Capital Ambition

Consultancy and Professional Services Procurement Project

March 2010

World class services for a world class city www.capitalambition.gov.uk

The picture in London

London local authorities spent an estimated 320m on consultancy and professional services in 2007/08.

World class services for a world class city www.capitalambition.gov.uk

Common challenges in managing consultancy spend

purchase and use are fragmented across local authorities;

often hidden under outsourcing / project costs;

often booked as agency staff and vice versa; often booked under professional fees and audit; organisations do not categorise it.

World class services for a world class city www.capitalambition.gov.uk

Help to manage consultancy spend

The Consultancy and Professional Services Procurement Project provides five free products / services to help local authorities:
improve results from the purchase and use of consultants; target a 10% reduction in expenditure; tighten the commissioning process; support rates negotiations; allow comparison and transparency; allow for sharing of reports and knowledge.
World class services for a world class city www.capitalambition.gov.uk

Five free consultancy products / services

1. 2. 3. 4. 5. The Consultancy Commissioning Toolkit A Guide to Buying Consultancy The Buying Consultancy Services Workshop The Consultancy Brokerage Model The Consultancy Knowledge Centre

World class services for a world class city www.capitalambition.gov.uk

1. The Consultancy Commissioning Toolkit

practical guidance and resources to review: the approach and procurement process;

the management and evaluation of commissioning consultants.

the toolkit provides: best practice guidance; example documents e.g, project initiation document.

World class services for a world class city www.capitalambition.gov.uk

2. A Guide to Buying Consultancy

supplements the Consultancy Commissioning Toolkit; pragmatic guidance to focus on and identify the results needed; recognises that many purchases are relatively small e.g, up to 75K;

helps to develop an audit trail for each purchase.

World class services for a world class city www.capitalambition.gov.uk

3. Buying Consultancy Services Workshop

one day interactive workshop focusing on:
skills to commission & manage consultancy assignments;

how consultancy services are specified, tendered and commissioned;

commercial benefits and service enhancements.

in-house workshop (800+VAT to train 15 officers).

World class services for a world class city www.capitalambition.gov.uk

4. The Consultancy Brokerage Model

a central point internally for commissioning consultants; determines and challenges the need for consultants;

helps to:
minimise the effects of fragmented practices; control purchases and save cash; improve results and solve problems; develop and use collective capability.

World class services for a world class city www.capitalambition.gov.uk

5. The Consultancy Knowledge Centre (CKC)

a secure web-based database; capability to share information on completed assignments; each organisation uploads and maintains its information;

information includes:
project durations and overall costs; project scope and approach; consultants commissioned and final recommendations.

World class services for a world class city www.capitalambition.gov.uk

Summary
The Consultancy and Professional Services Procurement project offers five free products/services to help reduce spend and improve results from the purchase and use of consultants.

World class services for a world class city www.capitalambition.gov.uk

Further information
For more information on the Consultancy and Professional Services Procurement Project, visit the London Councils website:
http://www.londoncouncils.gov.uk/capitalambition/projects/consultandproprocurement/

Other useful links

Local Government Professional Services Group - http://www.ogc.gov.uk/lgpsg.asp ProClass - the local government-owned procurement classification standard http://proclass.nationaliep.gov.uk

World class services for a world class city www.capitalambition.gov.uk