Local Government Procurement

From the CEO’s Desk

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From the CEO’s Desk

LGP has wrapped up a highly successful 2023 financial year.  Care of the support we received from our councils and suppliers over the past 12months we managed over $870m in spend under our contracts.  This is up $100m on last year, we are very grateful for the trust given to LGP to manage council spend and rate payers money.

Some other highlights for LGP over the last year include:
  1. Designing our new 2023-2026 Strategic Plan to direct and grow our business.
  2. Launches Release 2 of our Procurement Capability Grant Program.
  3. Commenced our Indigenous Procurement Program for local government.
  4. Commissioned our first Artificial Intelligence project to automate data collection.
  5. By invitation LGP joined the NSW Anti-slavery Commissioners Working Party.
  6. Completed year 1 of our Cyber Security Program to make our business safe.
  7. Initiated our new round of Future Leaders through our internal Leadership Program.

Last month we shared the amazing response to Release 2 of our Procurement Capability Grant Program, receiving 68 submissions valued at over $1m.  We are very pleased to share that 12 new procurement capability projects have been approved, collectively valued at $95,000.

Some of these recipients include councils such as Lismore, Walcha, Yass Valley, Bathurst, Murrumbidgee, Northern Rivers Inland Waste.  We are also supporting projects for Central NSW Joint Organisation and Canberra Region Joint Organisation.  The project themes include training, modern slavery supply chain risk assessment, procurement framework reviews and technology enhancement.  We look forward to sharing the outcomes out program can help these organisations achieve over the next 12 months.

As we travel around the state with our very well attended Network Meetings, we are conscious many procurement people are being engaged by their executives on the required modern slavery statement for the FY23 Annual Report for council.  LGP is working very closely with the Anti-slavery Commissioner, if you need assistance from LGP on crafting this statement around detection and prevention of modern slavery in your supply chain, please reach out.  The LGP Consulting team is happy to take a call and help guide what might need to be included.

The Tendering & Contracting team has and will be very busy over the next few months.  Off the back of council feedback, we are actively working on expanding the scope on a variety of contracts in the Human Resources, IT and Infrastructure categories.  Please chat to your Business Development Manager to find out more.

We are also implementing a new concept called ‘dynamic contracting’, where LGP is evolving the flexibility of our panel contracts.  This concept is allowing select contracts to accept suppliers on to our panels in a progressive process, not having to wait for the 3 years until we go back out to market.  Dynamic Contracting can see high performing suppliers to remain on our contract, with updated products, services and pricing for up to 10 years.

For the first time suppliers have a great opportunity to avoid multiple tender processes over the next 10 years if we stayed with LGP’s current approach of renewing contracts after 3 years.  The initial response from suppliers has been very positive, with all being very keen to perform, and build a long term profile on the LGP contract to support NSW councils.

Our 2023 Annual Conference is rapidly approaching, with the agenda set and speakers booked, we are now looking to open up for delegate registrations. Our theme is year is Connect, Leverage, Achieve.  If you are interested in coming along please click here.

The 2023 LGP Procurement Awards are now open for your submission.

Every year we recognise our Supplier of the Year, Sustainable Procurement Award, New Procurement Professional, and our major award being the Outstanding Procurement Professional.  This is your opportunity to recognise and celebrate people or teams who delivered something outstanding that you want to share.  Please start working on your award submission by clicking here.

Thank you,
Luke Kenny

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