Agenda item

To receive a report that sets out the next steps to develop a commercial approach through effective contract management practice

The Committee received a report setting out the next steps in developing KCC’s commercial approach through effective contract management practice.

Mr John Simmonds, Deputy Leader and Cabinet Member for Finance and Procurement introduced the report. He said that with the professionalisation of the Council’s procurement and commissioning functions it naturally followed that work should be undertaken to improve the Council’s contract management function to ensure successful delivery of services as commissioned. 

Vincent Godfrey, newly appointed Interim Director of Strategic Business Development and Intelligence spoke to the item.  He briefly set out his career to date and explained that his role at KCC would be to lead on a more effective approach to contract management.  He was tasked to ensure that the systems and procedures in place were fit for purpose and in line with the approach agreed by the County Council in December 2015. He described the approach set out in the report, which was a tried and tested approach of contract management based on the National Audit Office (NAO) good practice contract management framework, that would ensure contract managers were held to account effectively and any gaps, intervention and training and support needs could be identified and appropriate action taken.

The matter was opened for discussion and the following questions were raised and comments made by Members and responses received from officers:

      i.        That the report and emphasis on contract management were welcomed.

    ii.        Mr Wedgbury suggested that recommendation 9.1 (1) be amended to include the words ‘and actions’ after ‘reviews’ and this was agreed.

   iii.        That Mr Godfrey would take account of the suite of Highways contracts as part of his review work but that particular issues with individual sites or pieces of work should be reported directly to highways.

 iv.          That a future stage of contract management should involve advice and guidance to organisations commissioned by KCC who subsequently sub-contracted some elements of service delivery to ensure that good contract management was fully embedded at the end of the process.

   v.          That a further report be considered after 4-6 months and the matter added to the work programme accordingly.

  vi.              That working closely with providers to ensure that obligations were clear was a core value of successful contract management and as such Mr Godfrey was happy to accept a proposal from the Committee that contract providers be reminded of their obligations at the start of the review. 

vii.              That the Council was obliged to publish a list of all contracts awarded with a value of over £5,000 which, as a public document, was open to elected Members and members of the public.

viii.              That the Committee would be kept informed of the emerging programme of work in this area and would have the opportunity to comment on and influence that programme.

It was RESOLVED that:

1.    The plans to strengthen the organisation’s approach to contract management through a rolling programme of reviews and actions be noted;

2.    That the proposal to bring a six-monthly update to the Committee to inform its oversight of contract management practice be welcomed and agreed.