Procurement Governance Health Checks
Relevant for Small and Medium Sized Enterprises (SME’s) and Similar Organisations
Private sector SME’s, and similar sized public sector organisations with autonomous procurement departments such as Local Authorities, NHS Trusts and Police Authorities.
Have you thought about the risks associated with potentially inadequate or ineffective procurement governance?
What do we mean by the term “governance”?
“Governance is the act of governing. In the case of a business or of a non-profit organisation, governance relates to consistent management, cohesive policies, guidance, processes and decision rights for a given area of responsibility. Corporate governance consists of a set of processes, customs, policies, laws and institutions affecting the way people direct, administer or control a corporation”. (Definition: Wikipedia)
In the light of recent supply chain disruptions which have hit the front pages of national newspapers and TV (where does our meat come from?) and other recent procurement failures, isn’t it time to review your procurement function through a pair of governance spectacles?
Typical procurement failings and possible outcomes
|Typical Failures||Possible Outcomes|
|Poor governance||Poor stakeholder confidence|
|No governance||Reduced share value|
|Lack of management controls||Special audits|
|Lack of awareness||Special investigations/inquests|
|Lack of understanding||Company fraud|
|Taking unacceptable risks||Litigation|
|No risk strategy in place||Fines|
|Bad press or worse!|
Benefits of Qube’s Procurement Governance Health Check
The main benefit of carrying out a Procurement Governance Health Check is to provide a process of due diligence of your procurement and supply chain activities and to identify gaps which should be closed and opportunities for improvement.
It is about:
1 Business efficacy
2 Controls that are appropriate to your organisation
3 A simple procurement framework that is easily understood by the whole organisation
4 A management review process of the entire procurement infrastructure
5 The ability to show the world how good your procurement function is
and all of this will, in turn:
1 Add value to your organisation
2 Increase your attractiveness to your clients
3 Increase business competitiveness and differential advantage
4 Give your sales team an added boost of confidence
5 Add to your organisation’s reputation
Try our FREE online Procurement Governance Health Check Questionnaire featuring “Top 30” questions to assess your organisation’s governance status:
FREE Procurement Governance Health Check
Qube has developed two options focussed specifically for SME’s starting from a simple but thorough assessment through to a comprehensive study of your procurement and supply chain activities.1 Day Consultancy - £950 + VAT + Expenses