A Procurement Transformation Program is underway to get greater value for money from the Queensland Government's $16.3 billion annual spend on goods and services.
The aim is to do this by better leveraging expenditure, putting smarter sourcing practices in place, taking an innovative, one-government approach to how we buy things, and developing procurement and contract management capability.
During the first phase (Wave 1) of the program which was completed on 11 October 2013, more than 1000 people across the public sector were involved to:
- enable $82m-$130m of annualised benefits
- deliver 12 sourcing initiatives across five 'mega categories' (General Goods and Services, ICT, Building Construction and Maintenance, Medical, and Road Construction and Maintenance)
- design and implement a benefits realisation framework
- design a whole-of-government operating model based on a centre-led mega category approach
- design the governance framework and deliver the new Queensland Procurement Policy
- conduct the first ever procurement capability development survey across the Queensland Government
- improve capability through training and exposing staff to contemporary sourcing techniques
- design whole-of-government better-practice procurement processes.
The goal is to create a world-class procurement function and be a solution-focused, pragmatic, agile and reliable partner helping government deliver value-for-money outcomes for all Queenslanders.
What is happening now?
A Procurement Taskforce, led by a DG Council, is working on:
The taskforce is also linked into the Corporate Services Renewal Taskforce and the team working on the implementation of the Queensland Government ICT strategy where their work intersects.
The Procurement Transformation Program will:
conduct further strategic sourcing initiatives to deliver even more savings
work with agencies to realise the savings enabled in Wave 1
commence implementation of the procurement operating model and access and build capability accordingly
deliver standard processes in source to contract, category management and contract management
- develop a technology and business intelligence strategy for government procurement.
Procurement Transformation will also continue to:
What are the benefits?
Procurement is a key lever in the government's commitment to return the budget to surplus and restore the state's AAA rating.
For the community
- Improved frontline services funded by procurement savings.
For public sector employees
- Opportunities to build capability and skills in better-practice procurement and contract management.
- Less red tape around procurement and a greater focus on outcomes.
- Improved career path and development opportunities.
- Less red tape and greater consistency in procuring across government.
- Greater opportunity to compete for government business.
For more information