{"id":136314,"date":"2024-01-19T11:31:28","date_gmt":"2024-01-19T11:31:28","guid":{"rendered":"https:\/\/www.pbctoday.co.uk\/news\/?p=136314"},"modified":"2024-01-19T15:47:13","modified_gmt":"2024-01-19T15:47:13","slug":"procurement-politics-and-productivity-in-2024-pagabo-ceo-looks-at-the-year-ahead","status":"publish","type":"post","link":"https:\/\/www.pbctoday.co.uk\/news\/planning-construction-news\/procurement-politics-and-productivity-in-2024-pagabo-ceo-looks-at-the-year-ahead\/136314\/","title":{"rendered":"Procurement, politics and productivity in 2024: Pagabo CEO looks at the year ahead"},"content":{"rendered":"<h2>Simon Toplass, group CEO of <a href=\"https:\/\/www.pagabo.co.uk\/?utm_source=press&amp;utm_medium=press+release&amp;utm_campaign=press\" target=\"_blank\" rel=\"noopener\">Pagabo<\/a> and <a href=\"https:\/\/the55group.co.uk\/\" target=\"_blank\" rel=\"noopener\">The 55 Group<\/a>, looks at the trends likely to impact procurement in 2024<\/h2>\n<p>With 2024 shaping up to have a great deal of changes impacting the procurement and wider construction sector through political, economic and legislative changes, <a href=\"https:\/\/www.pagabo.co.uk\/?utm_source=press&amp;utm_medium=press+release&amp;utm_campaign=press\" target=\"_blank\" rel=\"noopener\">Pagabo<\/a>&#8216;s Simon Toplass reflects on the key topics looking to set the course for the year ahead.<\/p>\n<h3>Procurement and politics in 2024<\/h3>\n<p>The obvious thing to look out for in procurement is the new Procurement Act (2023), which has received Royal Assent and will come into force fully in October 2024. With around a third of all public sector spending (\u00a3300bn) going into the procurement of goods, services and works every year, the core aim of the new act is to make the process simpler, faster, more transparent and less bureaucratic.<\/p>\n<p>These are the principles Pagabo has been built on since its inception ten years ago \u2013 and we\u2019re not only alive to the upcoming changes but played our part in shaping them throughout the consultation process.<\/p>\n<p>In the six-month period ahead of the go-live in October 2024, the government will share further information, helping those procuring and those being produced get up to speed with the new regulations. At Pagabo, we\u2019re already a step ahead thanks to our dedication to <a href=\"https:\/\/pagabo.co.uk\/pioneering-ethical-procurement\" target=\"_blank\" rel=\"noopener\">pioneering ethical procurement<\/a> and are working with our ecosystem and the wider market to grow understanding, confidence and application of the new ways of working.<\/p>\n<p>Elsewhere in politics, we can see that there will be a level of uncertainty. 2024 is set to see significant changes with an upcoming general election, local elections and progression in various devolution deals \u2013 including in our home of Yorkshire &amp; the Humber. It will be essential to navigate this well, especially as campaigning ramps up and promises begin to be made on all sides \u2013 but staying close to key players and analysing announcements carefully will be key to understanding and implementing the right path to take in order to maximise the opportunities that will be presented.<\/p>\n<h3>Steadying of turbulent economic waters<\/h3>\n<p>Another area of turbulence will be no surprise \u2013 the economy over the past year especially has been a key focus for the media. In recent years, we have seen such fast economic dips, but the return to a flourish point will be slower and steadier, but positively things are moving along the right trajectory.<\/p>\n<p>Statistics from the Insolvency Services show that 4,317 construction firms went out of business in the year to 31 October 2023. This was a 9% rise on the previous year, but 36% higher than pre-pandemic.<\/p>\n<p>This isn\u2019t to say it\u2019s all doom and gloom. The construction industry relies on collaboration and innovation more than ever before \u2013 and we\u2019re truly seeing this come through at the moment. Whether it\u2019s the <a href=\"https:\/\/www.pbctoday.co.uk\/news\/planning-construction-news\/quality-is-key-in-accurate-social-value-calculations\/129713\/\" target=\"_blank\" rel=\"noopener\">growing focus on social value<\/a> \u2013 focusing on outcomes at early stages \u2013 or coming together with cross-industry initiatives for R&amp;D, the collective will is alive and kicking.<\/p>\n<p>Frameworks have a role in protecting businesses and keeping the industry alive \u2013 but only when they are developed in the right way, structured to ensure fair payment and <a href=\"https:\/\/pagabo.co.uk\/news\/procurement-power-to-the-people-framework-providers-must-give-back\" target=\"_blank\" rel=\"noopener\">aim to give back in turn<\/a>. Indeed, we have organisations that have seen transformational growth thanks to the work procured through our frameworks. One such example was appointed to the first generation of our Professional Services Framework as a small business several years ago, which is now a much larger organisation that has been contracted to carry out projects on historic buildings such as the Houses of Parliament.<\/p>\n<p>However, it also means developing frameworks that the sector actually needs. Our first port of call with framework development \u2013 whether a brand-new offering or new generation of an existing agreement \u2013 is <a href=\"https:\/\/pagabo.co.uk\/news\/the-importance-of-engaging-with-the-wider-market-and-industry-when-developing-new-frameworks\" target=\"_blank\" rel=\"noopener\">market engagement<\/a>. We have more than 500 clients procuring through our frameworks, so we engage with as many of these as possible to ensure our portfolio is born out of the sector requirements.<\/p>\n<p>This regular engagement ensures that we only put frameworks in place when there\u2019s a genuine need for it. Through speaking with the clients that will use a framework we not only ensure the appetite is there, but also work together to develop the innovations and differences that futureproof the agreement for the full four-year term.<\/p>\n<p>Technology also has a role here, allowing people to manage various processes &#8211; such as <a href=\"https:\/\/www.pbctoday.co.uk\/news\/digital-construction-news\/viewpoint-sypro-contract-manager-compliance-construction-contracts\/129941\/\" target=\"_blank\" rel=\"noopener\">contract management<\/a> and <a href=\"https:\/\/loop.org.uk\/software\/\" target=\"_blank\" rel=\"noopener\">social value forecasting and measurement<\/a> \u2013 quickly and easily. This is a staple of what we do within our wider group of companies, making sure that we provide technology solutions that do the hard work and create efficiencies for any client at any stage of a project lifecycle.<\/p>\n<h3>The drive for net zero<\/h3>\n<p>One such offering is our<a href=\"https:\/\/pagabo.co.uk\/news\/pagabos-l1-6bn-decarbonisation-frameworks-opens-for-bids\" target=\"_blank\" rel=\"noopener\"> forthcoming decarbonisation frameworks<\/a>, which have been born out of the sector\u2019s need to further the journey to net zero as targets begin to approach at a quickening rate.<\/p>\n<p>There is no doubt that sustainability remains front of mind for the sector, and when people think about \u2018the most sustainable building\u2019, in reality that\u2019s a building that hasn\u2019t yet been built. But it\u2019s important to remember it\u2019s not all about new buildings. In fact, the Future Homes and Building Standards \u2013 which recently launched for consultation \u2013 will ensure that new homes and buildings are fit for the future, with all new-builds being zero-carbon ready from 2025.<\/p>\n<p>New buildings will always be at the forefront of sustainable development, but there are organisations with huge estates and infrastructure that will be in need of regeneration. Retrofit and refurbishment holds great potential for managing and reducing carbon emissions on this journey and is something we see in the projects procured through our dedicated framework.<\/p>\n<p>This in turn ties in wide social value objectives, which will only continue to grow in focus for the construction industry, while also trickling into other sectors too. The <a href=\"https:\/\/loop.org.uk\/discover-the-true-state-of-social-value-in-construction-in-our-new-whitepaper\/\" target=\"_blank\" rel=\"noopener\">understanding of social value is growing<\/a>, and we are seeing it become a much bigger part of people\u2019s everyday roles \u2013 but we\u2019re also seeing the opportunity for inaccuracy creep in due to a large spectrum of understanding and application.<\/p>\n<p>Making sure there is an accurate approach to measuring outcomes \u2013 sustainability included \u2013 will need to be a focus for the industry, as will increasing the understanding of what social value is. It remains different to ESG, which is much more introspective. Social value encapsulates all the various elements and communicates the impacts being felt by real people and communities \u2013 and it\u2019s where the real results of any built environment project will lie.<\/p>\n<div class=\"mk-custom-module-container\">\n<\/div>","protected":false},"excerpt":{"rendered":"<p>Simon Toplass, group CEO of Pagabo and The 55 Group, looks at the trends likely to impact procurement in 2024. <\/p>\n","protected":false},"author":25,"featured_media":136326,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[304],"tags":[908,93645,639,94828,701],"stakeholder_rel_tag":[],"contributor_rel_tag":[],"class_list":{"0":"post-136314","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-planning-construction-news","8":"tag-economy","9":"tag-net-zero","10":"tag-procurement","11":"tag-social-value","12":"tag-supply-chain"},"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v26.9 (Yoast SEO v26.9) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>Pagabo principal publishes predictions for procurement in 2024<\/title>\n<meta name=\"description\" content=\"Simon Toplass, group CEO of Pagabo and The 55 Group, looks at the trends likely to impact procurement in 2024\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.pbctoday.co.uk\/news\/planning-construction-news\/procurement-politics-and-productivity-in-2024-pagabo-ceo-looks-at-the-year-ahead\/136314\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Pagabo principal publishes predictions for procurement in 2024\" \/>\n<meta property=\"og:description\" content=\"Simon Toplass, group CEO of Pagabo and The 55 Group, looks at the trends likely to impact procurement in 2024\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.pbctoday.co.uk\/news\/planning-construction-news\/procurement-politics-and-productivity-in-2024-pagabo-ceo-looks-at-the-year-ahead\/136314\/\" \/>\n<meta property=\"og:site_name\" content=\"Planning, Building &amp; 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