Australian Govlink Issue 2 2017 | Page 30

28 SECURITY Getting security procurement right By Bryan de Caires, CEO, Australian Security Industry Association Limited In recent months supply chain management issues in the procurement of security services has come under growing scrutiny. This is forcing government procurement officers to reconsider and review their procurement arrangements and practices to ensure that both they and their subcontractors are compliant. It is a reality that businesses sometimes contract out work to another business. This can help them lower their operational costs, focus on core services, and access specialised knowledge and skills when required. GOVLINK ยป ISSUE 2 2017 If the business that they contract the work out to then subcontracts that work to another business, this can create a contracting network or supply chain. There are a number of different ways workers can be engaged by a business. For example, a business can contract out work to a contractor who in turn engages workers as employees or independent contractors, or a combination of both. Alternatively, businesses can engage workers through a third party labour hire service provider.