Buying Professional Services: How to Get Value for Money from Consultants and Other Professional Service Providers

Private and public sector organizations spend huge amounts of money buying professional services, and most are doing it badly. Many lack strong procurement processes or an adequate understanding of the marketplace, resulting in wasted money and disappointing outcomes. Others apply procedures inappropriately.

Furthermore, many professional services firms don’t understand how the increasing application of professional procurement processes could affect their business model, client engagement and, ultimately, their profitability.

Using real examples from a range of private sector firms, government departments, and from the professional services firms themselves this book explores the world of procurement.

Why is Buying Professional Services Different?
The Professional Services Sector.
Why Organisations Buy Professional Services.
The Challenges of Buying Professional Services.
The Supplier Perspective.

The Role of the Purchasing Department.
Aligning the Purchasing Approach with the Business Strategy, Structure and Culture.
Requirements and Specifications.
Acting as an Intermediary.

Purchasing Approaches.
Governance, Influence and Demand Management.
Category Management.
Frameworks and Approved Suppliers.

Choosing the Right Supplier.
The Selection Process.
Selection Criteria.
Scoring Bids and Tenders.

Negotiating and Contracting.
Negotiation.
Understanding Structures and Costs.
Payment and Commercial Models.
The Contract.

Managing the Service Provider.
Contract and Performance Management.
Supplier Relationship Management.
Sustainability and Corporate Social Responsibility.

Conclusions.
What Makes a Successful Assignment?
What Could Possibly Go Wrong?
The Future of Professional Services.