What factors influence your decision when you’re considering where to procure financial and professional services from?

Tim Newns,
MIDAS



Important factors when procuring professional services:
 
From a public sector perspective, procurement processes can be quite different from those of the private sector, even though the general principles remain the same.
 
Value for money is the key part of any decision making process as the public purse is paying and therefore the expenditure must have transparent and justifiable cause and outcomes which means maximising the return on investment - much like the private sector.
 
This does not mean that cost is the key driver therefore although it would be the deciding factor between two equal tenders obviously. Other aspects such as ability to deliver to budget, on time and to the quality required is pivotal in any procurement decision. In association with this is therefore risk, i.e. the risk of the non-completion of the work or the work being incorrect and what impact it may have on the organisation both operationally and in terms of reputation.
 
What additional added value can the company bring in terms of reputation (will their brand bring further credibility to ours for example?), experience and also the professionalism of the individuals involved. Rapport is vital for a successful piece of work to be delivered in terms of understanding the needs of the client and being able to develop these in a positive and timely manner.
 
Response to tender in terms of speed and quality is so often a good indicator of whether the relationship will work and the reliability of the tendee. I lose count of the number of times we have to chase people to get tenders in, sometimes well beyond the deadline but again, operating within the public sector we have to have a minimum of 3 tenders for any contract and therefore cannot proceed until we have received at least that number.
 
In summary therefore, key factors would be value for money, ability to deliver on time and on budget, reputation, risk and rapport.