Introduction to optimal sourcing

The Economy Drive initiative is an initiative which seeks to ensure that money spent by Public Service organizations delivers the best value for money to both the government and taxpayers. Best sourcing is one of the tools under this initiative which could result in an institution outsourcing certain services to external parties, thus allowing the organization to increase its focus on developing competencies and improving flexibility and scalability of public services. Hence, it is important that public officers explore alternative ways of delivery services to the public and create greater value for money for their organizations

• What is Best Sourcing?
  • Rationale
  • Objectives
  • Principles
  • Challenges facing outsourcing
• Implementing Best Sourcing - An Overview
  • Concepts of Marketing Testing
  • Market Testing Procedures
• Stage 1: Sourcing strategies
• Stage 2: Execution
• Stage 3: Contract management and performance management & review
• Sourcing Strategies
  • Developing a good Organization Sourcing Plan (OSP)
• Features of a good OSP
  • Selecting areas for marketing testing
  • Developing sourcing strategies for selected areas
• Select/identify working group
• Develop sourcing plan
• Develop staff transition framework
• Execution
  • Understanding current operation
  • Improving current operation
  • In-house costing
• Principles
• Methodology (e.g. time period, cost components, computation)
  • Tendering
• Government Procurement Process
• Key components of tender documents
• Issues for service level agreement (e.g. steps in preparation, output definition, performance-based specification)
• Contract Management and Performance Management and Review
  • Developing implementation plans
• Business transition and continuity plan
• Staff transition plan
• Communication plan
  • Contract Management
• Methodology (e.g. understand contract, plan, control, closure)
• Common contractual issues faced
  • Post Implementation
• Determining efficiency, effectiveness and economy
• Longer term evaluation
• Other Issues
  • Risk Management
  • Legal Issues
  • Best Practices and Case Studies