<ul><li>  </li></ul><ul><li>Public Procurement – improving value for money </li></ul><ul><li>Nigel Smyth </li></ul><ul><li...
Preparing for a new future  <ul><li>Particularly challenging economic climate </li></ul><ul><li>UK government finances in ...
Preparing for a new future <ul><li>Leaner and fitter government – plus need for strategic outsourcing </li></ul><ul><li>Mu...
CBI Public Procurement Survey <ul><li>Improving value for money </li></ul><ul><li>- Reducing bidding costs </li></ul>
Improving value for money <ul><li>2001 Review of Procurement in Northern Ireland </li></ul><ul><li>“ They (public procurem...
Improving value for money <ul><li>Dr DeAnne Julius’s Public Services Industry Review </li></ul><ul><li>“ Bid costs incurre...
CBI Public Procurement Survey <ul><li>Improving value for money </li></ul><ul><li>- Reducing bidding costs </li></ul><ul><...
Government – a world class client <ul><li>a clear understanding of the objectives of the procurement </li></ul><ul><li>a g...
CBI Public Procurement Survey <ul><li>Improving value for money </li></ul><ul><li>- Reducing bidding costs </li></ul><ul><...
Challenges are not new <ul><li>2001 Review of Public Procurement – good progress, but improvement needed on many issues  <...
Procurement – the bigger picture <ul><li>Not just about value for money </li></ul><ul><li>Sustainability moving rapidly up...
<ul><li>For more information on CBI’s lobbying activities and future events check out </li></ul><ul><li>www.cbi.org.uk/ni ...
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CBI Northern Ireland - Public procurement conference - Nigel Smyth, director, CBI Northern Ireland

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CBI Northern Ireland director Nigel Smyth presentation at CBI public procurement conference 05 March 2009.

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CBI Northern Ireland - Public procurement conference - Nigel Smyth, director, CBI Northern Ireland

  1. 1. <ul><li>  </li></ul><ul><li>Public Procurement – improving value for money </li></ul><ul><li>Nigel Smyth </li></ul><ul><li>Director, CBI Northern Ireland </li></ul><ul><li>5 March 2009 </li></ul>
  2. 2. Preparing for a new future <ul><li>Particularly challenging economic climate </li></ul><ul><li>UK government finances in disarray – expect little, if any, growth in public expenditure post 2010/11 </li></ul><ul><li>Key driver - growth from private sector </li></ul><ul><li>Maximise outcomes/value for money from public expenditure - £2.2bn public procurement budget likely to be a key target </li></ul>
  3. 3. Preparing for a new future <ul><li>Leaner and fitter government – plus need for strategic outsourcing </li></ul><ul><li>Must ensure savings do not come at the expense of quality – avoid lowest cost, focus on value </li></ul><ul><li>Room for improvement </li></ul><ul><li>60% of CBI survey respondents believe better value for money achievable </li></ul>
  4. 4. CBI Public Procurement Survey <ul><li>Improving value for money </li></ul><ul><li>- Reducing bidding costs </li></ul>
  5. 5. Improving value for money <ul><li>2001 Review of Procurement in Northern Ireland </li></ul><ul><li>“ They (public procurement staff) need to be involved at an early stage to ensure they understand market conditions, in particular cost drivers and latest technology solutions; to identify risks and develop risk management strategies to draw up tender specifications which are output based and reflect user needs ” </li></ul>
  6. 6. Improving value for money <ul><li>Dr DeAnne Julius’s Public Services Industry Review </li></ul><ul><li>“ Bid costs incurred by all parties should be reduced by agreeing clear and consistent objectives, simplifying documentation, reducing uncertainty around timing and engaging earlier, and more open communications about desired outcome and risk allocation.” </li></ul>
  7. 7. CBI Public Procurement Survey <ul><li>Improving value for money </li></ul><ul><li>- Reducing bidding costs </li></ul><ul><li>- Government becoming a world-class client </li></ul>
  8. 8. Government – a world class client <ul><li>a clear understanding of the objectives of the procurement </li></ul><ul><li>a good understanding and knowledge of the supply markets – with processes in place to engage with the market </li></ul><ul><li>appropriate organisational capabilities </li></ul><ul><li>an efficient, cost effective, fair, robust and transparent tendering and evaluation process </li></ul><ul><li>good feedback mechanisms, with appropriate mechanisms in place in event of dispute </li></ul><ul><li>effective contract management procedures </li></ul>
  9. 9. CBI Public Procurement Survey <ul><li>Improving value for money </li></ul><ul><li>- Reducing bidding costs </li></ul><ul><li>- Government becoming a world-class client </li></ul><ul><li>- Improvements in information provision </li></ul>
  10. 10. Challenges are not new <ul><li>2001 Review of Public Procurement – good progress, but improvement needed on many issues </li></ul><ul><li>The complexity of EU rules does not make this easy </li></ul><ul><li>Improving professional skills critical – “ the skills needed to make and complete deals ” </li></ul><ul><li>Constructive dialogue with CPD </li></ul>
  11. 11. Procurement – the bigger picture <ul><li>Not just about value for money </li></ul><ul><li>Sustainability moving rapidly up the agenda </li></ul><ul><li>CBI supportive – criteria must be relevant to the contract </li></ul><ul><li>Must be an integral part of the project </li></ul><ul><li>Must focus on meaningful outcomes </li></ul><ul><li>Progress is being achieved </li></ul>
  12. 12. <ul><li>For more information on CBI’s lobbying activities and future events check out </li></ul><ul><li>www.cbi.org.uk/ni </li></ul>
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