PASA recently caught up with Teresa Scott, CEO of the Australian Procurement & Construction Council (APCC), to discuss what the new Australian Public Service (APS) Procurement & Contract Management Profession (PCM) means for procurement in Australia.
The recently launched PCM is open to all Australian Public Service officials who are interested in developing their procurement and contract management skills.
Those who join the scheme will receive updates from senior leaders on the latest policy developments and news in the discipline, be kept informed on the latest learning and development opportunities, and have greater access to networking with colleagues across the APS.
There will also be the opportunity to hear from buying, sourcing and business development experts across public and private sectors.
“Public procurement is a $410 billion profession in Australia & New Zealand and has become a central lever of government to manage major issues such as inflation, health, the environment and social outcomes,” said Teresa.
“Government procurement accounts for approximately 17 percent of Australia’s GDP as of 2021. The Commonwealth procurement spend comprises approximately 41 percent of that 17 percent.
“Such a significant spend underscores the critical importance of efficient, transparent and value-driven procurement practices. Professionalising procurement will ensure that those managing significant public sector spending are equipped with the skills and expertise to make informed, strategic decisions that maximise value for money.”
Global Uncertainties
Teresa highlighted that global supply chains have been heavily impacted by ongoing disruptions like COVID-19, geopolitical tensions and natural disasters, leading to delays and unpredictable pricing.
“Economic volatility, rising inflation and fluctuating commodity prices make it harder for procurement teams to negotiate favourable deals and maintain cost stability,” she said.
“By professionalising public procurement, professionals will be equipped with the skills and knowledge to develop more resilient sourcing strategies thus better navigate global uncertainties.
“Additionally, professionalised procurement teams are better equipped to adopt stronger risk management practices, ensuring more effective responses to unforeseen events and minimising the negative impact on procurement outcomes.”
Governance, Risk, Compliance and Integrity
Public procurement is now facing an expanding and complex landscape of risks that not only threaten the procurement process but also jeopardise service and project delivery.
“These risks span from traditional concerns around integrity and compliance to more modern, pressing threats like IT governance issues, cybersecurity, privacy breaches, reputational damage and disruptions in supply chain reliability,” explained Teresa.
“As these risks evolve, they demand heightened vigilance, adaptability and robust governance to protect the integrity and outcomes of public procurement.
“Professionalising public procurement would enhance governance, risk, compliance and integrity by ensuring consistent standards and best practices across all procurement activities, reducing the risk of errors and misconduct. With trained and certified professionals, agencies are better equipped to navigate complex regulatory environments and ensure compliance with legal and ethical requirements.”
Shortage of Critical Talent and Skills
Procurement is currently facing a critical skills and talent shortage, but Teresa says the introduction of the PCM will establish clear standards, certifications and career pathways that will assist to attract and retain skilled individuals.
“Professionalising procurement would increase its recognition as a vital, specialised field, improving the perception of the role and making it more appealing to new talent,” she added.
Societal Outcomes
When it comes to societal outcomes, Teresa says public procurement strategies are progressively incorporating societal objectives.
“Climate sustainability objectives, green economy initiatives, small to medium-sized enterprise (SME) assistance, social equity through support of ethical and fair business and technological & innovation creation are all opportunities pursued through the use of procurement,” she said.
“A procurement professional is better equipped to integrate ethical, environmental and social criteria into procurement.”
Find out more about the APS Procurement & Contract Management Profession here.
What are the benefits of the new APS Procurement and Contract Management Profession?
PASA recently caught up with Teresa Scott, CEO of the Australian Procurement & Construction Council (APCC), to discuss what the new Australian Public Service (APS) Procurement & Contract Management Profession (PCM) means for procurement in Australia.
The recently launched PCM is open to all Australian Public Service officials who are interested in developing their procurement and contract management skills.
Those who join the scheme will receive updates from senior leaders on the latest policy developments and news in the discipline, be kept informed on the latest learning and development opportunities, and have greater access to networking with colleagues across the APS.
There will also be the opportunity to hear from buying, sourcing and business development experts across public and private sectors.
“Public procurement is a $410 billion profession in Australia & New Zealand and has become a central lever of government to manage major issues such as inflation, health, the environment and social outcomes,” said Teresa.
“Government procurement accounts for approximately 17 percent of Australia’s GDP as of 2021. The Commonwealth procurement spend comprises approximately 41 percent of that 17 percent.
“Such a significant spend underscores the critical importance of efficient, transparent and value-driven procurement practices. Professionalising procurement will ensure that those managing significant public sector spending are equipped with the skills and expertise to make informed, strategic decisions that maximise value for money.”
Global Uncertainties
Teresa highlighted that global supply chains have been heavily impacted by ongoing disruptions like COVID-19, geopolitical tensions and natural disasters, leading to delays and unpredictable pricing.
“Economic volatility, rising inflation and fluctuating commodity prices make it harder for procurement teams to negotiate favourable deals and maintain cost stability,” she said.
“By professionalising public procurement, professionals will be equipped with the skills and knowledge to develop more resilient sourcing strategies thus better navigate global uncertainties.
“Additionally, professionalised procurement teams are better equipped to adopt stronger risk management practices, ensuring more effective responses to unforeseen events and minimising the negative impact on procurement outcomes.”
Governance, Risk, Compliance and Integrity
Public procurement is now facing an expanding and complex landscape of risks that not only threaten the procurement process but also jeopardise service and project delivery.
“These risks span from traditional concerns around integrity and compliance to more modern, pressing threats like IT governance issues, cybersecurity, privacy breaches, reputational damage and disruptions in supply chain reliability,” explained Teresa.
“As these risks evolve, they demand heightened vigilance, adaptability and robust governance to protect the integrity and outcomes of public procurement.
“Professionalising public procurement would enhance governance, risk, compliance and integrity by ensuring consistent standards and best practices across all procurement activities, reducing the risk of errors and misconduct. With trained and certified professionals, agencies are better equipped to navigate complex regulatory environments and ensure compliance with legal and ethical requirements.”
Shortage of Critical Talent and Skills
Procurement is currently facing a critical skills and talent shortage, but Teresa says the introduction of the PCM will establish clear standards, certifications and career pathways that will assist to attract and retain skilled individuals.
“Professionalising procurement would increase its recognition as a vital, specialised field, improving the perception of the role and making it more appealing to new talent,” she added.
Societal Outcomes
When it comes to societal outcomes, Teresa says public procurement strategies are progressively incorporating societal objectives.
“Climate sustainability objectives, green economy initiatives, small to medium-sized enterprise (SME) assistance, social equity through support of ethical and fair business and technological & innovation creation are all opportunities pursued through the use of procurement,” she said.
“A procurement professional is better equipped to integrate ethical, environmental and social criteria into procurement.”
Find out more about the APS Procurement & Contract Management Profession here.