The Driver and Vehicle Licensing Agency has signed what it calls a 'ground-breaking' deal with a management consultancy to help improve performance and value-for-money in its operations over the next four years.

In the first agreement of its kind involving a large public sector body, the DVLA has appointed a single company to manage the support services it buys from external consultants – in effect acknowledging that it lacks the internal skills to manage such arrangements itself, and essentially employing consultants to manage consultants.

CMC Partnership, based near Monmouth in Wales, will act as a managing agent for the Swansea-based DVLA, whose 7,000 staff collect £4.9 billion in car tax and handle more than 24 million enquiries each year.

DVLA managers will use CMC as their first port of call for the provision of external consultants and interim personnel. CMC will manage a supply chain to deliver assistance in areas such as project management, business change, IT security, technical advice, commercial and financial management as well as providing temporary staff for busy periods.

A DVLA spokesperson said “Following a detailed look at existing procurement procedures, including cost-benefit analyses, use of management time and quality of service provision, we decided the case was strong to move to a new way of working which streamlines our supply chain.

“We are not spending additional money on this service – our budgets remain the same – we are simply working smarter. We believe the one-stop approach offers significant benefits.”

The Consultancy and Interim Managed Service contract, awarded through a competitive tender advertised through the European Journal, also allows other sections of the Department for Transport to use the service. The arrangement is expected to reduce the cost of procurement, improve response times and the quality of delivery.

CMC Partnership is a fast-growing consultancy with a portfolio of clients that includes the Welsh Assembly Government, BBC Wales and Bristol-based VOSA, the Vehicle and Operator Services Agency.

DVLA managers are currently working with a CMC project team to set up processes to ensure the right balance between quality and value for money and to support the adoption of software which will be used to track progress and evaluate benefits.

CMC director Chris Moore said “We are delighted to have been chosen by the DVLA to help deliver this pioneering arrangement. There are similar master vendor arrangements like this in use elsewhere but we believe that this contract is unique in its scope and nature.

“We have had a close and successful working relationship with the managers and staff at DVLA Swansea. CMC has built a strong team over the last eight years – winning this contract enables us to grow our business with experienced consultants and support staff, recruited locally wherever possible.”

Instrumental in CMC’s success is their collaborative relationship with Methods Consulting, a London-based consultancy, with whom CMC have partnered for more than 8 years. Methods are able to provide complementary services in IT, technical project management and e-procurement, says the DVLA.