Procurement Strategy 2021-2024

Contents

1. Introduction

2. Our Purpose

3. Procurement Vision

4. Ownership and Approval of the Procurement Strategy

5. Procurement Service Statement

6. Consideration by the Procurement Department

7. Who are the Stakeholders

8. Objectives

9. Measurement of Procurement

 

1. Introduction

This document sets out the University’s Procurement Strategy. It supports the University’s overall mission, strategy and values and sets out the plan for the future of procurement activity at the University for the period 2021 to 2024.

 

2. Our Purpose

The University Strategic Plan for 2020-2026 states that our purpose is:

“We act together, using our collective skills and diversity, to deliver a better world through the transformational power of quality education and research.”

The Procurement Strategy looks to directly support the University Strategy and its purpose

3. Procurement Vision

It is the vision of procurement at the University to develop a sector leading procurement function that supports the University’s vision and operating model. It will strive to lead in the education sector and other sectors on its approach to delivering procurement activities.

The Department will focus on four strategic priorities

• strategic leadership in procurement

• improved collaborative procurement

• improved capability in contract management

• improving capability and capacity in procurement

4. Ownership and Approval of the Procurement Strategy

The Procurement Strategy will be owned and signed off by the Procurement Board and senior management will endorse and follow the strategy. The Procurement Department will put the plans in place to ensure the strategy is implemented.

The progress of the implementation of the strategy will be reported to the Procurement Board. This will be carried out on an annual basis.

5. Procurement Service Statement

The Procurement Department is responsible for working with colleagues across the University to buy all our goods and services in the most effective, appropriate and compliant way possible.

We strive for value for money and suitable quality in the goods and services we buy and the suppliers we contract with. We have adopted a category management approach, which looks at aggregated categories of spend across the whole institution not just within specific schools or functions - this is a best practice, professional approach. We benefit from consistency, whilst being mindful of the flexibility that we need in such a large and varied organisation.

We provide:

• Suppliers who have a University-level agreement and contract with us and who any member of staff can access directly e.g. stationery supplier, IT hardware supplier, travel provider.

• Support to individuals, Schools and Functions with more specialised requirements and/or who need to buy something that is covered by specific UK or public sector procurement legislation and processes

 

6. Consideration by the Procurement Department

In order for the Procurement Department to achieve its ambitions it needs to continually evaluate the procurement activities within the University and where appropriate reinvent what we do, how we work, and how we sustain ourselves. We must be alert to changes and opportunities within the external environment and ensure that we keep pace with developments within the sector and elsewhere and show continuous improvement.

The function must take into consideration:

• University’s strategic objectives

• UK government initiatives

• Financial strategy

• The University risks relating to achievement of the strategic objectives Evolving requirements

• Factors influencing risk

• Local environment

• Priorities of the business benefits to be achieved

• Ability of the market to respond.

• Responsible procurement issue

 

7. Who are the Stakeholders

There are many stakeholders and customers that Procurement need to consider and involve in the strategic aims of the department. They include:

• University Executive Board

• Budget Holders

• University staff

• Suppliers

• Other Universities

• Higher Education Funding Council for England (HEFCE)

• Research Councils

• Purchasing Consortia

• Crown Commercial Services

• Government

 

8. Objectives

The following objectives will support the Procurement Strategy and ensure the vision is met

 

a) Category Strategies will contribute to the University's vision

To deliver advanced procurement solutions such as category plans that will be developed for all appropriate expenditure to ensure that they are in line with the University’s vision. These will be developed with all stakeholders including any relevant external bodies.

Once the plans are approved procurement staff with the key stakeholders will monitor the plans and put in place appropriate reviews ensuring continuous improvement.

The process aims to ensure that savings and value improvements realised as part of the sourcing and contracting process are sustained in the long term through the effective management of suppliers

b) To ensure strategies and contracts deliver best value and manage risk

To improve our understanding of the requirements for the University and the related market. To ensure that framework agreements for commonly used items are available, appropriately managed and readily accessible for staff in order to maximise the University’s purchasing power.

That all high value and strategic procurement projects involve timely consultation between stakeholders and purchasing professionals based in the Procurement Department.

All standard contractual documents are developed and reviewed in collaboration with the Legal Services Department and other relevant stakeholders and ensure the appropriate review prior to authorisation.

To work with suppliers and monitor them to ensure they are reliable and manage potential risks. To identify improvements and manage the supply chain and all stakeholders effectively. To report risk where appropriate and seek to prevent fraud where possible.

To comply with the University Procurement Policy and any other related policies and legislation.

c) Ensure the appropriate level and skills of resources are available

Ensure that there are appropriate skills and expertise in all relevant areas of procurement.

To understand resource requirements and plan according to the University’s needs.

To increase the level of professional competencies in the Procurement Department and all involved in the end to end procurement processes. To make available a range of suitable training courses, guidance for staff and suppliers.

To support and develop leadership competencies, commercial and technical skills, behaviours and ethical codes. To develop procurement staff to obtain where appropriate professional qualifications e.g. membership of the Chartered Institute of Purchasing and Supply.

To share knowledge, skills and collaborate as appropriate with other Higher Education, Consortia, Public Sector and the supply chain.

 

d) To improve Procurement Processes, Contracts and Systems

Review, revise and ensure improvements of the processes involved in purchase transactions whether by purchase orders or by purchase card.

Develop a business case and procure and implement an electronic marketplace and investigate opportunities for process savings around electronic invoices.

To review and improve the use of current technology such as the e-tendering system and spend data tool.

To obtain feedback and work in partnership with stakeholders both internal and external to ensure continuous improvement of processes, contracts and systems

 

e) Improving Strategic Relationships

Have representation on appropriate regional and national groups within the HE sector to allow collaboration.

Continue to develop links and explore collaborative procurement opportunities with local HE Institutions.

Explore collaborative/partnership opportunities with other public and private sector organisations as appropriate

Manage the relationship with the supply chain through effective contract management

 

f) Ensuring Responsible Procurement

Ensuring that our suppliers are compliant with all necessary legislation and policies, as well as striving for best practice, is a key element of our procurement activity.

To support this, we will:

• Develop responsible Procurement skills amongst staff and key stakeholders.

• Minimise environmental impact across the supply chain in line with sustainable development goals where appropriate.

• Collaborate with other organisations and associations in the sector and beyond, such as consortia and universities, to share best practice and knowledge.

• Promote responsible procurement in the marketplace by engaging current and potential suppliers and ensuring that they are aware of our key policies and procedures.

• Continue to embed responsible procurement principles into our category plans. In addition, work closely with the Sustainability Team, Diversity & Inclusion, Catering and other groups across the University as these plans develop and evolve.

• To measure our success in areas of responsible procurement including contribution to net zero carbon plan, engagement of SMEs, monitor supplier improvements related to D&I, compensation, LGBT+, ethical sourcing and social value initiatives.

• Pursue areas of collaboration, both internally and externally, through the Responsible Procurement Group.

9. Measurement of Procurement

Procurement at the University will be measured through a number of routes with aims set to match the business requirements:

a) Internal and External Audits carried out annually

b) To obtain feedback from the stakeholders

c) To obtain feedback from the supply chain on a regular basis through a manged process

d) To measure improvements in responsible procurement initiatives

Performance will be tracked by completing the HEFCE Procurement Value Survey annually and where possibly benchmarking against other Higher Education establishments