NPPS Stakeholder Survey

Question 1: Maximising value for money

How can mission-driven procurement help us achieve greater value for money for the taxpayer in the delivery of public services?

NPPS should recognise the strategic role of procurement to support the missions. This function should not be relegated to the back office but embraced as a key way to achieving greater vfm, added social value and generate inclusive local economic growth. Investment should be made to practically resourcing the mission driven approach, initially through funded e-learning.
Encouraging SME and VCFSE to bid by removing barriers such as highly administrative processes
Embedding consideration of ‘Future Generations’ (as set out in Welsh legislation) could help focus current procurement to deliver additional value in the future
Lack of resource within the regulators eg Environment Agency, means that often there is no agreement on the constraints for large infrastructure projects by the regulators. This results in lack of clarity in tenders and suppliers have to add in risk premiums, or worse, there is a requirement for compensation conversations further down the line because the constraints were different to what was thought.
Considering whether services can be insourced to deliver better vfm
Multi-year funding settlements will enable councils to agree longer term contracts
Government needs to give urgent funding to councils to invest in ‘prevention’, for example in social care services, which will help to reduce costs to the public purse.
Lack of proper access to data on markets and suppliers means vfm is affected. There needs to be more support for councils to help resolve the ‘divide and conquer’ approach taken by some ‘national’ suppliers, with councils having a voice in which markets and suppliers are considered for this approach.
Whilst procurement can support delivery of the Government’s missions where appropriate, there needs to be adequate recognition of procurement being a fundamental vehicle for delivery of value through all contracted services whether related to national or local missions or not.

Question 2: Delivering social value

How can we use public procurement to achieve greater social value to support delivery of the missions

Focus on outcomes rather than costs. Thinking about social value as a fundamental outcome at the beginning of the process rather than as an add-on, shaping markets collaboratively as part of the commissioning process
Setting out clear messages for our communities and suppliers about what specific social value is needed within the commissioning process. This would help them to respond more appropriately.
Thinking about breaking down barriers to opportunities at a local level, recognising differences in different communities and focussing on those.
Linking additional social value through good employment (getting ‘NEETs’ into apprenticeships for example).
Funding cross public sector initiatives like the County Durham Pound that has been proven to deliver more, and more appropriate social value for the Durham community.
Considering reporting of social value in terms of quantitative and qualitative measures as well as impact. Recognising that some (often people related) contracts are inherently linked to social value.

Question 3: Enabling collaboration

How can we accelerate collaboration in public procurement (between central and local government, between local anchor partners (e.g. in health and education) and in partnership with suppliers), to support delivery of the missions?

Recognising that collaboration already takes place, we should enable enhanced cross sector working. Understanding the implication of our actions on other parts of the public sector (eg one sector paying double the price for social care beds than another sector competing for the same provision) and with our local anchor institutions. Thinking more about ‘communities of provision’ and the local proposition.
Removing barriers to collaboration such as single year funding and focusing more on prevention.
Balancing large-scale collaboration with the SME agenda is crucial.
Repealing legislation such as s85 of the Procurement Act (disallowing English councils from restricting the submission of below-threshold tenders by reference to an assessment of a supplier’s suitability to perform the contract. and replacing with guidance
Reconsidering policies about making councils compete for short term grant funding that does not allow for proper pre-procurement to take place within the timescales, Ensuring that central departments properly identify procurement routes for grant funded programmes at the outset rather than expecting every council to set up their own individual contracts.
Not thinking about hard borders for collaboration (eg proposals relating to repeal of S17 Local Government Act 1988), sometimes it is more appropriate to collaborate with neighbours and others outside your own county or region, for example a coastal authority on the East coast with a coastal authority on the south coast could make more sense.

Question 4: Fostering innovation

How can we (i) help policy-makers/commissioners identify challenges that can be put to the market to support mission outcomes through innovation, and (ii) improve commercial capability to deliver mission-driven procurement?

Allowing central Government departments a higher level of responsibility for programmes they fund within the wider public sector. Constant return to Treasury for permission to do things differently increases barriers to participation and causes lower risk appetite for innovation.
Exploiting AI analytics to look into supply chains to identify levers to economic growth and better identify where SME’s and VCFSEs could deliver better services through the supply chain
Mission-driven procurement is a relatively new concept which could help councils to deliver some excellent outcomes. Delivery of funded training on mission driven procurement, across the public sector is needed. Early thought should also be given to the wider issue of public sector competition for scarce people resources that cause recruitment and retention issues and weaken capability
We should recognise that commercial capability isn't just about the capability of the procurement team. There are many other people within the sector that need an uplift in capability. In local government these could be specifiers, economic development officers, service heads, contract managers, commissioners etc.
Consider whether an ‘insourcing first’ approach could effectively stifle innovation and recognition that organisations need to be more strategic about sourcing decisions, taking a common-sense approach depending on the relevant circumstances for their place and communities and not a one size fits all process.