Corporate Procurement Plan

Corporate Procurement Plan

Recommendations

  1. Senior Management to sign off on Corporate Procurement Plan
  2. Responsibility for the preparation of the annual Corporate Procurement Plan should be assigned to one Department. This process should involve a detailed analysis of expenditure, which will require thorough data cleansing, and constant monitoring of expenditure. A detailed analysis of all products needs to be undertaken to ensure that they are linked to the correct expenditure account elements. This exercise will be necessary if the Council is to analyse expenditure by account element in the future.
  3. Deputy Manager to oversee the implementation and review of the Corporate Procurement Plan through the Value for Money Committee and provide half yearly reports to Management Team
  4. Appointment of a Procurement Officer with responsibility for planning and strategic work i.e. management of the purchasing function (excluding consultants and contractors), spend analysis, monitoring and control of spend, monitoring of data input to Agresso, making recommendations on achieving value for money, examining supplier base with a view to widening it (where there are few suppliers) and narrowing it where there may be too many one-off suppliers. The procurement officer should also oversee the contract award process for such goods and services as cleaning, canteen, stationery/printing, photocopiers, printers, computers etc. Monitoring of these contracts should be undertaken quarterly. The Job Specification for this role should be defined. Location to be determined by Management Team.
  5. Responsibility for overseeing the procurement function in each Department should be delegated to a senior official in each Department. A deputy should also be identified.
  6. Provide Agresso Training and organised refresher training for PO raisers. It is evident from the report that expenditure is being charged incorrectly against account elements. PO raisers need to understand the significance of the use of Account Elements, Products etc.
  7. Provide training to staff on procurement of consultants and contractors thereby ensuring compliance with EU and national procurement rules. Two staff members (one administrative, one technical) from each of the Transportation & Infrastructure, Housing, Environment, Corporate Services and Planning Departments should receive this basic training. Each staff member to undertake a two-day course and be responsible for the management of the procurement function within his or her respective Departments.
  8. These trained staff should meet quarterly to review and discuss procurement issues and to note changes in legislation, rules etc.
  9. Produce a Basic Guidance Manual on Public Procurement, which can be used for reference purposes by all Departments in the Local Authority. The manual should document procedures regarding the tender opening process, keeping of procurement project files, procedures, selection criteria, award criteria, procurement reforms, use of etenders etc
  10. Establish a procedural framework for different categories of expenditure. This should outline which expenditure is centrally purchased, locally purchased, including which purchases should be supported by market analysis ahead of tendering, which should be purchased using purchase cards , review of PO approval limits, procedure for procurement in terms of a Major Emergency etc
  11. Make general procurement information available on the Councils Intranet Site
  12. Introduce a Corporate Procurement Card for low value purchases, evaluate its benefits and develop control procedures. The introduction of a card should result in the reduction of transaction costs associated with administration.
  13. Reduce transaction costs by reducing the size of the supplier base
  14. When contracts are awarded, monitor future purchases to ensure that goods and services are being purchased from the preferred tenderers