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Procurement Benchmarking

The Australian Universities Procurement Consortium, in association with its governing body, Higher Ed Services, was successful in securing a workplace productivity grant of $6.2M to undertake procurement benchmarking exercises across the university sector.

The lead university for the grant, covering funding over three years, is the University of Newcastle.  The ANHEPBP (Australian National Higher Education Procurement Benchmarking Program) will involve other categories over the next two years.

Purchasing Index, a third-party expert in procurement benchmarking has been engaged to do all analyses.

Monash has engaged in all five of the categories benchmarked to date (November 2007).  This covers Office Products, Lab Supplies, Temp (Agency) Staffing, Travel and MFDs (Photocopiers).

In summary, compared to average pricing Monash University's benchmark ratings were as follows.  Not all universities engaged in every category.

Category

Total Monash spend
(amount benchmarked)

Pricing relative to average in sector

Savings opportunity lost relevant to average prices in sector
(on benchmarked products only)

Ranking

Office Products

$3.33M ($2.1M)

0.7% better (lower prices) than average

3.7% ($77,526)

9th out of 24

Lab Supplies

$2.64M ($654K)

2.6% better (lower prices) than average

1.9% ($12,662)

5th out of 17

Temp Staffing

$2.87M ($2.58M)

8.8% better (lower prices) than average

0.2% ($5,659)

2nd out of 14

Travel

$11.1M (n/a)

Not relevant – based on fees and other factors

 

= 2nd out of 21

Monash Procurement has compiled a consolidated document (pdf format) covering the initial four categories benchmarked.

Important Note: These documents are provided for the information of Monash University staff only and are to be held in confidence and not circulated outside of the University without the permission of the Procurement Director.

 

Download ANHEPBP Report (Office Products, Lab Supplies, Temp. Staffing, Travel) 2.5mb

Download Summary Report - Executive Summaries only 409kb