Oireachtas Joint and Select Committees
Thursday, 15 June 2017
Public Accounts Committee
HSE Financial Statements 2015 and 2016
Clarification of Matters Relating to Meeting of 2 February 2016
9:00 am
Mr. Stephen Mulvany:
It is specifically in respect of sourcing, as in the preparation of contracts and frameworks. We look at this in terms of three overall aspects.
The first is the overall infrastructure. We must have sufficient staff in procurement and sufficient data tools. This is despite the lack of a single financial procurement system. We have to put in significant training. That is the infrastructure aspect. We have done considerable work to improve that. The second aspect relates to sourcing. We simply cannot have compliance with procurement if we do not have sufficient contracts. We have a target for the coming two or three years to get to over 80% compliance in respect of our €2.2. billion in procurement spending.
Our procurement team has indicated that the international evidence suggests if we are at over 85% compliance, then we are in best-practice territory. If the rate is between 55% and 65%, then we are in the average range. If the rate is less than 35%, then the rating is poor. Based on the Comptroller and Auditor General sample – which we do not disagree with – we are below average, certainly.
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