Case Study

Business & Procurement 
Program Review

02.03.2022

Client: Procurement organisation for local government and other entities. ​

Project

Organisation supported procurement needs for Councils servicing 1.7 million people ​

Project Trigger

From a competitive viewpoint, there were several procurement aggregators who provided services which supports individual Council procurement needs. With this, our client conducted a business and procurement functional review which aimed to show that the organisation could continue to deliver value to Councils on several dimensions and act as a strategic procurement business partner.

Our Scope​

Our diagnosis considered several perspectives to deliver a comprehensive review: ​

  • Conducted a comprehensive performance diagnostic analysing organisation process, people, technology and services.​
  • Assessed the individual Council needs for now and into the future from the perspective of each General Manager and their procurement heads.​
  • Backed by the needs analysis, we looked at how the function could best support Council in the future.

Project Outcomes​

The engagement set out three options: ​

  • Develop a business partner model by connecting all their Council members, share thought leadership, and build relationships to deliver strategically important assets; or ​
  • Implement a shared services model where an end-to-end procurement service is delivered; or ​
  • Expand the shared services model into an extended procurement service targeting such items as payroll, audit, insurance and other non-strategic services.

Our Values​

The organisation’s General Manager had a body of evidence that clearly articulated how they could provide significant value in a procurement process in the future. This provided the organisation options to serve as the basis of an informed dialogue with the Board of Directors.

Top 3 Tips​

Clients that require a business and procurement review should:​

  • Understand and assess their businesses procurement operating model.​
  • Develop a clear timeline for the roll out of any new model and implement a change management strategy.​
  • Understand clearly their current and future capability requirements.