Unitywater, a statutory body providing water and sewerage services to the Moreton Bay and Sunshine Coast regions of Australia, engaged Charles Kendall Australia (CKA) to compose its Capital Works Annual Procurement Plan. CKA delivered a timely and highly structured procurement plan that clearly outlined scope and spend strategies, while enabling compliance with both state government and Competition Authority policies.

The Challenge

• Communicate key procurement issues to relevant parties.
• Identify opportunities and strategies for planning and project methodologies, with a key focus on expenditure.
• Provide Unitywater with clearer scope and a timely delivery plan of upcoming capital works.

Our Approach

• Stakeholder engagement to identify capital programs and associated procurement activities.
• Review of current procurement initiatives to establish baseline data
• Development of strategies based on key categories within expenditure and procurement/management.
• Review of the 2012-2013 capital works program to establish a structured approach to upcoming projects.

Outcomes

• Capital expenditure profile (including forecasts to 2017) encompassing key project delivery areas across major network growth and renewals projects.
• In-depth description of existing and proposed procurement structure and methodologies, with a corporate-aligned schedule for 2012-2013.
• Summary of key opportunities, including procurement categorisation, planning and joint activities.

LinkWater (now Seqwater), the Queensland Government Statutory Authority responsible for water infrastructure throughout south-east Queensland, engaged Charles Kendall Australia (CKA) to assist with tendering, contract execution, and the development and implementation of a strategic Procure to Pay (P2P) process. CKA delivered a number of critical procurement activities, achieving over $1.6 million in savings for a number of LinkWater's business units over the 2012-13 financial year.

The Challenge

• Provide support in executing several urgent tenders and contracts;
• Develop and implement a strategic P2P process;
• Work in conjunction with the LinkWater procurement team to deliver goods and services contracts and panel arrangements;
• Adhere to and ensure performance within Queensland Government State Procurement Policies and critical timeframes.

Our Approach

• Provide support in executing several urgent tenders and contracts.
• Develop and implement a strategic P2P process.
• Work in conjunction with the LinkWater procurement team to deliver goods and services contracts and panel arrangements.
• Adhere to and ensure performance within Queensland Government State Procurement Policies and critical timeframes.

Outcome

• Successfully delivered over $1.6 million in savings in 2012-13 budget across LinkWater’s Capital Projects, Operational Services and Corporate business units;
• Implemented a best-practice P2P process, driving ongoing long-term value and efficiency in procurement functions across multiple business areas;
• Supported internal procurement staff through execution of implemented changes and improvements.

SunWater Ltd engaged Charles Kendall Australia (CKA) to undertake a review of its procurement process to identify improvements and provide recommendations for better managing its procurement practices with regards to its $7 billion in water infrastructure assets (40% of all water used commercially in Queensland, Australia).

The Challenge

• Review end-to-end procurement processes to identify improvements.
• Increase value for money in procurement, address weaknesses in procurement culture and mitigate associated risks.
• Improve compliance and performance related to procurement practices, including legislative compliance, contractual issues and supply chain vulnerability.

 

Our Approach

• Desktop review of SunWater’s existing processes and 25 contracts across different departments and categories.
• Identify procurement function effectiveness, strengths, gaps and weaknesses via employee surveys.
• Map existing procurement capability against CKA’s Capability Assessment Matrix based on best practices.

 

Outcomes

• Recommendations and pathways for transforming SunWater’s procurement into a strategic function with prescribed medium and long-term goals.
• Recommendations for improved procurement structure and processes, including centre-led structuring supported by policies, procedures and management, plus a framework for implementing supplier/contract/spend measurements, analysis and management.
• Recommendations for equipping staff with required purchasing and contract management skills, with focus on roles/responsibilities and training needs analysis.