COUP 2015 Case Study: Flexible Framework: The University of Manchester Approach. Ian Jarvey Deputy Head of Procurement Jimmy Brannigan NETpositive Futures

Overview Context: Background on the University of Manchester Manchester’s Vision Our approach to the Flexible Framework A couple of quotes from a local boy Geoffrey Chaucer: ‘Time and tide wait for no man’ – GET ON WITH IT ‘People can die of mere imagination’ – IT ISN’T AS SCARY AS YOU THINK

The University of Manchester

University Estate: Investing £1BN

2020 Vision Goal 1 World Class Research: to be one of top 25 research universities in the world Goal 2 Outstanding learning and student experience Goal 3 Social Responsibili ty: Contribute to the social and economic success of the community

What does Social Responsibility look like? ADDRESSING INEQUALITIES ETHICAL GRAND CHALLENGES SCHOOLS GOVERNORS INITIATIVE CULTURAL ACCESS PROGRAMME THE WORKS STAFF STEPS TO SUSTAINABILITY Strategic Priorities Signature Programmes

Key drivers for responsible procurement at the University of Manchester are: To take a meaningful lead as the largest UK university To support our commitment to Social Responsibility and Environmental Sustainability To strive to have a positive impact through our spend – by reducing negative impacts and enhancing positive impacts

Where did we start?

Refresher: Flexible Framework Foundation Level 1 Embed Level 2 Practice Level 3 Enhance Level 4 Lead Level 5 People Champion Basic training Induction Purchasing Staff trained Key staff advanced training Refresher training Performance objectives Incentives Competences and selection Embed in induction Publicity to attract staff Internal/external recognition Share practice Policy, Strategy & Communication Objectives agreed Simple policy Endorsed by CEO & communicated Review policy and supplier links Wider strategy Communication Widen strategy to review risk etc. Endorsed by CEO Enhance strategy & new technologies Link to EMS etc. Regular review and linked EMS etc. Communication and publicity Procurement Process Spend analysis and impacts Key contracts reviewed and awarded VFM Detailed spend analysis and prioritisation Consideration early & WLC All contracts reviewed and full risk approach Key suppliers targeted Detailed high risk contract review Contract governance cycle & life cycle cost Life cycle commodity approach Targets agreed with supplier Best practice shared Engaging Suppliers Key supplier spend/impact known Key suppliers engaged Detailed spend analysis General programme supplier engagement with senior support Targeted improvement programme Two way communication Supply chain mapping Intensive development key suppliers Audits and improvement plans recorded CEO involved Suppliers key role in delivery CEO engages Best practice shared Suppliers recognise need to follow best practice to remain Measurement & Results Key impacts of procurement activity identified Detailed appraisal of impacts undertaken Measures implemented to manage high risks Sustainability measure refined from general measures and linked to objectives Integrated into balanced score card Comparison with peers Benefit statements Measures drive organisational strategy Benchmarking Independent audits

Team development at the core, plus: Governance and Strategic Commitments Materiality Analysis Risk and impact analysis Supplier Engagement Staff Support and Guidance Measurement and Reporting

Governance and Strategic Commitments

Materiality Analysis Environmental PrioritiesSocial PrioritiesEconomic Priorities - Reducing carbon emissions - Reducing utilities consumption - Sustainable management of waste - Energy efficiency - Maximise resource efficiency - Increasing biodiversity on campus - Contributing to national and international understanding of environmental issues - Utilities management - Behaviour change - Supporting local communities - Supporting national and international communities - Community engagement - Improving sustainable travel practices - Staff wellbeing - Staff engagement - Socially responsible investing - Sustainable procurement - Investment in public realm - Value for money - Whole-life costing - Exploiting in-house expertise

Targets tracked against Strategy

Risk and impact analysis Detailed spend review – level 2 Proc-HE codes Marrakesh risk review Prioritise spend categories – high risk & spend 2014 – NETpositive analysis to identify a range of issues that could be addressed through the procurement process All Level 4 Activity!

Supplier Engagement Taking a pro-active and innovative approach Capturing impact and supporting supplier development in this area simultaneously Currently being rolled out to all suppliers

In the first 3 months: 126 businesses have started an Action Plan 634 individual actions ‘completed’ or ‘in progress’ 297 pieces of evidence added to support these actions

We make work accessible to people from all backgrounds C Catering Supplies & Services L Laboratory/Animal House Supplies & Services Others Selection rate 29% 61% 63% What are we finding out and what are we going to do with the information?

Measurement and Reporting Commitment to annual reporting Sharing our own learning with the sector Demonstrating progress against targets Demonstrate our positive impact Celebrating our success Achieving some recognition for hard working procurement teams!

We think Responsible Procurement offers: A real opportunity to demonstrate social impact and social value An opportunity to utilise procurement to deliver the social commitments of the institution An opportunity for procurement to take the lead on delivering sustainability excellence for your institution

A final quote: ‘Start by doing what is necessary; then do what is possible; suddenly you are doing the impossible.’ St. Francis of Assisi. Ian Jarvey University of Manchester Jimmy Brannigan NETpositive Futures