Strategic Commissioning and Procurement
It is important to understand what is meant by commissioning, as the term may be used interchangeably when discussing contracting, purchasing or procurement. There are many definitions; however, the Cabinet Office (2016) defines commissioning as: Commissioning is essentially the effective design and delivery of policy, solutions, or services.
The best commissioners have the confidence to challenge the status quo, take on radical change, collaborate effectively with external stakeholders, gain a deep understanding of the need and target resources effectively to meet those needs.
www.gov.uk/guidance/the-commissioning-academy-information
The LGA definition:
Commissioning is the strategic activity of identifying need, allocating resources, and procuring a provider to best meet that need, within available means.
Commissioning is a broad concept and there are many definitions. Commissioning combines effectiveness and efficiency – the best possible outcomes within the resources available and sees procurement as the means of achieving this. It is an on-going process that applies to all services, whether they are provided by the local authority, NHS, other public agencies, or by the private sector or civil society. Most definitions of commissioning paint a picture of a cycle of activities at a strategic level.
There are variations of the picture of the cycle, but they include the same logical process and are concerned with whole groups of people and communities, including:
- assessing the needs of a population, now and in the future
- setting priorities and developing commissioning strategies to meet those needs in line with local and national targets
- securing goods, works and services from providers to meet those needs and targets
- monitoring and evaluating outcomes
- consulting and involving a range of stakeholders, people who access the service-their natural forms of support and communities in the whole process.
Strategic commissioning enables local authorities and their partners to procure services that will deliver the priority outcomes set out in their strategic plans.