New plans were unveiled last month outlining the Government’s aims to streamline paperwork in tender exercises and cut back on the inclusion of unnecessary regulations that have previously been included for the sake of compliance.
The truth is that we desperately need a robust process in place for drawing up local government contracts to ensure that what is delivered at the end meets the brief. However, this procedure needs to be adapted to suit the particular requirements of each project, and to ensure it doesn’t exclude or deter any skilled contractor from bidding – whatever their shape or size.
Currently, small to medium-sized enterprises (SMEs) are often put off pursuing public sector work in their local area, as they simply don’t have the resources in place to prepare bids under the time-consuming existing process.
Simplifying the procurement process can level the playing field, allowing a greater number of contractors to bid and win, which in turn can enable greater regeneration of local communities by creating new job opportunities in the area.
There are cost efficiencies that can be derived from this new approach too. Public sector organisations could save a considerable amount of money from trimming back laborious contracts, which might be invested in public services and also used to continue to limit council tax increases.
However, there’s another aspect of procurement that needs to be remembered in light of the Government’s proposals, and that is the importance of defining the project’s objectives from the get-go and of constantly reviewing them with contractors. This will maximise the chances of them being met, helping to ensure the final project is fit for purpose and delivers real value.
An inability to put the outcome of a project before the process will often lead to laborious tender documents and excessive requirements that bidders must meet. This behaviour might be attributed to buyers in the public sector being especially risk averse and therefore mitigating all possible challenges but missing the opportunity to release funds into the economy quicker.
The Government’s plans are still in the early stages, so it will be some time yet before we see gold-plating tarnish for the better, but we’re looking forward to the new rules adorning all public sector contracts in the very near future.
Clare Tetlow is from Re:allies
