1. The Global Procurement Network NSW Social and Sustainable Procurement Forum ‘Modern Strategic Procurement Practice and the integration of the Quadruple Bottom Line’ Chris Newman Director ArcBlue Consulting Chris.newman@arcblue.com.au www.arcblue.com.au 0412 318 384

2. The Global Procurement Network ArcBlue Procurement Development Activity across Australia/NZ VIC State Government CIPSA Certification VIC Local Government Procurement Roadmap development Contract Management Guidelines and Training NSW State Government Accreditation Program – preparation and assessment NSW Local Government Roadmap Program with LGP Procurement Leadership Program Social Procurement Guidelines Sydney Metro Councils Joint Procurement Development Program State Government Local Government SA Local Government Roadmap Program Regional Opportunity Analysis Procurement Capability Assessment / Development Federal Government Contract Management Development Regional Procurement Development Programs Federal Government Gold Coast Council – Capability Development and Contract Management WA Local Government Procurement Training Program NZ Local Government Procurement reviews NZ Government Departmental reviews

3. The Global Procurement Network Why the focus on procurement ? The benefits o Reduce internal and external costs o Build confidence and demonstrate professionalism o Social o Sustainability o Regional/local economic development o Capital works and budget planning o Project management and delivery o Regional and Sector Collaboration

4. The Global Procurement Network Professional procurement Influencing the business Transactional Order placement Level 1 Emergent Level 2 Basic Level 3 Developing Centre of Excellence across all expenditure Procurement foundations in place with improved controls Some functional and category strategies in place Focus on meeting legislative requirements Largely unco-ordinated procurement with gaps in compliance Level 4 Advanced Levels of procurement maturity

5. The Global Procurement Network Procurement Maturity Model

6. The Global Procurement Network New Approaches to Achieving QBL Objectives All levels of Government (& Private Sector) have social, economic, environmental and Leadership/ Governance objectives (QBL) Traditional ‘silo’ approach to achieving objectives Innovation – Complex issues require new models New ways to address complex, multi-causal and long-standing community, economic and environmental issues Integrating QBLS objectives into procurement, service design and employment For Government these may include: Breaking cycles of long-term disadvantage Providing genuine pathways to training and sustainable employment Achieving ‘Zero Waste’ and carbon footprint reduction targets Driving local and regional economic development outcomes

7. The Global Procurement Network Strategic Procurement and the Quadruple Bottom Line Procurement is moving from an administrative role to a strategic one NSW $27bn/ year – State Gov’t $20bn/ Local Gov’t $7bn It represents over half of Council’s overall expenditure (avg.) Significant market power to: Deliver high quality, value for money goods, services and works; Drive sustainable cost savings; Influence, enable and stimulate the private and social enterprise markets to deliver social, economic and sustainability outcomes;

8. The Global Procurement Network What is Changing and Why Social and Sustainable Procurement? Growing understanding of the role and power of Strategic Procurement Developing personal, organisational, regional and sector-wide procurement capability Strategic organisational objectives now being reflected in procurement practice Pressure on Government to do more with less, to collaborate, and to innovate Case Studies, evidence and Guidance – a growing body of knowledge It is working!

9. www.pmms.com.au 9 Broader Benefits of Social and Sustainable Procurement Integration - Achieving QBL goals, and addressing community issues as part of the way you do business Innovation – Encouraging innovation and the development of new forms of partnership and service delivery models. Organisational Identity and Reputation – Building and broadening the organisational identity. Competitive Advantage –Directly demonstrating the capacity to add social, environmental and economic value in delivering on Government funded projects Planning Ahead - Rather than responding in an ad hoc way as community and Government expectations grow, QBL procurement can be introduced through a managed, systemic and achievable program.

10. The Global Procurement Network NSW Partnership Programs LGP Procurement Roadmap Program SSROC Procurement Development Program SPAG and the NSW Social Procurement Guidelines & Regional Programs Social Procurement Australasia

11. The Global Procurement Network The Day Ahead