04 March 2005
Schools and colleges are not doing enough to ensure that they purchase everything from photocopiers to supply teachers cost-effectively, according to the man heading education's procurement efficiency drive.
Paul Neill, interim director of the Department for Education and Skills' new Centre for Procurement Performance, told Public Finance that although there were pockets of good practice across the schools' sector, there was 'undoubtedly room for improvement'.
The DfES is charged with finding £4.3bn in annual efficiency gains by 2007/08. Of this, approximately £1.5bn is to come from procurement savings, with schools, colleges, universities and local education authorities all expected to play their part.
According to Neill, this target is achievable. 'There's lots of scope out there to improve procurement. There's huge potential in further education and in schools,' he said.
The CPP, which begins work on April 1, will aim to steer schools and colleges towards the best procurement opportunities, working closely with the Office of Government Commerce and, where possible, 'piggybacking' on to deals negotiated by them.
The current state of schools' procurement presented a 'mixed picture', Neill said, with some schools failing to take advantage of deals available to them.
School insurance, supply teaching, information and communications technology, utilities and stationery have all been identified as areas where significant procurement savings can be made.
Neill said the CPP would adopt a 'mix and match' approach to helping schools out. 'It won't be one-size fits all. In some cases, it will just be pointing schools to existing areas of good practice. In some cases, we might look at putting new deals in place.'
Further education is also an area of concern with few colleges having a head of procurement in place, Neill said. 'We want to work with further education institutions to [help them] take procurement more seriously.'
Stakeholders are cautiously supportive of the initiative but some have indicated that they would oppose any attempt to make them comply with deals flagged up by the CPP.
Martin Ward, deputy general secretary of the Secondary Heads Association, told PF: 'Any compulsion or leverage intended to ensure that schools do make use of [the CPP] would work against the interests of the education service and would be resisted.'
But Neill insisted that the CPP would not be punishing schools found to be dragging their feet. With a staff of just 19, the Sheffield-based team will be too small to monitor progress on a school-by-school basis, he said.
'I think the key challenge is making sure we present the CPP positively. It hasn't got all the answers. It genuinely is there to facilitate and persuade.'
Neill added that there was a 'big carrot' for schools to get to grips with procurement because they will be able to keep hold of any savings they make.
A permanent director of the CPP is currently being recruited and interviews are due to take place next week.
PFmar2005
