Defining and delivering ICT procurement for the digital age

The business challenge

We were asked by an Australian State Government to structure and deliver on their ICT procurement transformation agenda. Their selection was based on our track record of delivering successful and sustainable procurement reform for Federal government and corporates like ANZ.

Frustrations voiced by buyers and suppliers alike included unreliable procurement data; complex contracting that failed to reflect current needs; an unwieldy and confusing mandatory panel; lengthy, fragmented and non-digital processes, and inadequate ways to connect buyers and sellers.

The work

We swiftly reviewed the third party cost base and delivered practical, prioritised initiatives to reduce total spend by 7%, also introducing analytics to improve future technology expense segmentation.

We simplified technology contracting to reduce procurement cycle times and to encourage government engagement with smaller suppliers in the local economy.

We delivered a technology and business architecture to better orchestrate IT procurement, that also permitted the customer to retire two existing platforms.

Leading and coaching a non-technical in-house team, we delivered the most urgent components of the new platform, buy.nsw.

For the first time, buyers across government could search for and see qualified IT suppliers online, and could browse and compare Cloud Services offerings in a marketplace that aimed to reduce cloud procurement cycle times by 40%. The new platform was debuted at CeBIT by the Minister only 8 weeks after it was proposed.

The sustainable outcomes

  • Commercial and contractual strategies, including plain language contracts, that support ICT’s policies, standards and future procurement needs
  • Technology that connects buyers and sellers simply and well, and is now being extended to non-ICT procurement based on our roadmap and architecture playbooks
  • $138M of savings opportunity captured in a forward procurement plan, creating a large financial program nett positive
  • Greater visibility and opportunity for SME and diversity providers
  • Data informed procurement decision making through accurate procurement analytics
  • Process and rule simplification that cuts through procurement complexity without quality compromises
  • Invested stakeholders from agencies and industry, and an inhouse team who have mostly been promoted based on their new skills