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Commercial Out-Sourcing
CONTRACTS & PROCUREMENT
BUSINESS STRUCTURE
A business structure is a business structure - isn't it? Well maybe, but maybe not - there are effective ones and there are less effective ones. The business structure needs to provide for an effective division of responsibilities and provide the authorities to owners of those responsibilities to meet them.
Does the organisational structure give budget ownership at the right managerial level? Does budget ownership give the right to commit the company?    
A poorly structured organisation can severely restrict the Contract & Procurement function's ability to realise the full commercial advantages that might otherwise exist.

Consider these:
Is there a clear point of reference for all members of the organisation to go so they can identify who has the authority to do what and in what circumstances?
Does each function within the organisation have a clear understanding of what the Board requires of it?
Grant of Authorities
Roles, Boundaries & Interfaces
Does each function have a mandate from the board to provide them with authority to undertake their role?
Does each function understand the boundaries of their given roles and how the interfaces between each function should operate?

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