Little and Large

Little and Large

No not a comedy duo - more serious that that!

These last few days I have been waiting at home for a visit by a plumber to fix a problem I have with my hot water system.

After paying for materials in advance (not always a smart thing to do!) a sequence of events (a lost phone and my address on the first day, a vehicle accident on the second) means that I am still waiting for a visit.

I have fulfilled all of my obligations, stayed at home, prepared parking space, cleared out the boiler cupboard etc. Yet my problem, which luckily is not an emergency, has not been solved.

A small issue, but one that needs sorting out. Not so small for the Government and private businesses that have been served by Carrilion.

Why the Government continued to offer important contracts to Carrilion at a time when most bankers and external observers were aware of the company’s problems is a separate issue. But the fact is that a contractor providing services to many companies has suddenly not been able to perform its obligations.

As all procurement specialists know, accepting the lowest price for a service or product that is important, or critical for their company is not always the best choice. The financial condition of suppliers and their track record on performance should be a part of the contractor selection process. Defining contract performance measures and ongoing monitoring of these are key processes.

When companies update their enterprise risk matrix, a review of the risks that relate to third party providers is always required. For example, although your company may not be directly exposed to the risks resulting from the eventual Brexit agreement, your suppliers may be more exposed and so, indirectly, are you.

If you have not updated your risk exposure recently, Tinderbox can help you identify the risks, evaluate the magnitude and, where relevant, assist in mitigating them. A small investment of management team time now could avoid a larger problem in the future.

Although not ideal, I can still have a bath, but you may find your company operations at a standstill through no fault of your own operations.

For more information on how to assess your companies risks and take any necessary action or modify your procurement process call Tinderbox on 0116 232 5231 or contact us at [email protected]. Alternatively contact me at any of the contact points below.


David Beer

Tinderbox Partner

[email protected]

0742 305 9356

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