www.comms-dealer.com LLS ON SPENDING
underway to simplify and standardise procurement processes in order to reduce complexity and cost,” a Government spokesperson told Comms Dealer. “As well as leading to savings for the taxpayer, this will also assist SMEs and civil society organisations in competing for public contracts and help to deliver the Government’s aspiration of 25 per cent of business being awarded to SMEs.”
Procurement
them, finding out how we could work with them to try and lessen the pain as much as possible. We’ve seen our churn levels drop over the last two years which has allowed us to develop and perform as a business ourselves. As a direct result, over this year, we’ve had some of the best quarters ever.”
Lending freeze
If there’s one thing that isn’t helping, it’s the continued reluctance of banks to lend. The British Bankers’ Association reported in September that the number of loans, particularly to small businesses, was still falling. Vendors and distributors like Siemens and Nimans say that they are continuing to increase their investment in leasing and finance to plug the gap.
One of the stated aims of the coalition is to not just cut public budgets, but reform the way contracts are awarded. “Work is
Smith says that Bluebell, which has achieved good figures in other vertical markets, approaches public sector contracts through partnerships. “We do work with the NHS and other publicly funded bodies,” he says. “But we do it in partnership with a systems integrator. The SI is qualified to work in that sector and we provide the connectivity. Through a strategic partnership you can get into this business.”
Ricky Nicol, Chief Executive at the Scottish supplier Commsworld,
That should mean less money in the public purse, but more of it to come the way of the comms channel. Most are agreed that there’s a lot of work to be done. “There are so many criteria that you have to meet to be able to bid for contracts,” says Michael Smith, Joint Managing Director of Bluebell Telecom Group. “Because it’s a standard template for everything from toilet rolls to telecoms, it means that it’s very difficult and costly to bid. OGC is designed to reduce costs, but it creates new barriers to entry by requiring people to qualify before they can bid.”
takes a similar approach. His company recently formed a partnership with Kcom in order to win accreditation through the Scottish Procurement Fixed Telephony Framework Agreement, giving it access to a budget of over £120 million. “I see the squeeze on Government spending as creating a great opportunity for Commsworld. The procurement processes will be under greater scrutiny than ever before,” says Nicol. “But the public sector really does require collaborative and joined up thinking given the procurement mine field that has to be dealt with in order to just get to the table, let alone winning the business.”
The Framework, while not as open to smaller contractors as it could be, is nevertheless a template which future public sector deals could follow. It stresses value for money, flexibility, customer support and environmental objectives promoting local engineers and electronic billing. Whatever happens on October 20th, say some, those who have survived over the last two years already have the relevant experience of managing their business through tough times and seeking out opportunities wherever they arise.
With a strong sense of qualified optimism from the channel, just one key question over the public sector remains – will those making the tough financial decisions accept that as well as making cuts, they need to invest in technologies that enable them to save? If they do, telecoms could be an overall winner.
To advertise in contact The Sales Team on 01895 454411
www.comms-dealer.com COMMS DEALER OCTOBER 2010 23 3 Years Finance
This exclusive Nimans offer provides a 3 year 0% finance deal to give your Panasonic system sales a timely tonic.
This offer is available on NCP and TDE platforms, with a minimum lease order value of £1000 and must end 30th November 2010.
SPECIAL REPORT
Voice & data hosted telephony, SIP trunking, managed data & IP services. For details call our Networks Team on 0844 848 0965
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