Good practice guidance for managing the commercial lifecycle will provide updated insight across each stage of the commercial lifecycle.
Commercial capability and contract management
Central government manages contracts with the private and third sector worth about £40 billion annually. Such contracts include providing services to citizens, military equipment, back office functions, custodial services, temporary workers and consultancy.
Poor management of commercial relationships has been a major cause of failures to achieve value for money in government projects and operations. To address this, government is currently reforming its commercial profession, including centralising the purchase of common goods and services, improving departments' capability and increasing its understanding of its key suppliers. In doing so it could benefit from our work identifying good practice in five key areas: government’s commercial capability, including governance, systems, information and people capability; market management including ways to encourage innovation and avoid over-dependence on too few suppliers; effective procurement approaches; good contract management; and ensuring government suppliers are transparent and accountable.
Key NAO publications:
- A Short Guide to Commercial relationships (Dec 2017)
- Commercial and contract management: insights and emerging best practice (Nov 2016)
- Transforming government's contract management (Sep 2014)
- The role of major contractors in the delivery of public services (Nov 2013)
- Managing government suppliers (Nov 2013)
This investigation sets out how the Department for Education set up and implemented the free school meals voucher scheme.
2 Dec 2020
Over many years the NAO has reported on delays and cost overruns across significant Ministry of Defence (MoD) equipment procurement programmes, such as boats 4-7 of the Astute attack submarine (£1 billion over budget) and the Queen Elizabeth aircraft carriers (£2.75 billion over budget). Our recent report Defence Capabilities: delivering what was promised, found that … Read more
This report examines the Nuclear Decommissioning Authority’s management of the renegotiated contract in place with Cavendish Fluor Partnership.
1 Oct 2020
This report examines the MoD’s management of the programme since 2017 and the risks towards achieving Carrier Strike’s full capabilities.
26 Jun 2020
This report provides information on managing PFI contracts when they end and considers whether government is preparing for expiry appropriately.
5 Jun 2020
This report examines whether DfT
and HS2 Ltd have protected value for money so far in their stewardship of HS2.
24 Jan 2020
Carillion going into liquidation left two new hospitals unfinished. The projects will now be completed with public finance.
17 Jan 2020
This report examines the Ministry of Defence’s management of its large and complex infrastructure projects at nuclear-regulated sites.
10 Jan 2020
This memorandum focuses on the design, operation and oversight of the Home Office’s contract with G4S to run Brook House.
22 Jul 2019