Why the Public Sector Must Modernise Procurement
Although transformation is a long road, there is much to be gained from modernising tech procurement
Improved spend management, more efficient processes and overall better visibility into supplier relationships is just some of what can be gained through the modernisation of tech procurement, according to this opinion piece, which describes the 'tremendous opportunity for improved spend management, more efficient processes and overall better visibility into supplier relationships', maximising return on every taxpayer dollar.
Among the key learnings, the U.S. government in fiscal 2018 spent over $7 trillion. On average, anywhere from 30 to 40 percent of this money goes toward purchasing – from office supplies and laptops to construction and maintenance services – all in the name of providing the best public services to citizens.
According to a Governing Institute survey, only 35 percent of entity respondents said they have up-to-date spending information and market metrics in their databases even though nearly two-thirds cited such areas as critical to success.transformation and digitization of public sector procurement. Although transformation is a long road, for the public sector it is one that has been long overdue for an overhaul.
1. Procurement has become a lot smarter
2. Focus has shifted to the customer
3. Quality and performance have been on the forefront
4. Data is a proven tool
5. Digital talent requirements are understood
The recent partnership between UAE and Saudi includes creating a cryptocurrency to facilitate cross-border payments and a fast-track system to enable an easier flow of goods. Greater economic ties between the UAE and Saudi Arabia will create more cross-border business opportunities for startups and small to medium-sized enterprises (SMEs) and reduce running costs for companies operating in both countries.
With the two GCC states creating a platform that enables UAE and Saudi SMEs to bid for government procurement contracts, it will be vital to consider the most efficient process to enhance this partnership. If both governments take the points raised in the article into consideration, the system could potentially enjoy a smooth and fruitful balance that can fuel both economies.