Procurement Excellence Healthcheck

Questions

1. Does your organisation’s Procurement Function have responsibility for at least 50% of procurement influencible spend?


2. Does your organisation’s purchasing function consider any supply side issues at a senior management level?


3. Does your organisation’s procurement function clearly identify the team member(s) responsible for procurement activity and communicate their successes and role to the rest of the organisation?


4. Does your organisation have a procurement team that can demonstrate some level of expertise?


5. Does the procurement team consult with key stakeholders in the development of procurement policy and procedures?


6. Does your organisation have a communicated procurement policy that other teams have responded to?


7. Does your organisation have a communicated set of procurement procedures/guide?


8. Does your organisation have a process for developing procurement strategies and objectives?


9. Does your organisation have clear and demonstrable segregation of duties/authorities in place and working effectively?


10. Does your organisation have clarity of specification within all purchase orders?


11. Does your organisation have key performance indicators (KPIs) developed for purchases which can be monitored over the lifetime of a contract and including quality, time and cost?


12. Does your organisation have an agreed set of terms and conditions in place between your organisation and the supplier?


13. Does your organisation have a clear decision making process for the type of supplier contract to be used?


14. Can your procurement function demonstrate that three-way matching is in place for most purchases?


15. Can you demonstrate that your procurement function acts within local, regional, national and international legal requirements, where applicable?


16. Does your procurement function have a process which enables suppliers to be treated fairly?


17. Does your procurement function have a process for procurement risk assessment and mitigation?


18. Does your organisation have management information including spend records?


19. Does your organisation’s procurement function keep records in line with legal requirements and support policy objectives?


20. Have you identified key suppliers and have a method for engaging and developing these suppliers?