Whole-life costing survey

Whole-life costing survey

24/10/08

During the recent Costing the Future conference a number of delegates were invited to consider a range of key themes with regard to the state of whole-life costing in the public sector. Please find below a summary of their answers.
 

  • To What extent is whole-life costing meaningfully applied in public sector procurement?
    • A common theme amongst respondents answers was that there is considerable inconsistency in the public sectors approach to whole-life costing
    • Over 75% of respondents felt there was definitely room for improvement
       
  • What policy and budgetary barriers are there to the successful implementation of whole life costing in public sector procurement.?
    • Over two thirds of respondents commented that an excessive focus on capital costs and capital savings has led to a short-termist approach to procurement in the public sector
       
  • To what extent does the Treasury Green Book provide sufficient guidance on whole-life costing?
    • All respondents felt that Treasury guidance is insufficient and a number were unaware of the existence of the Green Book
       
  • What role can standards play in driving good procurement?
    • Common themes in response to this question were:
      • They provide a benchmark 
      • They level the playing field
      • They provide a common language
      • They need to be enforced to be effective
         
  • To what extent have the Treasury and the CESP fully addressed the issues of sustainable procurement, in particular the issue of spend to save?
    • None of the respondents felt that the Treasury or the CESP had fully addressed the issue of spend to save