How procurement can transform communities

The role of procurement is evolving from a purely transactional process. It is now recognised as a powerful driver of social and economic progress. You can see this through local businesses being supported, employment opportunities being created and skills being nurtured, all contributing to generate investment within communities. Procurement can be a force for good, delivering lasting positive impact that reaches far beyond the project itself.

This shift in thinking is why initiatives such as our newly launched Community Impact Awards are so important for the industry. By celebrating projects that have delivered meaningful outcomes for communities, we are transitioning away from measuring value by only using timelines and budgets.

In this modern era of the built environment, it’s no longer just about the value or scale of a project, it’s about what that investment brings to the people and places around it. If organisations want to deliver meaningful social impact for communities and the players that sit within it, it starts with procurement. The decisions made at the earliest stages can set the course for lasting positive change.

For example, the Walsall Household Waste Recycling Centre (HWRC) and Waste Transfer Station (WTS), delivered through our Major Works Framework, is already generating strong social value for the local community. With 68% of the workforce recruited locally and employment and skills targets exceeded, the project shows how effective procurement can drive meaningful social impact. Nearly £1 million in verified social value has already been delivered, with further benefits expected as the works continue.

How procurement powers business growth

For entrepreneurs and business leaders, procurement is increasingly being recognised as far more than a route to market. From a strategic stance, it is a catalyst for creating opportunities and unlocking growth. The foundations for meaningful community impact are often laid long before a project breaks ground. In many cases, they begin during procurement, where decisions are made on how investment can generate positive outcomes for businesses, communities and local economies.

The importance for SMEs and entrepreneurs is twofold. On one hand, procurement strategies can provide these businesses with the access and platform they need to grow and invest. At the same time, by embedding wider social outcomes into procurement strategies, businesses are encouraged to think beyond purely commercial objectives and consider the broader impact they have on the communities they operate within.

The result is a cycle where procurement creates opportunities for businesses to scale, and this growth opportunity can then be used to deliver positive social and economic outcomes, not just for businesses but for the wider community. In this sense, procurement becomes much more than a commercial function, it becomes an engine for positive change, helping businesses unlock growth, create opportunities and deliver meaningful benefits back into society.

Placing community impact at the heart

Built environment developments have a uniquely powerful role in creating positive transformation in people’s lives, communities and local economies around the country. Behind every successful project there is a combination of great planning, procurement and delivery that creates opportunities and leaves a meaningful legacy and lasting impact, far beyond the project itself.

Too often, the stories of positive community impact sit behind the headlines of a projects value and delivery. But it is these stories, such as the local businesses supported, the jobs created and lives improved, which will showcase the true value of project success.

The projects that make the greatest difference are not necessarily those with the largest budgets, but those that deliver the greatest benefit to the people and places around them. As the sector evolves and the pressure to build at pace continues, success must be measured not only by what is built, but by the opportunities created and the legacy left behind.

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About Pagabo:

Pagabo is the UK’s leading procurement specialist, managing a suite of frameworks on behalf of public sector contracting authorities. Headquartered from central Hull and owned by Pagabo Group, the company manages UK and EU procurement law compliant framework agreements and provides bespoke consultancy – delivered and backed up by a team of MCIPS and NEC qualified procurement professionals. Pagabo manages construction and built environment frameworks and dynamic purchasing systems (DPS) with a total combined value of more than £45bn.

With an approach rooted in creating the maximum social value possible, the organisation is also a certified B Corp, Good Business Charter business, and one of only a handful of NHS Accredited Framework hosts in the UK.

For more information, please visit https://www.pagabo.co.uk/

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