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Leading global excellence in procurement and supply Sustainable Capacity Building for Enhanced Public Procurement Performance David Smith CB FCIPS.

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Presentation on theme: "Leading global excellence in procurement and supply Sustainable Capacity Building for Enhanced Public Procurement Performance David Smith CB FCIPS."— Presentation transcript:

1 Leading global excellence in procurement and supply Sustainable Capacity Building for Enhanced Public Procurement Performance David Smith CB FCIPS

2 Leading global excellence in procurement and supply Procurement is ‘ Big Business ’

3 Leading global excellence in procurement and supply 3 Business growth Financial performance People Development Process Excellence Customer’s Change Drivers Drivers Enablers Minimising risk Private sector Reducing debt Service performance Minimising risk Public sector Performance

4 Leading global excellence in procurement and supply The Solutions? Smarter Procurement Trained & Qualified Staff Better and Managed Suppliers Use of Technology

5 Leading global excellence in procurement and supply Better understanding of our spend! Incentivised Contracts Investment in People Simplified but improved processes ‘Real’ Market Management Deriving real value from our ‘e-investment Smarter Procurement

6 Leading global excellence in procurement and supply Systems, Processes, Technology and Knowledge - Data Influence Suppliers People Systems, Processes, Technology and Knowledge - Data Influence Suppliers People ‘ The Enablers to Change ’

7 Leading global excellence in procurement and supply Our e-Investment Our e-Challenge

8 Leading global excellence in procurement and supply Procurement Focus Value TACTICALLEVERAGE STRATEGICCRITICAL Criticality

9 Leading global excellence in procurement and supply But e-Procurement is not: All about technology A panacea A quick fix A substitute for good practice An end in itself Mechanising existing processes

10 Leading global excellence in procurement and supply Managing Key Suppliers Appointment of Crown Representatives Cabinet Office Minister Francis Maude said the “ … crown representatives will help to achieve value for money by ensuring the government acts a single customer ”. “ These appointments follow the renegotiation of contracts with over 50 suppliers since July last year. The renegotiations have saved the Government £800 million ”.

11 Leading global excellence in procurement and supply 11 People Development

12 Leading global excellence in procurement and supply What do we expect from the next generation of public sector procurers? Act with Propriety Know what they want to buy and why Market Aware Commercially and financially aware Act on behalf of the public sector

13 Leading global excellence in procurement and supply What do we expect from the next generation of public sector procurers? Improve and drive value from existing contracts Manage corporate demand, Understand the future supply chain Is not averse to risk in procurements but knows decisions must be managed, commercially advantageous and legally sound

14 Leading global excellence in procurement and supply Our People UK Government has over 3,500 people involved in Procurement Activities In Designated Posts’(those that are 100% procurement) Training and Developing based on CIPS qualification and membership Target for Designated Post holders to be CIPS qualified Currently at 80% Procurement Allowance

15 Leading global excellence in procurement and supply 15 People Development The three R’s RecruitRetain Reward

16 Leading global excellence in procurement and supply 16 + - - + Add value Reduce risk Cut supply chain waste Improve reputation People Development Properly trained, qualified and continually developing procurement staff enable organisations to…

17 Leading global excellence in procurement and supply Procurement People Development –Raising the procurement capability across the organisation –Providing a framework for People Development –Reviewing existing technical competencies, and developing a curriculum of procurement learning and development to meet the needs of our procurement people AND OUR CUSTOMERS!

18 Leading global excellence in procurement and supply Commercials Skills policy, delivery, negotiation, customer relations, supply chain, relationship management, e systems, basic contract law etc MCIPS as a standard Financial Project & Process Management People Management Marketing Risk Management Delivery Ethical Pragmatism! Our People – What Skills?

19 Leading global excellence in procurement and supply 19 People Development Routes to MCIPS Academic CIPS Diploma CIPS Diploma Membership Applied Learning CIPS Corporate Award practitioner Three years’ experience Membership (MCIPS) Academic CIPS Professional diploma Experiential Management Entry Route for senior practitioners Applied Learning CIPS Corporate Award Advanced Practitioner Accredited Other approved qualifications e.g. relevant MBA or S/NVQ

20 Leading global excellence in procurement and supply To ensure sustainable procurement delivery in the future, we need to get the right people now but also in 5 and 10 years ’ time. We want people of all ages, disciplines and skills to make this the profession of choice. ”

21 Leading global excellence in procurement and supply Biggest Motivation of All ….. The opportunity to ensure the Procurement Profession, through delivery and behaviour, is valued and appreciated at the very highest levels of business, now and for the future.

22 Leading global excellence in procurement and supply Thank you for listening and enjoy…


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