Local authorities present procurement plans
0Hundreds of local authorities are working to improve procurement in the ‘Big Win’ categories of property, corporate services, roads, waste collection and elderly care.
Eight pilot projects presented their work at a Local Government Association event last week. Each received £20,000 to help develop better procurement and contracts schemes with an aim of sharing knowledge gained across the public sector.
In Merseyside six councils are working with the NHS, the Cabinet Office and blue light organisations to map assets. “The idea is to get asset managers in the North West to sit down and talk to each other,” explained Neil Hind, the efficiency programme manager coordinating the North West’s project. “We’re essentially mapping assets, figuring out who has got what, which are operational, what people are looking to dispose of, all that sort of thing.”
Hind’s organisation, iNetwork, is a group of 150 North West local public service bodies. The work ultimately will allow councils and other organisations to share asset management arrangements. “You have things like most councils are sending their properties off to auction when they want to sell them,” added Hind. “We know that’s not going to get the best value, and the more it goes on the more that will be evident as a problem.”
In Sheffield the city council is using its funding to provide contract management training to staff in corporate services. According to the LGA effective contract management can deliver 5-7% in new savings.
The LGA is currently working on a national procurement strategy, said Neil Rimmer, productivity adviser for procurement at the body. “We wanted to kick-start some work around procurement to add to the national procurement strategy,” he commented. “We put together a prospects looking for innovative replicable projects that could drive efficiencies and we got 18 viable projects back. We looked at one for each of the ‘big win’ areas but found some extra funding for another three projects,” Rimmer explained.
The North Eastern Purchasing Association is working with Northumberland County Council, North Tyneside Council and Newcastle City Council on another three of the pilots. Birmingham City Council has a waste pilot, Rochdale and the Association of Greater Manchester Authorities are working on approaches to commissioning and Lincolnshire County Council is joining up three partnerships involved with buying corporate services.
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The Local Authority Treasurers’ Investment Forum: September 25th, 2012, London Stock Exchange
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