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presentation to NI local government group on integrating sustainability into procurement
 

presentation to NI local government group on integrating sustainability into procurement

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Presentation to NI local government procurement group on 18 November on...

Presentation to NI local government procurement group on 18 November on
integrating sustainability into procurement

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  • This slide details the necessary content (in bold) of the Policy in line with the requirements of ISO14001. While not all Trusts may aspire to achieving ISO14001 there are clear benefits in utilising the ISO14001 template and in only having to agree a Policy once. The Policy should be viewed as something which will have longevity and out of which the strategies of the organisation will flow. The headings in this slide include the specific purchasing options which could be addressed (non bold). Each organisation will need to develop its own Policy. Each attribute of the Policy should be talked through and the sample in the IEMA Guide referred to. The critical issue for delegates to be aware of is, that in the absence of an existing Policy, delegates should be catalysts in drafting a Policy for their organisation. It is recommended that in drafting a Policy that it should be pragmatic and fit for the particular culture of the organsiation.

presentation to NI local government group on integrating sustainability into procurement presentation to NI local government group on integrating sustainability into procurement Presentation Transcript

  • Integrating sustainable development principles into procurement Dr Gordon Murray 18 November 2009
  • Principles, regardless of contract value
    • Equal treatment
    • Transparency
    • Non-discrimination
    • Proportionality
    • Mutual recognition
  • The commissioning cycle Strategic needs assessment Decide priorities and outcomes Plan and design services Optional appraisal Sourcing Delivery Monitor and review The commissioning cycle
  • Eight Principles of Commissioning
    • Understand the needs of users – through inclusive consultation
    • Consult with potential providers
    • Focus on outcomes for users
    • Map the range of potential providers
    • Consider investing in the capacity of the provider base
    • Ensure transparency
    • Seek long-term contracts and risk sharing
    • Seek feedback
  • Strategic needs assessment Decide priorities and outcomes Plan and design services Optional appraisal Sourcing Delivery Monitor and review Determine the need Supplier selection Contracting Ordering Expediting Follow-up/ evaluation The commissioning cycle The purchasing cycle procurement
  • What can you do? POLICY STRATEGY THE PROCUREMENT CYCLE
  • Sustainable Procurement Policy
    • Member & Chief Officer commitment
    • Relationship with Sustainable Community Plan and ‘Procuring the Future’
    • Linkage with strategic procurement management, Efficiency Strategy, Local Economic Development Strategy, Climate Change Strategy, and Procurement Strategy
    • Legal compliance
    • Clear message to be communicated to the market and staff
    • Commitment to act throughout the procurement cycle
    • Commitment to on-going improvement
    • Plans for reviewing effectiveness
  • Policy & strategy
    • Set sustainability as a procurement objective & KPI
    • Ensure access to procurement know-how
    • Use cross-functional teams
    • Focus on outcomes/outputs
    • Publish long-term plans
    • Develop approach to unsolicited openings
    • Encourage early dialogue with the market
    • Accept variants
    • Use ‘lots’ and pilots
  • Maximise opportunities throughout the Procurement Cycle 8. Closure / Review Need 1. Identify Need 2. Develop Business Case 3. Define Procurement Approach 4. Supplier Appraisal 5. Tender Evaluation 6. Award Contract 7. Manage Implementation of Contract
  • Identifying the need Focus on the problem & desired outcomes; Question need to procure. 8. Closure / Review Need 1. Identify Need 2. Develop Business Case 3. Define Procurement Approach 4. Supplier Appraisal 5. Tender Evaluation 6. Award Contract 7. Manage Implementation of Contract
  • The Business Case A robust options appraisal; consider wider community benefits; maximise opportunities for innovation; market dialogue; progress or stop. 8. Closure / Review Need 1. Identify Need 2. Develop Business Case 3. Define Procurement Approach 4. Supplier Appraisal 5. Tender Evaluation 6. Award Contract 7. Manage Implementation of Contract
  • Defining the Approach Eliminate barriers; grants/contracts; choice of procedure; framework agreements, competitive dialogue, etc.; duration; consortia bids; bundling; shared services; use of variants; social clauses; ‘ Forward Commitments’; ‘ positive action steps’; Performance based; consultation on draft specification; … 8. Closure / Review Need 1. Identify Need 2. Develop Business Case 3. Define Procurement Approach 4. Supplier Appraisal 5. Tender Evaluation 6. Award Contract 7. Manage Implementation of Contract
  • Supplier Appraisal Communications strategy – reverse marketing; check timescale is pragmatic; simplify PTQ; statement of community benefits criteria; RELEVANT TO THE SUBJECT MATTER OF THE CONTRACT 8. Closure / Review Need 1. Identify Need 2. Develop Business Case 3. Define Procurement Approach 4. Supplier Appraisal 5. Tender Evaluation 6. Award Contract 7. Manage Implementation of Contract
  • Tender evaluation Transparent criteria driven by need identified; most economically advantageous tender (MEAT); WLC; community benefits criteria can be used; relevant to subject matter of the contract. 8. Closure / Review Need 1. Identify Need 2. Develop Business Case 3. Define Procurement Approach 4. Supplier Appraisal 5. Tender Evaluation 6. Award Contract 7. Manage Implementation of Contract
  • Contract award Invest in constructive debriefing for successful & unsuccessful bidders; listen for constructive feedback on how to improve; encourage development of improvement plans 8. Closure / Review Need 1. Identify Need 2. Develop Business Case 3. Define Procurement Approach 4. Supplier Appraisal 5. Tender Evaluation 6. Award Contract 7. Manage Implementation of Contract
  • Manage the contract Agree performance management and improvements; two-way constructive feedback; work with provider to maximise community benefits 8. Closure / Review Need 1. Identify Need 2. Develop Business Case 3. Define Procurement Approach 4. Supplier Appraisal 5. Tender Evaluation 6. Award Contract 7. Manage Implementation of Contract
  • Closure and capturing lessons learnt How can we do it better? 8. Closure / Review Need 1. Identify Need 2. Develop Business Case 3. Define Procurement Approach 4. Supplier Appraisal 5. Tender Evaluation 6. Award Contract 7. Manage Implementation of Contract
  • Competitive procurement
    • Incentivise sustainability
    • Evaluate risks
    • Evaluate variants
    • Test the business case
  • Post award
    • Risk/reward share
    • Embed within contract management continuous improvement plan
    • Collect and learn from the lessons (on both sides)
  • Utilise Gateway Stages 4. Supplier Appraisal 5. Tender Evaluation Challenge Challenge Challenge Challenge Challenge Challenge 8. Closure / Review Need 1. Identify Need 2. Develop Business Case 3. Define Procurement Approach 6. Award Contract 7. Manage Implementation of Contract
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  • A procurement policy and strategy to improve sustainability
    • Strategic objective
    • Focus on outcomes
    • Cross-functional teams
    • Recognise the market as an asset
    • Performance manage
  • Integrating sustainable development principles [email_address] www.slideshare.com/DrGordonMurray www.twitter.com/DrGordie