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Departmental Procurement

Volume 499: debated on Wednesday 11 November 2009

To ask the Secretary of State for the Home Department what his latest assessment is of the effectiveness and efficiency of his Department's procurement of technology and equipment. (297809)

My overall assessment of the Department's procurement of technology and equipment is of a strong performing, effective and efficient commercial capability. The assessment is based on a number of factors, put in place over the past two years, which are bearing positive results. These include:

The development and implementation of a three year procurement strategy, approved by the board in April 2007, which focuses on delivering holistic procurement, with as much focus on supplier/contract management and buying operations as on sourcing contracts;

The implementation and operation of category segmentation into strategic and non-strategic areas, with a professional organisation designed and in place to manage spend and suppliers accordingly;

Investments made to upgrade the procurement capability, specifically through the creation of a procurement centre of excellence and upgrading technology in support of eProcurement applications;

The Office of Government Commerce procurement capability review which ranked the Department the second best performing Government Department;

Independent research from Ipsos/Mori reported that 93 per cent. of suppliers rate their relationship with the Department to be good or excellent;

The National Audit Office review of managing major contracts commended the Department for implementing and managing successful benchmarking of major IT contracts;

The Department was the first central Government Department to have Chartered Institute of Purchasing and Supply (CIPS) accredited policies and procedures in place;

The work by the Identity and Passport Service in sourcing the strategic framework for the national identity scheme has been recognised across Government as an exemplar to manage the procurement and suppliers of large scale complex IT programmes;

The Department has recently concluded successful negotiations with its two major suppliers of IT services (Fujitsu and Atos Origin), which will result in contractually agreed savings of £112 million over the next six years.