AGENDA ITEM NO. 8
OVERVIEW AND SCRUTINY PANEL
Date
7 FEBRUARY 2008
Title
PROCUREMENT STRATEGY ACTION PLAN
1.
PURPOSE/SUMMARY
The purpose of this report is to update members on the progress made against the
Procurement Strategy Action Plan previously presented to this panel on 4 October
2007.
2.
KEY ISSUES
•
•
•
3.
The Council’s Procurement Strategy was approved at Council on 22 February
2007. A copy of the strategy was presented to the previous meeting
The Procurement Action Plan 2007 – 2010 is contained within the Procurement
Strategy
The Action Plan looks to improve procurement within the Council and especially
procurement surrounding the Council’s key corporate objectives. Appendix 1
outlines progress to date on each procurement action within the plan.
RECOMMENDATION(S)
That members of the Overview and Scrutiny Panel note the progress made against the
Procurement Action Plan.
Wards Affected
All
Forward Plan Reference No.
Not Applicable
(if applicable)
Portfolio Holder(s)
Councillor Geoff Harper CBE
Report Originator
Guy Robinson, Procurement Manager
Contact Officer(s)
Mat Taylor, Executive Director (Finance)
Tel: 01354 622203; e-mail: mattaylor@fenland.gov.uk
Mark Saunders, Chief Accountant
Tel: 01354 622486; e-mail: msaunders@fenland.gov.uk
Guy Robinson, Procurement Manager
Tel: 01354 622270; e-mail: grobinson@fenland.gov.uk
Fenland’s Procurement Strategy
Background Paper(s)
1 of 6
Appendix 1
Procurement Action Plan to address the Council’s key objectives 2007/08
Community First – To deliver services and work with partners
to ensure improved health and social wellbeing for the whole
community
Action
By when
Lead Officer Progress to date
Take advantage of
Throughout
Procurement Regular attendance at County Collaborative Procurement Group
collaborative contracting
2007/08
Manager
where contract collaboration is a standing item. Have already
opportunities with other
developed an Abandon Vehicles contract.
Cambridgeshire Councils to
improve services in
Also plan to improve internal collaboration. At present we have
multiple suppliers for specific goods and services. It would be
Cambridgeshire
more efficient to have one or two suppliers of a product that all
services could use. For instance the Council uses seven
cleaning firms, eight caterers, and others could include
corporate clothing contracts and corporate fire prevention
contracts.
Using Government Contracts and buying organisations can
reduce the procurement process substantially, e.g.
•
Develop regional
procurement through the
RCE(Regional Centre of
Excellence)
Throughout
2007/08
Procurement
Manager
OGC (Office of Government Commerce), these contracts
negate the need to tender regardless of the contract value.
• ESPO (Eastern Shires Purchasing Organisation), these
contracts negate the need to tender regardless of the
contract value.
• Constructionline (A pre-qualified list of suppliers whose
insurance, equality, health and safety, etc has been
assessed. This reduces the need to advertise construction
related contracts.)
Links direct to RCE and via Cambs Collaboration Group.
Currently involved with postal services, contracts database and
spend analysis.
2 of 6
Streets Ahead – To use a prevention, intervention and
enforcement (PIE) approach to create an attractive and
sustainable environment for the community to enjoy, with a
streetscape that is clean, green, safe and well maintained
Action
By when
Lead Officer
Develop a ‘Green
31 December
Procurement
Purchasing’ guide
2007
Manager
Cost effective and efficient
Throughout
Procurement
procurement to free
2007/08
Manager
resources for alternative use
Open for Business – To work in partnership to promote the
growth of local businesses and develop the Fenland economy
Action
By when
Lead Officer
Invest in a ‘Meet the Buyer’
31 March 2007 Procurement
open day
Manager
Ensure the Council’s website Ongoing
Procurement
offers advice and guidance of
Manager
how to do business with the
Council
Develop a supplier database
31 July 2007
Procurement
Manager
Progress to date
A guide has been developed and has been posted on the
Council’s Intranet.
Ongoing programme to improve procurement efficiency by
o Developing corporate contracts
o Greater use of OGC, ESPO, Constructionline
o Improved procurement awareness
o Library of standard procurement documentation
o More statistical information on spend
o Further collaborations with other councils
o Greater supplier liaison
Progress to date
One event held. Further events should be considered but the
format and structure needs to be relevant.
The Council website currently offers;
o How to do business with the Council
o Procurement Strategy
o Procurement Policy
o Procurement process
o Contract opportunities
o Links to other Cambs Councils procurement opportunities
The supplier database is the list of companies on the Agresso
Creditor Payment System.
3 of 6
Open for Business – To work in partnership to promote the
growth of local businesses and develop the Fenland economy
Action
By when
Lead Officer
Analyse local supplier
Ongoing
Procurement
interaction with the Council
Manager
Develop a ‘supplier policy’
Outline a ‘contract
monitoring’ process
Adopt the SME concordat
Assist local SME’s to do
business electronically with
the Council
31 December
2007
31 December
2007
31 December
2007
Procurement
Manager
Procurement
Manager
Procurement
Manager
31 March 2008
Procurement
Manager
Quality Organisation – To provide effective access to
services, and to improve the skill and capacity of the
organisation to meet local priorities and deliver excellent
services
Action
By when
Lead Officer
Develop a procurement
22 February
Procurement
strategy
2007
Manager
Review the Council’s Code of 31 March 2007 Procurement
Procurement
Manager
Develop procurement
31 March 2007 Procurement
performance indicators
Manager
Progress to date
Analysing local supplier business with the Council, e.g. value of
business, no. of invoices submitted, frequency of use, delivery
distances, their use of ICT, etc. This will help make informed
decisions about retaining details on the supplier database.
Policy complete and has been posted on the Council’s Intranet.
A process has been developed as part of the Code of
Procurement (paragraph 14.5).
This is a Government initiative to provide commitment from local
councils to treat SME’s (Small to Medium size businesses) fairly.
Such as being open with our procurement process, giving
honest feedback and paying invoices on time. A document has
been developed and is being assessed for authorisation.
This is part of the supplier policy and includes, improving the
Council’s internal invoice payment process, assessing online
ordering, especially with local suppliers, and to deliver and
receive tender documentation electronically.
Progress to date
Strategy complete and agreed by Council on 22 February 2007.
New Code of Procurement agreed by Council on 17 May 2007.
The Council has adopted procurement performance indicators
recommended through the National Procurement Strategy.
4 of 6
Quality Organisation – To provide effective access to
services, and to improve the skill and capacity of the
organisation to meet local priorities and deliver excellent
services
Action
By when
Lead Officer
Develop a procurement
31 March 2007 Procurement
training plan
Manager
Develop a ‘Contracts
Database’
Develop a procurement risk
strategy
31 March 2007
Procurement
Manager
31 August 2007 Procurement
Manager
Roll out e-sourcing software
31 March 2008
Develop an e-procurement
strategy
Develop a procurement
sustainability policy
Outline a ‘contract
monitoring’ process
Develop corporate standard
documentation for
procurement
31 December
2007
31 December
2007
31 December
2007
31 December
2007
Procurement
Manager
Procurement
Manager
Procurement
Manager
Procurement
Manager
Procurement
Manager
Roll out a pilot scheme for
procurement cards
31 December
2007
Procurement
Manager
Progress to date
Procurement is now part of the Corporate Training Plan where
two specific sessions are on offer to staff; a detailed
procurement workshop (1 day) and a 2 hrs awareness session
for general/background knowledge. Also procurement training is
part of the current Management Development Programme and
the Capable Manager Programme.
Contracts database completed and is on the Council’s intranet.
Risk is already part of the Code of Procurement (paragraph
3.12). After discussion with the Council’s Risk Manager there is
sufficient guidance within the Code of Procurement and the
Corporate Risk Strategy, consequently there will be no further
development of a specific procurement risk strategy.
Business case being developed for evaluation. Implementation
will be during 2008/9 if the business case is approved.
A policy has been developed as part of the Supplier Policy and
has been posted on the Council’s Intranet.
Sustainability already part of the Code of Procurement
(appendix 6) and an individual guide has been developed.
A process has been outlined as part of the Code of Procurement
(paragraph 14.5).
This is ongoing. Currently available is a standard Tender
document and a standard outline contract. Also, many short
guides have been produced, including, code of procurement,
procurement checklist and green/sustainable purchasing.
Pilot Scheme already rolled out. Two credit cards in use within
the Procurement Team (over £31,000 spend in the last 7
months) and two cards acquired for emergency purposes for the
Executive Director(Finance) and the Chief Accountant.
5 of 6
Decent and Affordable Homes – To contribute towards the
provision of decent and affordable homes for local residents.
Action
By when
Lead Officer
Engage and create
31 December
Procurement
partnerships with Social
2008
Manager &
Enterprises.
Cambs
(Ongoing)
Procurement
Group
Progress to date
Regular contact with the Cambridgeshire Social Enterprise
promotion organisation.
6 of 6