense of drafting an OJEU notice or producing an ITT by exploiting an existing buying consortium or framework agreement? Not only do these offer lower prices, they can also shorten the whole buying process and deliver benefits sooner. But even within a framework you may need to run a mini-competition, and some key suppliers may not be participants in the framework. Each case needs to be decided on its merits - we can advise on a case by case basis
- Contract renewals. Many organisations get stuck with sub-optimal solutions, particularly in the ICT area, because contract end dates suddenly loom and renewal or extension is the easiest option in the timescale. Do you have a clear picture of which technology contracts are nearing the end of their term and would - ideally - be replaced? We help organisations survey their technology portfolios and assess what will need replacing or renewing and when
- Make or buy? Do in-house technology services such as the help desk, website hosting, data centres , database support specialists and so on still offer real value for money? This isn't about full outsourcing but about spot decisions to cut the bottom line. We can exploit our unique information and experience base to help you reach the right decision, including looking at open source options as alternatives
- Estates strategy. Could your organisation save shedloads of money by vacating a Victorian building or 1960s office block and exploiting home and mobile working and hot-desking? It may well mean moving to an externally hosted IT solution - we can advise on how to make the transition and likely cost-benefits
- Shared services. Might sharing the hosting and support of a common application system with other neighbouring organisations save money and improve resilience? It could well do, provided we help you to avoid the pitfalls
If any of the above rings a bell, I'd be pleased to have an informal discussion about areas of concern. Just reply to this email or call me on 0845 450 2317.