April–May Snapshot
The past month has delivered some interesting milestones across several projects. Following is a quick look at some of the key deliverables and observations — from school catering reports to market testing in aged care and new work in industrial consumables.
School Catering & Budget Tracking
For our school clients; the focus has been on presenting the Q1 catering reports for both boarding and canteen departments. For one school this involves 5 different reports; for the other 2. These reports provide the first real insight into how costs are tracking against budget for the year. It’s also the time to spot any early red flags—though Q1 can be a little misleading.
Many schools see inflated figures early in the year due to the year start-up costs; and unless there’s solid stock-on-hand (SOH) and carry-over data from the previous year; interpreting results can be a challenge. Still; it’s a valuable checkpoint and an opportunity to work through a few early-season supplier concerns as things settle into rhythm.
Aged Care RFP: Market Refresh After 8 Years
After many years with the same suppliers; our aged care client agreed it was time to test the market. It had been eight years since the last RFP—well beyond the 3–5-year ideal review window I recommend. We’ve now completed a full analysis across five food categories; developed individual RFP documents for each; and released them to a shortlist of three suppliers per category.
Suppliers were given three weeks to respond; and we’re now deep into evaluation and the reporting process.
RFPs always offer a unique window into market shifts; and this round has continued that unique view. One standout has been in fresh fruit and vegetable with a supplier offering fixed-term pricing—something previously considered too volatile to guarantee. This is the second time I’ve seen it in six months; suggesting a shift in the market’s confidence and competitiveness.
New Category: Industrial Consumables – Tyres
As flagged in the last Costedge issue; we’ve picked up a new category we haven’t touched in some time: tyres. The discovery work has been completed using 12 months’ worth of PDF invoice data; and the findings suggest there may be savings on the table. That said; the real story unfolds post-RFP.
We’re now preparing to launch the RFP; working closely with the client to refine scope; suppliers and expectations. With three weeks allocated for responses; the next phase will be analyzing proposals and determining where the value lies. It’s always an interesting point in the process—digging into the details and seeing what opportunities emerge.
That’s it for this month’s roundup. From catering budgets to industrial consumables; the common theme remains: good data; regular reviews and a willingness to test the market are essential for staying sharp in procurement.
More updates coming next month as these projects progress.
Grant Morrow
Principal Consultant
+61 415 203 575
gmorrow@eragroup.com
