Agenda item

Purpose of report: To update committee members on the progress of the modernisation of the procurement service.

Witnesses:

David Lewis – Cabinet Member for Finance & Resources

Leigh Whitehouse, Deputy Chief Executive and Executive Director of Resources

Anne Epsom, Head of Policy and Improvement, Orbis Procurement

Key points raised during the discussion:

1.    The Chairman noted that the service’s approach to environmentally sustainable procurement had been shortlisted for a Local Government Association (LGA) award and queried what had made Orbis stand out and if there was confidence that the service was now an example of best practice. The Head of Policy and Improvement, Orbis Procurement explained that whilst the judges had not provided feedback it was believed that the Council had stood out as a result of the collaborative effect of the three councils working together, the provision of a dedicated policy team, the baselining of supply chain emissions ahead of other local authorities and the level of engagement with stakeholders.

2.    The Chairman asked if the weaknesses in four areas noted in paragraph 3 had been addressed and how was this measured. The Head of Policy and Improvement confirmed a number of weaknesses had been addressed. A focus on certain areas remained, particularly around the quality of data.

3.    The Chairman requested examples of where the focus area of governance had, and had not, worked well in practice. The Head of Policy and Improvement said governance had been successful within portfolio reviews, which had received positive feedback and engagement. Steps had been taken to resolve issues around project banding methodology which had not been as successful; as a result work was underway to return to the more streamlined self-assessment banding.

4.    The Chairman asked for an example of the lessons learned referenced in paragraph 7. The Head of Policy and Improvement noted the output of quality assurance reviews as an example which identified the quality of feedback and evaluation as an area for consideration and the need for a platform providing equal access to all.

5.    The Chairman, with regard to paragraph 25, questioned the benefit of training non-procurement staff in procurement. The Head of Policy and Improvement said training would help staff understand the potential for procurement.

6.    A Member asked if the £4.2 million Orbis saving across the three councils had been what was anticipated and queried why, following this saving, some of the budget was transferred back to the Council after the 2021 review. The Deputy Chief Executive and Executive Director of Resources confirmed that the Orbis targets had been set out in 2018 for delivery during the three years that followed. An overspill resulted from some outstanding targets that remained in the fourth year, an extension had been given to meet these targets and they had now been completed.

7.    A Member queried the proportion of samples in the inaugural review undertaken in March 2023 noted in paragraph 12e, and asked what proportion of the projects were in sample and how many complied with organisational requirements and procurement regulations. The Head of Policy and Improvement explained that nine populations of potential projects were identified and taken through the first stage of the basic compliance QA process, followed by a thorough qualitative assessment of five of those projects.

8.    A Member queried the process for receiving a quote that was obviously incorrect. The Head of Policy and Improvement said that respectful challenge between business partners and their services and engagement with senior stakeholders was effective in such circumstances.

9.    A Member queried the timeline of the contract process, for example the time taken from the contract being awarded to being signed. The Head of Policy and Improvement, Orbis Procurement committed to bring this information back to the Committee. Action - The Head of Policy and Improvement, Orbis Procurement 

Resolved:

The Resources and Performance Select Committee recommends:

1.      That before approval of any part 2 procurement report, officers and the responsible Cabinet Member brief relevant Cabinet Members to continue to ensure all have a clear understanding of all financial implications.

Actions:

i.              The Head of Policy and Improvement, Orbis Procurement committed to bring back to the Committee information regarding timelines of the contract process.