Revolutionising grant and contract management for SA Health

Situation

SA Health has in place in excess of 300 grants and procurement contracts with non-government organisations to deliver its strategy across sub-acute care services. Worth more than $100m combined, these contractual relationships are managed by a myriad of stakeholders from across the business, including a centralised team of six who provide contract administration support.

SA Health identified a need to review these relationships, including how well they are managed and if the roles and responsibilities are defined in a way to drive best outcomes from these relationships.

Our approach

Grosvenor took a three staged approach to this project. In a series of workshops with the internal managers of the relationships, we identified current activities and capabilities in managing grants and procurement contracts. We then spoke to the budget holders to identify what their expectations of the suppliers and internal teams are. Next, we completed 12 contract health checks, including document review and supplier interviews. This allowed us to identify gaps to contract management best practice and risks of the current approach.

We developed a department-wide framework for the management of relationships with non-government organisations, including a risk-based segmentation tool to distinguish between one-off grants and strategic relationships. We further proposed appropriate governance, commissioning, sourcing and contract management approaches for each type of relationship.

Outcomes

The project team delivered the strategy to re-align the management of grants and contracts with market requirements, stakeholder expectations and best practice. The strategy was approved by the Chief Executive Officer and his leadership team in early 2019. Grosvenor was retained to implement the elements of the strategy, including a capability uplift in commissioning across the Department.

 

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