For many years Hartley McMaster has provided analytic support to a major government body that manages a hugely diverse portfolio of high-visibility contracts, from supplying kitchens with food, through to the provision of language services.
A team of the company’s consultants were recently tasked to investigate the operation of a multi-million-pound contract involving high daily volumes of purchases.
The supplier was contractually bound to a number of constraints and conditions, including limits on when – and at what rate – prices could be increased, and procedures to be followed when substituting one product for another.
Hartley McMaster’s analysis combined transaction level data from:
- The internal accounting systems of both the supplier and the government department
- The government department’s billing records
- The supplier’s invoicing records
- Various public sources of pricing information
The analysis identified several areas of apparent non-compliance and gave our client a far clearer understanding of the contract’s operation than had previously been available. This enabled them to better manage the current contract, and to improve the design of its future replacement.
Contract Performance Assessment & Forecasting
In a separate project, Hartley McMaster developed a detailed model of the operation of a major service contract, providing the client with the tools needed to audit that contract’s historic performance and forecast its likely behaviour in a number of alternative scenarios.