The City of London Corporation today awarded Accenture a five-year contract to help it reduce its procurement costs by creating a procurement shared service centre. The corporation hopes to save more than £30m over the period.
Accenture will have a proportion of its fees directly tied to the savings achieved. It will initially focus on delivering strategic sourcing – savings from across the City’s diverse base of suppliers – and by transforming the way that the City manages its procurement operations.
A new central City of London Procurement Service will be created to undertake all procurement and procure- to-pay functions. This service will be delivered by a joint team from the City and Accenture for the duration of the contract.
“The City is seeking to achieve savings and drive efficiencies through the way in which it conducts its procurement and procure-to-pay functions,” said Chris Bilsland, the City of London Corporation’s financial director.
What do you think of this? Join the discussion at our Linked In group.