Public Sector Cost Reduction

The pain of deficit reduction is now only too evident. At a time of austerity every £ to be invested in the British economy calls for a £ saved. Every part of the public sector needs to have an immediate and a longer term focus on cost reduction. 15% procurement savings by 2015 should be the minimum goal. This would unlock a total of £37bn of savings.

That quantum of savings needs to come from better procurement and the application of systematic best practice across price, cost and commercial structures. This framework covers immediate fast gains as well as more sophisticated, longer term actions.

Ways in which Future Purchasing can support you

• Rapid mining, cleansing and analysis of spend data.
• Targeted, fast track cost reduction project plans.
• Direct support for cost innovation in major procurements.
• Training the team in the cost management toolkit.

Explore this section for more information on our public sector work in Procurement Transformation , Category Management and Performance Learning, or return to Overview of Public Sector Procurement Reform