Case study – Spend Analysis & Opportunity Assessment at the University of Sheffield
University of Sheffield identify up to £4.4m of savings and areas for functional improvement through Procura Opportunity Assessment
The University of Sheffield is a world top-100 university and number one in the UK for student satisfaction in the 2014-15 Times Higher Student Experience Survey.
The Head of Procurement wanted two key outputs:
- Visibility of all non-pay spend; and
- An assessment of which categories or spend areas should be targeted as part of a new category management approach to procurement
The scope covered all non-pay expenditure at the University including Revenue, Capex and Grant monies.
A thorough spend analysis was completed using ProcHE categorisation. This was validated with the University.
Procura conducted interviews with the procurement team to gather context, assessed procurement capability and processes and completed a comprehensive opportunity assessment.
The spend analysis and opportunity assessment process had three key deliverables for the University:
- Spend analysis providing complete transparency of non-pay spend in terms of spend, categories and suppliers. The spend analysis also highlighted significant areas of spend not currently influenced by procurement
- Opportunity assessment highlighting 16 category initiatives for the function to target as part of it’s new category management approach. This included outline strategies and a prioritised workplan to deliver up to £4.4m of savings
- Capability assessment against Procura Standards of Procurement which highlighted a number of improvement areas across 6 key “enablers” of procurement.
Procura left the University with two headline recommendations: complete a cost reduction programme to deliver up to £4.4m of savings and a procurement transformation to address key enablers such as strategy, sourcing skills and the P2P processClick here to download a PDF of this Case Study
Please contact us for further details.
Call us on: +44 (0)203 693 7275