The Problem
The County was feeling pressure to reduce spending and the maintenance budgets were considered a target for review. The Chief of Purchasing & Contracts felt the focus should be on Maintenance Contracts without disrupting the uptime of the equipment. Although the Purchasing Manager was concerned about the recent rise in overall spending on maintenance, the real issue was the loss of control and the mix of coverage’s. Similar types of equipment had different terms and various pricing. There were situations where various departments had similar equipment covered by Service Contracts or handled on a time and materials basis. It became apparent that each department within the County was working independently and not benefiting from best practices. Due to not having a county-wide inventory of equipment, some departments purchased equipment similar to equipment which was in storage, being excess.