Gap analysis for procurement accreditation

Conducting gap analysis for procurement accreditation to be able to independently procure contracts

Situation

The State Government telecommunications organisation has an annual spend made up of mostly goods and services, but also construction-related contracts. Most of the expenditure relates to the Network Delivery Projects. As a currently unaccredited agency, the client undertakes its procurement together with assurance partners for construction. Additionally, it works with a State department’s procurement team for goods and services. An arm of the client manages all procurement and property functions, including contract management. Gap Analysis for Accreditation was essential in assessing these procurement processes.

Given recent changes in the machinery of government that led to additional independence for the client and additional certainty that the State Government will retain the accreditation schemes, the client matured its procurement model. This project looked to obtain both procurement accreditation (Goods and Services, and Construction). As a result, it will allow the client to use its internal expertise of the market to independently procure all these contracts.

Task

The client engaged Grosvenor to support it in its procurement uplift journey. This is to be delivered in 3 stages:

›        Stage 1: Gap analysis and report (this project)

›        Stage 2: Gap closure and uplift implementation

›        Stage 3: Formal assessment and Procurement Board submissions

This case study focuses on the first stage of the procurement uplift journey. It covers the gap analysis and report, and demonstrates the value of Gap Analysis for Accreditation in building the case for internal capability.

Using the two State Government Procurement Accreditation tools (Goods and Services, and Construction) Grosvenor reviewed the client’s procurement function. In addition, Grosvenor conducted a gap analysis and created an improvement roadmap. This comprehensive approach highlights the importance of Gap Analysis for Accreditation at each stage.

Approach

1. Document review and consultations

›        Informed by documentation, consultations and system walk throughs with various stakeholders, Grosvenor completed an assessment against the NSW Goods and Services Accreditation Tool. Additionally, the assessment used the NSW Construction Procurement Accreditation Tool.

2. Current state gap agreement

›        Grosvenor, along with the project team, reviewed findings across all requirements of both Goods and Services and Construction. Moreover, they conducted validation workshops to ensure accuracy.

›        Grosvenor developed a full suite of 30 recommendations required to close the gaps: 11 simple, 8 medium, 2 complex and 9 requiring no additional effort. Therefore, Gap Analysis for Accreditation was critical in identifying these targeted recommendations.

›        The more complex recommendations focused on establishing a procurement functional strategy and developing a procurement and contract management manual.

3. Improvement Roadmap

›        Based on the agreed gaps, Grosvenor developed a 9-week improvement roadmap to guide the client to close the gaps. This will help mitigate risks in preparation for Goods and Services and Construction accreditation applications.

Result

Completion of Stage 1 provided the client with a clear, structured understanding of its current procurement maturity. It also gave insight into the specific actions required to progress toward accreditation. The gap analysis created a roadmap that the client can now use to confidently enter Stage 2 (gap closure). In addition, there is now clarity on priorities, effort levels, and resourcing needs.

The evidence‑based recommendations and uplift plan gave the client a strong foundation for improving its procurement capability, standardising its processes, and strengthening compliance with State Government requirements. Gap Analysis for Accreditation has ultimately set the client up for success as it approaches formal applications and prepares for independent procurement.

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Start a conversation with Nicholas Leask, Procurement Lead