The HEPA Benefits Methodology to be used from 2024-25 onwards has been published.  It details how to report price and process savings, and other benefits resulting from procurement activity.  

The HEPA Board reviews the document every three years to take account of the relevant benefits reporting needs of the sector, along with any other reporting requirements from changes in regulations. The latest version brings it in line with the growing scope of activities HE procurement teams are involved in.

It was developed to enable a single methodology to be used by UK Universities Purchasing Consortia (UKUPC), Higher & Further Education institutions (HEIs) and associated bodies across the UK enabling consistent reporting.

The calculation of benefits for those obtained through purely local procurement activities are the responsibility of leaders of institutional procurement teams. The calculation of benefits from the use of collaborative agreements is generally the responsibility of the lead Universities Purchasing Consortium (UPC) and details of this should be outlined in your annual institutional Consortia Benefits Statement. Please check with other framework providers as appropriate.

The defined benefits levels for UK Universities Purchasing Consortia (UKUPC) collaborative agreements will be recorded by the lead UPC in the shared Hunter tool to enable the automatic calculation of efficiencies for all UKUPC members using the agreements. These efficiencies should be validated with the UPC member organisations based on the relevant process that is in place within each region.

As professional procurement reaches new levels of maturity, the challenge will often be to maintain low pricing rather than obtain additional efficiencies over and above those achieved in the previous contract.

Please contact Ashley Shelbrook at HEPA for any queries.