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International Business Collaboration: Procurement Prepared for The International Housing Partnership 16 th October 2012. What are the drivers for a strategic approach to procurement in housing?. Sector Response Coordinated solution for the sector - consortia. Sector characteristics
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International Business Collaboration: Procurement Prepared for The International Housing Partnership 16th October 2012
What are the drivers for a strategic approach to procurement in housing?
Sector Response Coordinated solution for the sector - consortia Sector characteristics Governance Strong sector sponsorship Organisational similarities Our culture Transparency Fairness Value for Money Compliance Public Purse Commercial Billions of $ are being spent in our sector Long term business plans $ New build spend $ Housing management spend $ Planned capital spend $ Government capital spend $ Repairs & maintenance spend $
Characteristics Phase • Supplier courtship • Membership development • Revenue focus Aggregation • Policing • Internal focus • Policies • Compliance Regulation • Wider VfM • Understanding the influence • Localism • Collaborations • Networks Social Value
Characteristics Phase • Action orientated • Improvement • Intelligence • Compliance • Supply chain relationship management • Contract management Insight • Category management • Strategic influence • Leadership • Organisational design • Competitive advantage • 85% spend under management • 81% Compliance Best in Class
The Role of Consortia • Simple “Stack it high” solutions no longer enough • Greater emphasis on wider organisational efficiency of our members • Technology playing a greater part • Demand v Visibility v Control • Increasing use of hybrid solutions amongst the larger providers • Must operate in a “continuous improvement” environment • Guard against too many!
Some Questions • How do your markets differ? • Does the difference matter? • Can you benefit from the experience of our “evolution”?