Spend Matters Procurement Predictions for 2013 (part 1)

Predictions for 2013

We’ve looked in our Spend Matters crystal ball (got to be a joke in there somewhere…) and today and tomorrow we’ll feature our predictions for 2013. These are based on many, many hours of careful analysis and consideration, as you will see..


The UK Ministry of Defence announce they’re “still analyzing the option of a GoCo” for the Defence Equipment and Support organisation.

IBM announce the surprise acquisition of BravoSolution and Basware, spending several hundred million dollars on the agreed purchases. “We're now the biggest eProcurement and eSourcing firm in the world” they announce.

Finance Directors start asking to see real, credible, validated evidence of procurement savings from their CPOs.


SAP announce the purchase of Sci-Quest, Palette and Onventis for an undisclosed amount thought to be over $1 Billion. “Along with our Ariba acquisition last year, this makes us clearly the largest eProcurement and eSourcing firm in the world. Definitely bigger than IBM,” they say.

A major survey shows that Supply Chain Risk is rated as “very important” by 93% of the 500 CPOs contacted. It is “of critical business value” they say. Three of the CPOs even claim they’re doing something about it.

The new UK National Health Service procurement strategy, first planned for Spring 2012, then re-scheduled for December 2012, still doesn't appear. “It is at the final stages of Ministerial sign-off” announces the Department of Health. “Honest, it is”.


Oracle announce they are “carefully and with due process considering certain acquisitions in the eProcurement and eSourcing area”.

Journalists gather for the launch of the delayed NHS Procurement Strategy. After a two-hour delay, a Department of Health spokesman tells them that Sir Ian Carruthers, who led the work,  woke up feeling a bit peaky today, not really very well at all, could you come back next Thursday, actually, tell you what, we'll give you a call when we’re ready, shouldn’t be too long….


Finance Directors remind their CPOs that it is three months since they asked them for real, credible, validated evidence of savings. “How are you doing?” they ask, with just a hint of menace …

CIPS membership hits the 80,000 mark. “We are well on the way to total global domination” says David Noble, CIPS CEO. “It’s true that more than half our members are students based in China, but that doesn’t worry us at all”.


IBM announce they have purchased Gatewit, Pool4Tool, and “several other firms that we’ve forgotten the names of”. The consideration is confidential and only described as “a shed-load of cash” by a spokesman. “And I mean a really big shed”, she adds. This makes them, they claim, “clearly the largest eProcurement and eSourcing firm in the world” they say. “Whatever SAP tells you”.

Spend Matters submits a number of FOI questions to the Department of Health asking if anyone has seen the NHS Procurement Strategy.


Department of Health refuses to answer the FOI questions on the new procurement strategy based on the fact that, “it will be in the public domain shortly”.

After four days of dry weather, several UK water companies announce hosepipe bans and price increases of 27%. “We need to invest to manage the drought”, they say. “And the floods. Whatever”.

Most of the UK local councils with historical outsourcing contracts take services back in-house “because of intense cost pressures”. Meanwhile, the councils that provide services themselves announce major new outsourcing programmes “because of intense cost pressures”.

More tomorrow....

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Voices (2)

  1. Dave Orr:

    Jan’2013: Rural Councils in the SPARSE group in Local Government take out a judicial review against Eric Pickles latest grant settlement. A pig is seen flying over the Offices of the Community and Local Government Department in Whitehall.

    Feb’ 2013: With elections in May, Somerset County Council backs out of the legal dispute with IBM/SW1 and settles out of court. Both sides pronounce they got a good deal, but the details are confidential, so no-one can verify. The Council Accounts for the legal costs will not be available for public inspection until June 2014.

    Mar’2013: Kevin Lavery departs Cornwall for Wellington New Zealand and is seen to wipe a small tear from his eye as he leaves (Editor’s correction – “big grin from his face”). The “Thin Joint Venture” contract with BT is still not signed and the Cornwall Health partners are proving reluctant to join. Cornwall Councillors propose a delay until the May elections are over and the new Council administration is formed.

    April 2013: Eric Pickles has a suspected heart attack during a curry supper in Barnet and is recovering in a private hospital. The PM gives him his full support and commends Eric as one of the Coalitions “big hitters”. The Local Government Association wishes him “a full recovery away from the day-to-day pressures of his Ministerial duties”. Local Government Trade Unions refuse to comment on the news.

    June 2013: Barnet Council are in court for a judicial review of their massive outsourcing deal with Capita (who in April announced restored profit margins with their shares soaring). Barnet insist that they got a good deal and that detractors are a small subversive element including Trade Unions (Editor’s correction – “active Citizens exercising their Localism role in a Big Society”).

    July 2013: IBM sells its 75% shareholding in Southwest One (SW1) to Virgin and they immediately rebrand the company to trade as “Virgin Police”. Richard Branson dresses up as a Police Officer and takes off in a truncheon-shaped hot air balloon over Bristol as a PR stunt.

    Aug’2013: The Home Office confirms that the National Police IT Company has been formed. A former Chief Constable from a SW Police Force is made a Director, alongside Directors from Accenture, Capita, G4S, IBM, Serco and the newly formed Virgin Police. The Home Office confirms that this new body in control of £Billions of IT spend in Police Services across England & Wales will not be open to Freedom of Information requests.

  2. Senthil:

    Hi Peter,

    Wish some of these things really happen in the coming months! We shouldn’t be surprised.



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