15 December 2005 | Rebecca Ellinor
The Department of Culture, Media and Sport has begun implementing the findings of a report on its purchasing practices.
The National Audit Office study, Procurement in the Culture, Media and Sport sector
, published in November, said buying power at DCMS is not used effectively and purchasers could save up to £28 million a year by 2010-11.
The study looked at DCMS and the 24 largest organisations it supports, including English Heritage and the British Museum. Together they spend £575 million a year on goods and services.
The sector has made savings in the past two years through using new suppliers, contract renegotiation and aggregating demand. But although 60 per cent of procurement spend is on generic goods and services, only 4 per cent of work is done collaboratively.
A DCMS spokesman told SM: "We recognise that the recommendations can help develop opportunities for collaborative procurement, sharing expertise and achieving value for money."
He added that additional savings will be aimed for over the three years up to and including 2007/08.