Civil Engineering Reference
In-Depth Information
audit purposes as well as compliance, demonstrating that procurements
are being made in a fair manner.
It is the strategic and procedural elements that make up the purchase
engineering part of the PSE model. It should also be apparent that PSE
shapes the client's strategy, packaging, contracting, vendor engagement
and procurement procedures in order to deliver the client's objectives.
Traditional approaches to procurement of projects, portfolios and pro-
grammes tend to be based more on procedure and less on strategy, and
even those procedures tend to be less prescriptive than those required
by PSE.
The use of standardisation and codifi cation is aimed at reducing ambi-
guity and inconsistency in the procurement process. Consequently,
challenges are less likely to materialise. Ambiguity, inconsistency and
challenges are clearly damaging to the delivery of the procurement func-
tion, especially when the purpose is to attract confi dence from suppliers
and deliver well-tested, value-based decisions that award contracts to
the supply chain that demonstrates the best-value proposition for deliv-
ering a client's requirements. The remainder of this topic describes how
the level of robustness and due diligence delivered in tier 1 procurement
may be achieved during the procurement and management of the tier 2
and 3 critical supply chain elements. The following chapter deals with
the management of relations with suppliers and how the contribution
of each supply chain can be effectively monitored.
