Archive for the ‘Public Sector News’ Category

Ealing Council ahead of the game when it comes to simplifying government procurement

Thursday, December 16th, 2010

Last week John Collington, the Head of Procurement for the Cabinet Office’s Efficiency and Reform Group (ERG) and Chartered Institute of Purchasing and Supply CEO, David Noble, announced they were joining forces to help improve public sector buying. Their aim is to transform how government buys common goods and services through centralised category management, standardisation of specification, and aggregation of spend, to deliver savings from the baseline of £13 billion, in the region of 25 per cent over four years.

This collaboration follows John Collington’s announcement at London’s Efficiency, Reform & Accountability conference on 24 November, where he informed delegates of his plans to address 9 core spending areas, including office supplies, print management, advertising and media, by September 2011.

This is good news for Claritum, given our experience and success in the public sector, and one of our public sector clients, Ealing Council, is excited to be ahead of the game.

Having used Claritum since 2008 Ealing Council has been able to demonstrate the benefits of Claritum for some time, and the Council is now embarking on deployment of additional functionality, after reaching out to Claritum for ideas of how best to deliver additional cost reduction and value for money.

Claritum proposed a complete solution for Ealing encompassing branded templates, user portal interface, internal print management and costing and charging. This was to be added to the existing Claritum deployment which ensures sourcing and procurement meet corporate requirements and deliver best value on every transaction. A combination of matrix and bid costings covers a wide range of media from photography and design to complicated mailings and distributions. An interface to internal council systems provides semi-automated financial transactions.

The bottom line benefits to Ealing will be further cost savings and process efficiencies. Less tangible but increasingly valuable benefits will be derived from strengthening the Ealing brand and improving the effectiveness of communications media.

Ralph Brandhorst, Senior Production Manager for Ealing Council said, ”we estimate the reduction in direct and indirect costs will be many times the costs of the system improvements as well as providing many non cost benefits. It is an area many public sector organisations are looking at”.

The London Borough of Ealing is the largest in west London, third largest of the London boroughs, with 310,000 residents, 13,365 businesses and a budget of £266 million.

Former Home Office group commercial director John Collington became the most senior procurement figure in the UK government on 1 September when took up his current role. His remit is to spearhead a cross-government approach to procurement and its supply chain to make the best use of its combined purchasing power and get better value for money.

Claritum CEO to speak at CIPFA Performance Improvement Network Event

Friday, October 29th, 2010

Claritum CEO, James Samuels has been invited to speak at the CIPFA Performance Improvement Network Event “Driving Cost Reductions through Better Procurement”

The workshop is designed to give an insight into delivering savings and efficiencies in the current economic climate, and takes place in Leeds on 4th November 2010.

The event will be attended by Heads of Procurement, Finance Officers and Auditors from local authorities in the North of England.

Event organizer, Mohamed Hans (Performance Advisor at CIPFA) invited Claritum to share their practical experience of delivering savings to The London Borough of Ealing, as well as sharing the challenges, solutions and outcomes across their wider public sector client base.

James Samuels said “with such pressure to deliver savings and efficiencies, its good to see more public sector bodies sharing best practice. Our experience in this sector proves that significant, measurable and sustainable savings and efficiencies can be achieved through implementing better procurement

How The London Borough of Ealing are planning significant savings and efficiencies

Tuesday, October 19th, 2010

 The London Borough of Ealing is the largest in west London, third largest of the London boroughs, with 310,000 residents, 13,365 businesses and a budget of £266 million.
With increasing pressure to deliver cost reductions and value for money across the organisation, Ealing are looking at improving processes to drive cost savings and efficiencies. 
Ralph Brandhorst (senior production manager), in the central Marketing & Communications department is working with Claritum to develop systems and processes that will reduce time/costs associated with designing and producing all documents and any marketing and communications media. Within any organization there exists the hidden cost / time executives spend creating documents and ensuring they meet corporate branding guidelines, which could be reduced and used to make a greater contribution to service objectives.
To address this Claritum are proposing a complete solution for Ealing that encompasses branded templates, user portal interface, internal print management and costing and charging. This can be added to the existing Claritum deployment which ensures sourcing and procurement meet corporate requirements and deliver best value on every transaction. A combination of matrix and bid costings covers a wide range of media from photography and design to complicated mailings and distributions. An interface to internal council systems provides semi-automated financial transactions.
The bottom line benefits to Ealing are cost savings and process efficiencies. Less tangible but increasingly valuable benefits will be derived from strengthening the Ealing brand and improving the effectiveness of communications media.
 
Ralph Brandhorst said “We estimate the reduction in direct and indirect costs will be many times the costs of the system improvements as well as providing many non cost benefits. It is an area many public sector organisations are looking at”.
 
Phil Martin, Marketing Manager of Claritum said: “With the pressure on public sector spending we are delighted that Ealing are seeing real tangible efficiencies and savings from using Claritum. Our public sector clients are all reporting similar benefits and provide a best practice template for other local authorities. It is clear that the successes we have seen at our public sector clients provides proof that significant, measurable and sustainable value for money can be achieved from print, marketing and document services. We are seeing an unprecedented level of interest from councils, universities and other non for profits right across the country.”

Sir Philip Green “Government spending up to 80% above market rate on printing”

Tuesday, October 12th, 2010

The government is paying up to 80% above market price on many print jobs adding to a total annual print spend of £104m, according to Sir Philip Green’s review of Whitehall spending.

Green’s report into government efficiency, which was published this week, found that the prices paid by government for commodity purchases are often far from competitive.

He identified the lack of a centralised approach to buying goods and services, which has failed to leverage the buying power of the public sector and resulted in departments paying hugely different prices for the same items.

The capability of print buyers varied greatly across government departments while buying processes were often inconsistent, the report said.

Green added: “There is no reason why Government should not be as efficient as any good business.  Any large organisation would want to use its credit rating and scale to buy efficiently.

One of the  conclusions of this review is “scale”.  Every department has not been used to make Government spending efficient.”

Among his recommendations to the government, Green advocated centralised procurement, the production of accurate spend and consumption data, managing down demand and specifiations, and pricing common items at the same level for all central government departments. This can be achieved through the use of technology such as e-Procurement.

Local authorities such as Ealing Enfield and Greenwich Councils have adopted such technology by implementing Claritum, which has streamlined their sourcing, procurement and invoicing processes, leveraged their in house expertise and optimised communications with external suppliers.

The software-as-a-service solution automates much of the process of specifying, costing, ordering and invoicing marketing print, stationery, documents, reprographics and creative services. The application can be deployed to large number of users from customers and budget holders to expert buyers and suppliers. Management have control over spend limits and controls and have real time management information to monitor performance across the supply chain. Claritum integrates with most leading ERP and financial systems such as SAP, Oracle, JD Edwards and Agresso.

More Pressure on local Governments.

Wednesday, September 22nd, 2010

Chancellor George Osborne is due to deliver his Spending Review on Wednesday 20 October.

The June 2010 Budget said that departmental spending would have to be cut by £50bn a year by 2014/15, compared with 2010/11 levels

These cuts are putting even more  pressure on the public sector and Government Offices to improve efficiencies and drive better value for money procurement than ever before.

A survey from the Chartered Institute of Purchasing and Supply in the UK suggested that as much as 60% of corporate spend is uncontrolled, meaning it does not have proper management approval and it cannot be properly accounted for.

As a consequence, many not-for-profit organisations are adopting Print Spend Management solutions in a bid to take control of expenditure, improve cost-base visibility and ensure that value for money is truly achieved.

By deploying Claritum’s Print Sourcing and Procurement platform, sustainable and measurable value for money can be achieved from a combination of price reductions, process improvements and minimised wastage, avoiding costly and disruptive outsourcing.

A variety of public sector and local government authorities are already using the system

Phil Martin Marketing manager said; “Local Authorities are seeing real tangible efficiencies and savings from using Claritum . It is clear that the successes we have seen at our other public sector clients provides proof that significant, measurable and sustainable value for money can be achieved from print and document services.

Our Local Council Clients are able to do Much more with less resource.

We look forward to the possibility of shared services. This will benefit all local Councils who are using Claritum

Universities struggle with budget cuts.

Wednesday, February 3rd, 2010

The Department of Innovation, Universities and Skills (DIUS) has been instructed to save £1.9bn, including £400m in 2010-11, mainly through making the research councils, universities and colleges “more efficient” as a result of the 2009 budget.

Universities are worried that the savings will lead to a reduction in their overall funding, particularly for teaching, and for widening participation to low-income families and ethnic minorities.

Universities have been hard pressed to “do more with less.” With this backdrop, it not surprising for the public sectors to follow the lead of private companies in using advanced Sourcing and purchasing technologies hitherto available only to large organisations to drive down cost and improve efficiency.
With an On-Demand deployment model, companies pay predictable fees to gets the results of efficient strategic sourcing and competitive bidding without worrying about managing software and hardware or stretching their already slim IT staff to manage the technology infrastructure.

More and more Education and public sector organisations are using the power of these new Spend Management delivery platforms to achieve significant savings that can then be put to work in other areas. And the added intangible is that it also makes the Sourcing process more transparent.

James Samuels, CEO of Claritum Said - “We’re seeing huge demand for our SaaS spend management application from both private and public sectors. The combination of spend analysis, sourcing, e-procurement, supplier network and catalogue delivers significant and measurable benefits.

Our clients love the low upfront costs, small ongoing commitment leading to a quick ROI and significant hard cash savings. We have a number of leading Universities using the Claritum System, that have announced 17-25% savings and there’s more to come

Local Councils expect their efficiency savings to fall short of the government target.

Friday, December 18th, 2009

Councils expect their efficiency savings in the current financial year to fall short of the government target - after comfortably exceeding last year’s goal.

Latest figures from the Communities and Local Government department (DCLG) show that local authorities expect efficiency savings to reach £3.1bn by March 2010 - the end of the second year. The expected total was £3.2bn.

Councils surpassed their targets in 2008-9 by registering £1.76bn worth of value-for-money savings.
Local government has an overall target over three years of £5.5bn - increased from an initial figure of £4.9m.

Communities secretary John Denham told MPs: “I want to ensure that councils are performing as efficiently as possible and making the best possible use of every pound of council tax.

I am pleased to be able to confirm today that councils have forecast efficiency savings of over £3bn by March 2010, making good progress towards the target of £5.5bn by March 2011”

The recent economic turmoil not only forced many small and large companies in the private sector to rethink their cost management strategies, but also prompted governmental bodies and not-for profits to emphasise agility and be more efficient.

The current climate has meant local authorities have been hard pressed to “do more with less.” With this backdrop, it not surprising for public sectors to follow the lead of private companies in using advanced Sourcing and purchasing technologies hitherto available only to large organisations to drive down cost and improve efficiency.

More and more public sector and governmental agencies are using the power of E-procurement delivery platforms to achieve significant savings that can then be put to work in other areas. And the added intangible is that it also makes the Sourcing process more transparent.

James Samuels, CEO of Claritum Said - “We’re seeing huge demand for our SaaS spend management application from private and public sectors. The combination of spend analysis, sourcing, e-procurement, supplier network and catalogue delivers significant and measurable benefits.

Our clients love the quick ROI and the significant hard cash savings. Clients such as the London Borough of Enfield, Ealing and Greenwich have announced 17-25% savings and there’s more to come

Public sectors and Non-profits save money and manage cost

Monday, October 26th, 2009

The recent economic turmoil not only forced many small and large companies in the private sector to rethink their cost management strategies, but also prompted governmental bodies and not-for profits to emphasise agility and be more efficient.

The current climate has meant local authorities have been hard pressed to “do more with less.” With this backdrop, it not surprising for public sectors to follow the lead of private companies in using advanced Sourcing and purchasing technologies hitherto available only to large organisations to drive down cost and improve efficiency.

 

With an On-Demand deployment model, companies pay predictable fees to gets the results of efficient strategic sourcing and competitive bidding without worrying about managing software and hardware or stretching their already slim IT staffs to manage the technology infrastructure.

More and more public sector and governmental agencies are using the power of these new Procurement delivery platforms to achieve significant savings that can then be put to work in other areas. And the added intangible is that it also makes the Sourcing process more transparent.

 

James Samuels, CEO of Claritum Said - “We’re seeing huge demand for our SaaS spend management application from private and public sectors. The combination of spend analysis, sourcing, e-procurement, supplier network and catalogue delivers significant and measurable benefits.

Our clients love the quick ROI and the significant hard cash savings. Clients such as the London Borough of Enfield, Ealing and Greenwich have announced 17-25% savings and there’s more to come”

Councils are basing important decisions on unreliable information.

Monday, September 14th, 2009

 

A recent report by the Audit Commission study (published 30 July) finds councilors complaining that they receive lengthy reports that don’t contain the information they need. Less than 5 per cent of councils have excellent quality data and 65 per cent face problems sharing data externally.

With tough financial times ahead, councils say they know they need to act now to improve the quality of their data. Nine out of ten councils say they think good quality information is a top priority.

Steve Bundred, Chief Executive of the Audit Commission, said:
‘Giving decision makers the information they need will help councils make savings while improving services. This is all the more critical in recessionary times’

The report also finds that almost 80 per cent of councils say that a lack of in-depth analysis is a major problem. But their analysts spend around twice as much time on producing routine reports as on value-added analysis.

Previous Audit Commission studies have consistently shown that councils have failed to capitalise on the power of information. Most recently, one report said that only 20 per cent of finance directors had all the information to manage their councils’ estates properly.

The Claritum print procurement platform manages the end-to-end processes involved in procuring, managing and paying for print for a number of public sector clients. It enables buyers, managers and suppliers to collaborate in a single platform. This enables the software to capture and report on vast amounts of information whether it relates to costs, service levels, adherence to best practice guidelines or a whole host of other information.

Dependent on requirements, a best practice workflow can be configured to suit an organisation’s needs. This may change over time. As such every action by every authorised user can be tracked, monitored and reported on.
This level of control provides management with the basis for high quality, granular management information.

Public finance heads positive about procurement innovation in face of expected cuts

Friday, September 4th, 2009

An online study by the Chartered Institute of Public Finance & Accountancy (CIPFA)   of 129 finance and resource directors across UK central and local government, health, police, education, housing and charities was conducted earlier this month.
The report,  that was commissioned by Civica ,found that:

> Nearly all respondents - 93% - said demands for efficiency savings and value for money was their most pressing agenda item

> Almost three quarters - 74% - were experiencing increased pressures to deliver results but also maintain services

> Most public sector bodies - 83% - think that a new government elected next year will introduce further efficiency targets over the next few years

Responses indicate that 45% - of these bodies said they have introduced service modernisation plans, while over four out of ten (43%) had adopted business process re-engineering to meet this ‘transformation’ requirement.

However, finance professionals think that innovative approaches to service delivery partnerships, procurement and funding could help sustain local service resilience in the face of these pressures.

Asked for the main ways in which they could innovate to relieve pressure on their organisation and services, majorities stated that they were examining, respectively, process redesign/re-engineering methods (68%); greater partnership working (66%); and procurement innovation (56%).

Tom Lane, Financial Systems director at Civica said: “The Operational Efficiency Programme has identified ‘breakthrough’ savings of £6.1 billion of savings a year by harnessing the public sector’s collective buying power and by streamlining procurement processes. In addressing targets while maintaining vital local services authorities and their partners will need to demonstrate real leadership. This survey indicates that finance professionals are coming up with practical ideas that will help to deliver procurement-based savings, whether through wider and more effective frameworks or rethinking funding for innovation across the sector and its partners.”
With so much pressure on public sector to deliver value for money, Claritum is helping their Public Sector clients achieve such process efficiencies.