1.  October 2007 Good Practice Contract Management Collaboration workshop Output from syndicate sessions 6/10/08 Procurement Services Working to achieve Excellent Procurement

2. Essex County Council Step Change Procurement Page 2Procurement Services Benefits of introducing good practice contract management (GPCM) Cost savings Improvement in quality of service Increased customer satisfaction Addresses wider stakeholder requirements More likely to get the service you want/paying for Increased innovation

3. Essex County Council Step Change Procurement Page 3Procurement Services Benefits of introducing good practice contract management (2) More likely to get VFM through life of the contract Maintains the customer/supplier balance/allocation of risk Reduction in risk Improved consistency Improved customer/supplier relationships Opportunity for reflection feedback/learning mechanism

4. Essex County Council Step Change Procurement Page 4Procurement Services How do you measure the benefits of good practice contract management Agree definitions first Identify what needs to be measured Identify data that needs to be collected Base line first, then compare, identify trends Gateway review process Reduction in costs over defined period Customer satisfaction feedback

5. Essex County Council Step Change Procurement Page 5Procurement Services How do you measure the benefits of good practice contract management (2) Different measures for different contracts Proportionate measures viz value and risk Identify risk of not applying GPCM Move to open book accounting Seek feedback from suppliers

6. Essex County Council Step Change Procurement Page 6Procurement Services Key challenges when implementing good practice contract management Defining ‘good’ practice Defining who is responsible for what Strategic support, acceptance of the need, availability of resources Availability of skills Getting people to consideration of GPCM in business cases and specifications Difficulty in defining effective KPI’s Difficulty in defining quality related KPI’s

7. Essex County Council Step Change Procurement Page 7Procurement Services Key challenges when implementing good practice contract management (2) Change management Locating/collating contract information Management of framework contracts Communication between all parties (e.g.. Quality management finance, corporate procurement, suppliers etc.) Relationship management Linking payment with performance Balance between clear and flexible specifications input/output specs

8. Essex County Council Step Change Procurement Page 8Procurement Services Examples of GPCM Early involvement of CM in procurement cycle Continuous improvement Supplier input pre-tender –supplier briefings/meet the buyer events Use of standard t&c’s Knowing the specification and contract –Operational Contract Guides Stakeholder mapping/management Benefits realisation reviews

9. Essex County Council Step Change Procurement Page 9Procurement Services Examples of GPCM (2) Link with project management process Benchmarking Exit plan and business continuity in contracts Contract review – lessons learnt – input to new contracts Collaborative relationships with suppliers Help suppliers deal with govt. agencies Obligations database Centralised contract repository system

10.  October 2007 Thanks for your time Procurement Services Working to achieve Excellent Procurement