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Challenges and opportunities

In today's economic environment, procurement efficiency, effectiveness and agility are critical to the operation of local government bodies. In many cases procurement represents an opportunity to maximise efficiency, reduce cost, mitigate risk and release value without reducing headcount.

Fragmented procurement functions, inappropriate governance and inadequate control over purchasing can lead to inefficiencies, avoidable costs and potential barriers to achieving value for money.

Significant opportunities can be realised through organisational restructuring, the utilisation of technology, e-sourcing, P2P and compliance management. The realisation of these opportunities can support the development of resilient procurement functions that can flex across structures and organisations to leverage scale and maximise commercially efficient operations while breaking down silo activity, centralising expenditure and increasing SME participation.

Local government procurement challenges diagram

How can we help?

In working with you we have seen that savings of 10-15% can be achieved through process and systems rationalisation, outsourcing and functional redesign. Savings above 15% can be achieved through strategic supplier account planning and alliances, technology & intellectual property rights control and early supplier involvement and collaboration.

We can work with you to transform procurement into a strategic, commercially focused activity with strong cross-departmental linkages and financial controls. We bring analytical skills and category management experience together with robust contract and supplier management capabilities to rapidly identify and realise cost savings while improving service levels and mitigating risk.

Contact us

Michael McDaid

Partner, PwC Ireland (Republic of)

Tel: +353 1 792 7950

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