OGC launches new roadmap to achieve better value for money from the £175 billion Government spend on third party goods and services
Released on
30/10/2008
The Office of Government Commerce (OGC) has today outlined its further plans to lead and support the Government in maximising the value and impact of its spend on third party goods and services. Building on the 2007 Transforming Government Procurement initiative, the new work programme also includes a clear approach on how the Government can achieve the best use of the civil estate and meet sustainability objectives.
The plans, published in the OGC's Annual Statement Working together to deliver better value, detail the forward operational focus for the OGC. This includes enabling a step-change in how the Government achieves value for money savings through fostering collaborative procurement of common goods and services, across central Whitehall departments and also the wider public sector. Last year, the collaborative procurement programme delivered savings of £650 million.
The Annual Statement also highlights some of OGC's successes over the past year including:
Establishing a Centre of Expertise in Sustainable Procurement to help Whitehall departments achieve their targets for reducing carbon emissions and waste across the government estate, and co-ordinating a cross-Government Delivery Plan for these goals;
Delivering the first round of Procurement Capability Reviews for Government departments, which are intensive independent reviews of Government department's commercial capability that result in improvement plans to address shortfalls identified;
Achieving the milestone of overseeing the relocation over 15,700 civil service posts outside London and the South East, which is almost 79% of the target to relocate 20,000 posts by 2010;
Improving the delivery confidence of Government programmes and projects through enhancing the GatewayT Review process;
Launching a new online Procurement Policy and Standards Framework.
Angela Eagle, Exchequer Secretary to the Treasury said: "As a Government we are determined to give taxpayers the best possible value for their money. With major construction projects on the horizon, getting public sector procurement right has never been more important.
"Moving forward, and in supporting the wider economy, that also means using our spending power in delivering better value in improved procurement approaches across the social and environmental arena."
Nigel Smith, OGC's Chief Executive, said: "The scale of procurement in the public sector is huge, in terms of spend, and also of the potential impact and benefits to the whole of the UK. The current economic climate and the targets set out in the Comprehensive Spending Review 2007 mean the public sector has to work even harder and within a tighter spending regime to deliver world-class public services. And this is where the work of departments and a dynamic and more focused OGC can help to deliver on the Government's agenda."
As part of its forward strategy the OGC is also looking to develop more engagement with the wider public sector, including local authorities and public service delivery bodies, to foster wider take up of the collaborative procurement agenda and to promote the use of existing best practice and purchasing contracts and deals.
The OGC's Annual Statement can be found on the OGC website.
Notes to editor
About OGC
The Office of Government Commerce (OGC) is an independent office of HM Treasury, established to help Government deliver best value from its spending. The OGC works with central Government departments and other public sector organisations to ensure the achievement of six key goals:
Delivery of value for money from third party spend;
Delivery of projects to time, quality and cost, realising benefits;
Getting the best from the Government's £30bn estate;
Improving the sustainability of the Government estate and operations, including reducing carbon emissions by 12.5% by 2010-11, through stronger performance management and guidance;
Helping achieve delivery of further Government policy goals, including innovation, equality, and support for small and medium enterprises (SMEs);
And driving forward the improvement of central Government capability in procurement, project and programme management, and estates management through the development of people skills, processes and tools.
OGC provides policy standards and guidance on best practice in procurement, projects and estate management, and monitors and challenges departments' performance against these standards, grounded in an evidence base of information and assurance. It promotes and fosters collaborative procurement across the public sector to deliver better value for money and better public services; and it provides innovative ways to develop Government's commercial and procurement capability, including leadership of the Government Procurement Service.
Media Contact: Liam English T: 020 7271 1318 F: 020 7271 1345 E: press@ogc.gsi.gov.uk
