Brian Cowen (Laois-Offaly, Fianna Fail)

As I indicated, effective and efficient procurement policy procedures and practices can have a significant impact on the accountability and value for money aspects of the purchase of goods and services by the State. The potential for real savings from more effective procurement policies is significant. Achieving savings is important as it frees up resources which can be redirected to the provision of services within organisations. Developments internationally suggest better outcomes may be possible by moving beyond pure compliance with existing rules towards improved procurement policies and practices. While some efforts have been made in this direction, scope for further development exists.

The main aim is to achieve value for money, while having regard to probity and accountability. While price is very important in determining value for money outcomes in procurement and for certain categories of purchases, in particular, it is not the only variable that needs to be considered. Value for money also encompasses non-cost factors. When making purchases of goods or services, consideration must be given to whether they are fit for the purpose for which they are intended, the goods or services are of sufficient quality and the level of service or support provided meets requirements. I accept this is an area for further consideration.

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