Expenditure Analysis

Feb 2007

Read more about our comprehensive set of education and training programmes to support organisations wishing to undertake their own spend analysis.

2006 was a busy year for us in terms of undertaking expenditure analysis. We analysed expenditure for 42 local authorities; 2 counties, 3 unitaries, 13 districts, 22 London boroughs and 2 fire authorities. We have data for 3 or more years for 25 of these authorities, providing valuable trend analysis. Over the last five years we have analysed data from 65 authorities; a total of 150 individual spend analyses!

Our customers have used this data to support a variety of projects including:

  • Identifying savings opportunities and opportunities for collaboration with other authorities and organisations
  • Justifying investment in appropriate systems including e-Procurement and purchasing cards; and in staff and their development
  • Monitoring compliance with policies and procedures and ensuring contribution to strategic/corporate objectives
  • Identifying gaps in the procurement improvement programme and supporting the development of an informed procurement strategy

While this is an important service that we continue to offer, there is absolutely no reason why organisations can't be taught do it for themselves. The analysis on its own is of limited value if not supported by high quality and informed interpretation by procurement experts. In 2004 we developed a one-day training programme entitled Making the Most of Expenditure Analysis (PDF 107kb). The purpose of this programme was to help individuals understand the data in their systems, produce meaningful tables and use it to show trends and opportunities. The programme has successfully run a number of times in London and in Essex (for the Procurement Agency for Essex) with over 150 attendees.

We have now developed this programme further in two directions:

Spikes Cavell, the providers of the Observatory, asked us to provide support for their customers to enable them to better understand and use the data available to them in the Observatory. This programme has been run for the Yorkshire and Humberside and the North West Centres of Excellence. The programme is entitled Making the Most of Expenditure Analysis for Observatory Users (PDF 36kb).

Delegates attending courses rated it very highly and suggested that it would be even better if we could:

  • Base the programme around their own organisation's data rather than a fictitious organisation
  • Deliver the programme on site, so that more people can attend from a single organisation
  • Spend more time analysing their own data and developing an evidence based action plan

So we have developed a further programme A Targeted Approach to Managing Third Party Expenditure (PDF 89kb), designed to deliver just this. That is high quality skills transfer with authoritative and independent interpretation of your third party expenditure.

SPS have been using the techniques described in these programmes to deliver tangible benefits to its customers for over 10 years. Owing to high demand for these courses we have assembled a pool of UK experts to ensure the best outcomes for all customers.

Contact info@sps-consultancy.co.uk for more information on any of these programmes.