gpc NEWS ISSUE 2 | DECEMBER 2007

Happy Birthday
GPC Visa celebrates its 10th birthday

Online Services
Keep cardholder spend clearly in sight

Leading the way

B&Q implements an electronic
VAT invoicing solution
Welcome
Welcome to our second issue of GPC News. We received some fantastic
feedback on our first issue in June and hope you continue to find GPC News
informative and helpful in running your GPC Visa programmes.

GPC Visa celebrated its 10th birthday in October, a key milestone and a great
achievement. Key areas of the public sector, such as local government and
higher education, are growing at pace, which proves that GPC Visa still has
the potential to grow and deliver even more exciting savings and results for
the public sector. Local government, which includes schools, has seen an
impressive 238% increase in annual spend on GPC Visa with higher education
seeing a 175% growth in GPC Visa schemes.

Barclaycard Business has recently been successful in securing Framework

Agreement status through OGCbuying.solutions to provide Acquiring Services
for the public sector. This is great news for us and also for you as Barclaycard
Business can now provide you with the ability to make and take payments
through one supplier. For further information please go to pages 18–21.

Please feel free to use our dedicated email gpcnews@barclaycard.co.uk to

forward your comments, feedback and any topics you would like us to cover
next year. We have also uploaded a pdf version of this issue on our website
www.barclaycardbusiness.co.uk/gpcnews

Your business is very important to us and we thank you for your continued
custom. I wish you all a successful 2008.

C
Denise Leleux
Commercial Director
Commercial Cards and Payment Solutions
 Happy Birthday 4-5
GPC Visa celebrates its 10th birthday
Making the most of GPC Visa 6-7
We show you how
Have you seen the awards? 8
Announcing June and September winners
e-Procurement and GPC Visa 9
Hand in hand
Finding your perfect partner 10-11
Reviewing suppliers driving greater efficiencies
Argos Business Solutions 12-13
Are you getting your discount?
A day in the life of… 14-15
How busy is your GPC Visa?
B&Q and VGIS 16
Leading the way
Business Travel Show 17
See you there
A new deal 18-19
OGCbuying.solutions announce Acquiring framework agreement
Taking card payments 20
The benefits and how we can help
ePDQ - a whole new world 21
Open up your website to online payments
Housekeeping 22-23
News and account health check
Further information 24
Website, contact details and other useful information

Contents
 4 GPC Visa

Happy10th Birthday
Now in its 10th year, the Government Procurement Card (GPC Visa)
has successfully generated in excess of £470 million in cumulative
savings for the public purse.

aunched in 1997 following a fully compliant tender process, How is it being used?

L the GPC Visa programme offers one of the easiest ways for
the UK public sector to meet its efficiency targets. Today
there are now more than 108,000 GPC Visa users and over 900
active programmes around the country.
With spend on GPC Visa to date exceeding £2.5 billion and
savings in excess of £470 million*, there has never been a more
compelling reason for those involved in procuring goods and
services in a public sector environment to take serious note of
its potential.
David Harrison, Vice-President, Visa Commercial, Visa Europe,
talks about some of the ways in which the UK public sector has
been harnessing this essential procurement tool to save money
and improve frontline service delivery.
GPC Visa enables users and organisations to negotiate
discounts and faster delivery of goods and services so that
savings can be redeployed into other areas of the organisation.
At the same time it makes back office processes more efficient
and less time consuming, freeing staff from unnecessary
bureaucracy and paperwork and allowing them to focus on
frontline service delivery.
Viewed in this way, GPC Visa becomes a cornerstone of public
sector efficiency. And, because it is so flexible and versatile, it
can be used by any size of organisation, either as part of a wider
efficiency drive or as the primary agent of change.
Over the past year or so, the strongest growth in GPC Visa usage
has been experienced in the local government and schools sectors.
Here the number of cards has increased from over 5,500 cards to
just under 15,000 cards – an increase of over 165%, while the
number of transactions has increased by an astounding 327%
from 161,382 to 689,195.
The central, civil government and defence sectors, where
GPC Visa was first introduced have experienced steady growth,
both in the numbers of organisations using GPC Visa and in the
transactions being placed through the schemes. The departments
in this sector represent 78% of the GPC Visa programme and
some of the schemes are nearly 10 years old, so on this basis
a growth rate of over 13% in this sector is impressive, proving
the benefits of GPC Visa are compelling and long term.
Travel and office stationery continue to account for the
largest percentage of GPC Visa spend, followed by hotels and
accommodation, general retail and wholesale, computer
equipment and services and building materials. However, it is
anticipated that the range of products and services bought
will continue to develop as public sector organisations identify
more and more innovative ways to use GPC Visa to meet their
purchasing requirements.
In addition, GPC Visa continues to make a significant
contribution to the reduction of waste. By saving an average of 10
sheets of A4 paper per transaction, it is estimated to have reduced
the carbon output of the UK public sector by nearly 150 tonnes†.

*Savings calculated using the National Audit Office (NAO) approved figure of £28 per transaction.

†38,785,880 sheets of A4 paper have been saved over the past 10 years. This figure has been calculated on the basis of the energy required to create the 38.78 million
sheets of paper and does not account for any of the carbon savings associated with the transporting, printing or disposal of the paper.
 GPC Visa 5

What does the future hold?

As a result of programmes like GPC Visa the UK public sector is well
on the way to reaching its target of £21.5bn of efficiency savings by
2007/8. However, although GPC Visa usage has risen dramatically
over the last 10 years, the capacity for growth remains high.
One thing is certain, given the scale of efficiencies that GPC Visa
has contributed to date, GPC Visa is the most sustainable and
successful procurement solution in use by government today.
3.2 19.7 61.2 122.3 208.4 304.5 404.8 527.3 676.1
700
600
GPC Visa named by Office of
Government Commerce as
one of the best commercial
procurement deals.
In a recent communication from the Office of Government
Commerce (OGC) to senior officials across the public sector,
GPC Visa has been identified as one of 12 commercial
procurement arrangements which should be adopted because
of the strong value for money that it represents.

David Harrison, Vice-President, Visa Commercial, Visa Europe, says:

ANNUAL SPEND (£ MILLIONS)

500
“After more than a decade, public sector confidence in GPC
Visa has reached new heights. The fact that the OGC has decided
400 to recommend it across government as one of a select number of
commercial procurement arrangements is further evidence that
300 it has become an essential ‘best practice’ tool to achieve public
sector efficiency gains. With over 108,000 cards in circulation and
cumulative savings to the taxpayer exceeding £470 million it
200
has reached full maturity and is suitable for small public sector
organisations as well as the largest government departments.”
100
50 Peter Fanning, Former Acting Chief Executive of OGC, says:
0 “It is OGC’s role to help the public sector get better value on
goods and services across a wide range of categories. We believe
1998 1999 2000 2001 2002 2003 2004 2005 2006 the time has come for all sectors of government to ensure that
YEAR
their procurement spend is through the very best frameworks
so that they can take advantage of the government’s collective
This graph demonstrates just how rapidly the programme buying power. GPC Visa is one such example, and for those in
has been accepted by the public sector and that, despite the procurement roles it is not a case of whether they should be
programme moving into its 10th year, there is no let up in using it but why they are not.”
its rate of growth. In July 2006, the cumulative spend on
GPC Visa passed the £2 billion milestone, through nearly David Harrison
four million transactions. Vice-President, Visa Commercial
Visa Europe

For further information on GPC Visa, visit

www.purchasingcard.info or www.ogcbuyingsolutions.gov.uk
 6 Making the most of GPC Visa
Cashing in on time savings
The time savings generated by GPC programmes and other e-procurement
programmes are often referred to as ‘soft’ savings to distinguish them from the
price savings that are made from the use of contracts. It is often incorrectly
assumed that time savings can only become hard, cashable savings if an
organisation is prepared to reduce the number of staff working in an organisation.
educing the number of
R staff in an organisation
can be difficult with
e-procurement initiatives
because technology such as
GPC Visa will reduce the time
taken to do frequent, repetitive,
administrative tasks by many
different staff across the
organisation. So whilst using
GPC Visa has made staff more
efficient, it is difficult to see
how this time can be translated
into cashable savings because
the time savings are spread
across so many staff members.
We are all well aware of the
£28 financial savings attributed
to moving spend from traditional
paper invoices to GPC Visa but
how else does GPC Visa help?
Sometimes, the time savings
generated through the use of
GPC Visa may be significant
enough to merit a reduction
in staff in a large organisation.
This is because the use of GPC
Visa is making a significant time
saving over the previous process.
There is such a high volume of
work concentrated in one
department that it becomes
possible to deliver the same
service at a reduced cost to the
taxpayer. However, this is simply
not an option in many public
sector organisations, where the
time savings are not concentrated
in single departments.
In many organisations, the
amount of time savings
generated can add up to several
full-time posts but these savings
are spread across staff within
the organisation and cannot
reasonably be consolidated.
So how can these small,
diverse time savings be made
into cashable savings without
reducing the number of staff
who work in an organisation?
If an accounts payable
function has two permanent
administrative staff whose
workload is now reduced as a
result of the organisation using
GPC Visa, it may be possible for
these staff to be used in lieu of
temporary staff within the
organisation. If each of the
staff member’s time saved
from GPC Visa is equivalent be prepared to work with Ticon is a public sector
to 25 days of work over a year, department managers to help procurement consultancy,
then GPC Visa is effectively them redeploy the time savings which specialises in using
providing the organisation instead of ordering temporary Visa and GPC in public sector
staff; and thirdly they must organisations. Ticon works with
with 25 days’ worth of ‘free’
be prepared to monitor the public sector organisations to
temporary staff.
implement GPC and to increase
This free additional human spend activity of departments
the effectiveness of their
resource can be deployed who are ordering temporary
existing programmes. For more
elsewhere within the organisation administrative staff.
information on Ticon’s skills
to reduce the usage of other This may appear demanding,
and services, please visit
departments temporary staff, but is likely that the small
www.ticon.uk.com
or can be used to perform example given would generate
additional duties in their current a £5,000 saving. At a time
role, thus delivering a nil-cost when many public sector
increase in productivity. organisations are looking at
Organisations who want to their use of temporary staff,
make savings in this manner linking the time savings from
must be prepared to take three a GPC programme might be
steps in order to recover the an excellent way of delivering
savings: firstly they must be cashable efficiencies against
confident how much time staff a significant area of spend.
members will save through the
use of GPC; secondly, they must Ian Makgill, Ticon UK Ltd.
 NWCE Case Study
Councils in the North West gain
cost-saving confidence from NWCE
and Barclaycard Business link up
he North West Centre of Excellence (NWCE) is one of the
T nine Regional Centres for Excellence (RCEs) that were set
up as lead change agencies by the Department for
Communities and Local Government (DCLG) to support local
authorities in delivering efficiencies and service improvements.
The NWCE, funded by DCLG, covers 47 local authorities in the
North West spanning from Cheshire to Cumbria. Following the rollout
of the Government Procurement Card (GPC Visa) on a national
level by the Office of Government Commerce, the organisation was
keen to implement something similar which covered the entire
North West region. The aim was to encourage greater efficiencies
and cost savings specifically with council purchasing and invoicing.
Neil Hind, eProcurement Manager for NWCE was tasked with
selecting a GPC Visa supplier,
“We carried out a basic evaluation of a number of suppliers
and invited two of them, one of which was Barclaycard Business,
to present their offering to eight Local Authorities who were part of
the project team. Barclaycard Business won hands down because
it demonstrated it had the scale and infrastructure to fully support
the NWCE throughout the process.”
As part of the package, Barclaycard Business assigned members
of their staff to work in the region and help each of the councils
implement the GPC Visa.
“It was evident through Barclaycard Business’s work with other
councils that it offered a dedicated approach to suit the needs
of each individual council regardless of its size and profitability.
Since we deal with councils both large and small, we wanted
peace of mind that all would be treated with equal importance
and Barclaycard Business certainly assured us of this.”
Communicating the benefits
In order to communicate the NWCE’s plans for the rollout of the
GPC Visa amongst the regions, Barclaycard Business organised
a launch event that all council Chief Executives were invited to,
with around 60 delegates attending. Barclaycard Business had
calculated that by using the GPC Visa in place of paper based
purchase orders and invoices, NWCE councils could save an
average of £33 per purchase. A presentation was given at the
event by Barclaycard Business and VISA Europe explaining how
the card scheme could help each council make these cost
savings and also save their staff a considerable amount of time
7
spent on administration. Delegates were also provided with
briefing notes and advice on how to cascade the news of the
programme down to each of the council members. Neil Hind
explained that the GPC Visa scheme was not obligatory,
“We wanted to encourage the councils to implement the card
by communicating and demonstrating its benefits. What really
brought the card scheme to life however were the numerous
examples and case studies Barclaycard Business were able to
draw upon from their work with other councils. This really helped
our member councils to understand how it would work for them.”
Accessing all areas
The response from NWCE councils to date has been very positive.
Many of them are already utilising the Barclaycard Business staff
resources to help them write business cases on how they can
implement the GPC Visa. Most commonly, the card is used for
hotel, travel and day-to-day expenses but the NWCE are keen to
encourage councils to look at different areas where the cards could
help them buy more efficiently.
“Already we have one council investigating GPC Visa use in
leisure centres as staff do not have easy access to finance systems
and purchases are often made in the evening and at weekends.”
Neil also reports that other councils have suggested the cards
are introduced into school canteens enabling staff to purchase
bulk food with the card. “Barclaycard Business staff working on the
ground with the councils has really given our members confidence.
Rather than feeling like they are starting from scratch, they are
able to tap into the experience and industry knowledge of the
Barclaycard Business staff and use it to their advantage, helping
them to gain momentum quicker and ensure their businesses
cases are viable and directed at the right audiences.” Day-to-day
management of the GPC Visa scheme is managed totally by
Barclaycard Business, enabling the NWCE to focus on other
business areas and projects. Barclaycard Business feedback the
progress of the GPC Visa rollout formally on a monthly basis and
provide more regular updates on an ad hoc basis. Neil Hind
continues, “There is considerable pressure on all councils to reduce
costs and increase efficiencies and, therefore, the sizeable savings
a Barclaycard Business GPC Visa can offer is very much welcomed
by us. To date, the experience has been hassle free and will
certainly allow our staff to direct their time and money into other
worthwhile areas.”
 8 GPC recognition awards

First winners announced

at Procurement Solutions
Procurement Solutions in June was an exciting time for Barclaycard Business,
not only were we the only bank to be supporting GPC Visa but we launched
our GPC recognition awards.

e invited the winners down to London to receive

W their certificates and we were delighted to welcome

David Harrison from Visa and Jim Parkinson from
OGCbuying.solutions to present our first ‘Delivering a
June 2007 winners
Award 1 Innovative Spend

Difference’ awards. Charity Commission for Temporary Staff David Reynolds

In recognition of the hard work and dedication organisations and
Providing Best Value to Central Government
individuals play in delivering procurement efficiencies using their Award 2
and Devolved Assemblies
GPC Visa programmes, these awards are a small way in which we
can thank our customers for their continued support and custom. National Assembly for Wales Lisa Gibson
The awards are supported by both Visa Commercial and
Award 3 Providing Best Value to the Health Sector
OGCbuying.solutions, who recognise the true dedication that
goes into running a successful GPC Visa programme. Medical Research Council C Belcher

Richard Gould, South Yorkshire Fire and Rescue, says: Award 4 Providing Best Value to Local Government
“It is great that we’ve been recognised for the hard work
we put in to getting the best value for money for the public. London Borough of Tower Hamlets George Wallace
We are always working to improve our efficiency savings, and
Award 5 Providing Best Value to Emergency Services
knowing that we are doing well in this area is great news,
not just for the service but for the people of South Yorkshire.” South Yorkshire Fire & Civil Defence P Alsop

September 2007 winners

Providing Best Value to Central Government
Award 1
and Devolved Assemblies
MoD Richard Pinder

Award 2 Providing Best Value to the Education Sector

Cornwall College Mr D Seymor

Award 3 Providing Best Value to the Health Sector

From left to right Bro Morgannwg NHS Trust Mr KG Davies

Above: Steve Banwell (Barclaycard Business), Richard Gould (South Yorkshire Fire and Rescue),
Jim Parkinson (OGCbuying.solutions) and David Harrison (Visa Europe)
Below: Steve Banwell (Barclaycard Business), David Reynolds (The Charity Commission) Award 4 Providing Best Value to Local Government
and David Harrison (Visa Europe)
Northamptonshire County Council Mr Peter Cox

Award 5 Providing Best Value to Emergency Services

Surrey Police Mr D Coulls

 e-Procurement and GPC Visa
Can e-Procurement and
GPC Visa work together?
It is not uncommon for GPC Visa to be seen as a supplementary technology
that is used to support a large, centralised e-procurement solution.
PC Visa is even sometimes
G viewed as the technology
that will ‘mop up’ any
spend that can’t be driven
through the e-procurement
solution. However, GPC Visa
can be very effectively used
as an integral part of any
e-procurement solution and in
many cases will provide added
functionality and benefits.
GPC Visa can be integrated
within these e-procurement
systems to make the process of
engaging with suppliers easier.
Because GPC Visa can act as a
common payment and invoicing
mechanism, it is possible to
bring any Visa-enabled supplier
with an email address into
an e-procurement system.
Additionally, suppliers who are
able to provide Level 3 invoice
data through their acquiring
systems are able to provide
the buyer with line item detail
on a transaction, which can
be matched with order data
generated in the e-procurement
system. Even when a supplier
provides only Level 1 data, this
information can be matched
with the order data generated
in the e-procurement system
to provide high-quality
procurement data.
By providing such detailed
spend data automatically,
GPC Visa provides the usual
high levels of clarity provided
in e-procurement solutions,
without causing additional
manual intervention at the
payment stage.
Many organisations who
use GPC also use other
e-procurement technologies
to help them gain visibility
of their spend. Usually these
e-procurement systems feature
catalogue buying technologies,
and whilst these systems can
be highly rewarding, the task
of making them work properly
can be demanding for any
organisation. One of the most
time-consuming tasks is supplier
engagement, which is also critical
to the success of implementing
a catalogue system.
Unless a buying organisation
provides a large proportion of a
supplier’s business, individual
suppliers can be ambivalent
about joining an e-procurement
system. If the supplier is not
dependent on the buying
organisation’s business it can
be difficult to persuade them to
join an e-procurement initiative.
The result is that many
e-procurement implementations
are linked to too few suppliers,
hampering their effectiveness
and restricting the opportunity
for savings.
“It is important to
understand that working
with GPC Visa doesn’t
mean that you have to
hand out plastic cards
to staff members.”
Suppliers can be given card
payment details which they
retain and use every time an
organisation sends them an
9
order, a practice known as
embedding or lodging a card
with a supplier.
Alternatively, card details can
be stored in an organisation’s
e-procurement system and
securely sent to suppliers when
an order is placed.
Procurement managers
can then set up their own
catalogue of goods or services
to be purchased from the
supplier on the system, or
simply send orders through the
organisation’s e-procurement
system. Using this method, the
supplier might never know that
they’ve been adopted to an
e-procurement system, since all
they’ve had to do is confirm that
they accept Visa and confirm
the correct email address for
receiving orders.
It is easy to see that working
with GPC Visa doesn’t mean
that you have to hand out
plastic cards to staff. In reality,
organisations who are signing
up to the GPC Visa contract are
effectively signing up to the
Visa payment network.
When GPC Visa is viewed in
this light, it is clear that it should Ticon is a public sector
not be viewed as an alternative procurement consultancy,
to an e-procurement system, which specialises in using
but as an enabling technology Visa and GPC in public sector
that can be an integral part of organisations. Ticon works with
any e-procurement solution. public sector organisations to
implement GPC and to increase
Ian Makgill, the effectiveness of their
Ticon UK Ltd. existing programmes. For more
information on Ticon’s skills
and services, please visit
www.ticon.uk.com
 10 Greater efficiency and savings

Perfect Partnerships
How the GPC Visa can be used with pan-government procurement
arrangements to drive greater efficiency and savings.

s Government departments await the sector’s purchasing power in order to deliver Establishing and
A changes that are hailed to follow the
publication of the Government’s
Transforming Government Procurement report,
savings to its customers.
Customers benefit because buying through
pre-tendered, EU compliant arrangements
managing a range
of procurement
the GPC Visa has again been identified as a gem allows them to save time and associated
in the crown of public sector procurement. procurement costs. They can be confident arrangements,
In a letter to all Permanent Secretaries and that they will receive excellent value for money OGCbuying.solutions’
Chief Executives, the GPC Visa has been because the prices they pay have been
highlighted by former OGC Chief Executive Peter negotiated using the colossal buying power primary function
Fanning, as one of 12 commercial arrangements of the public sector. is to bring together
that all Government departments should be OGCbuying.solutions’ offering is split
using to accelerate efficiency savings. into two distinct areas; Catalist framework the public sector’s
One component of the GPC Visa’s success is agreements and Managed Services. These purchasing power
that over recent years it has become accepted encompass a series of product sub-categories
by an increasing number of suppliers, from as detailed below: in order to deliver
large corporations to Small and Mediums savings to its
Enterprises (SMEs). Catalist framework agreements:
GPC Visa really comes into its own when it is
• Information Technology
customers.
used to make payments for goods and services
brought through existing pan-government • Consultancy Services
framework agreements. Adding to the significant • Resourcing Services
savings that can be secured by using • Business Solutions
collaborative procurement arrangements,
• Property Solutions
the GPC Visa allows further efficiencies to be
reaped at the payment stage. • Payment Cards
In line with its vision to help the public
sector make savings of £1billion by 2010-11, Managed Services:
OGCbuying.solutions, an Executive Agency • Managed Telecommunications Service (Mts)
of the Office of Government Commerce, is • Government Secure Intranet (GSi)
championing the use of the GPC Visa across
• eProcurement Solutions
the whole public sector.
Establishing and managing a range of • Travel Services
procurement arrangements, OGCbuying.solutions’ • Energy
primary function is to bring together the public
 Greater efficiency and savings 11

The great news for GPC users is that whenever process – for both customers and suppliers. The arrangements
appropriate, customers can opt to pay for Travel is the third largest area of spend for
goods and services brought through these the public sector. It is also one of the most provide public
arrangements using their GPC Visa card. susceptible to maverick spend. GPC Visa can sector business
OGCbuying.solutions’ eCatalogue facilitates help to manage travel buyers, cut down
this by allowing customers to buy whatever inappropriate spend and provide vital travellers with
it is they need, when they need it, making management information that can be analysed access to a
instant payment with GPC Visa. This route and used to develop robust travel policies.
is a clear winner in terms of improving Furthermore, organisations can use GPC Visa comprehensive
procurement efficiency. in conjunction with OGCbuying.solutions’ Travel range of services
What’s more, the GPC Visa is also available Services framework agreements, enabling them
in the form of a ‘lodge card’, which allows to make a much greater contribution to reducing including rail,
customers to provide a supplier with a the public sector’s annual travel spend which air and ferry
card number, against which all orders, from currently mounts to some £2.5 billion a year.
any number of employees, can be charged. The arrangements provide public sector travel, hotel
For frequent requirements such as stationery business travellers with access to a comprehensive accommodation,
orders, this can significantly reduce paperwork range of services including rail, air and ferry travel,
but does not compromise control over spend hotel accommodation, conference facilities conference
because, as with all GPC Visa schemes, detailed booking services and vehicle hire. facilities booking
management information is provided. As efficiency targets raise greater challenges
As an ideal payment means for online for public sector procurers, organisations need services and
procurement systems, the GPC Visa is to look for more creative ways to maximise vehicle hire.
compatible with OGCbuying.solutions’ savings. Coupling GPC Visa payments with
eProcurement toolkit – a suite of services that other best practice procurement techniques
enable the whole procurement process to be is an easy to implement, quick-win solution.
conducted online.
Made up of eAuctions, eSourcing and Zanzibar
(a public sector eMarketplace), the GPC Visa
allows customers to heighten the savings
potential of these innovative systems that
are being adopted across the public sector.
The eSourcing component of the toolkit was
recently awarded an ‘EU Good Practice label’,
based on a recommendation from the European
eGovernment Awards consortium. The same tool
won the Shared Services Category Award at the
Government Computer Innovation Awards
earlier in the year.
Key advantages of these systems include
reduced spend, costs and associated process
time, adherence to best practice, a stronger
negotiating position and improved supplier
relationships. The GPC Visa complements
this package of benefits by bringing greater
transparency and efficiency to the payment
 12 Argos Business Solutions

On the road to ‘efficiency’...

Meeting a cost reduction target of £21.5 billion in any industry is tough, none
more so than in the public sector, where one of the major challenges in efficiency
is procurement. Procurement departments regularly struggle to achieve speed
and efficiency, with workers having to fully document and audit procurement
processes that can often be lengthy, labour intensive, and time-consuming.

owever, in the Government Procurement Card, procurement Argos Business Solutions, the business-to-business division

H departments are making large strides to contributing

towards a 2008 efficiency target of over £20 billion.
Using GPC Visa resulted in a monetary saving of £108 million in
2006, however, could much more be saved if public sector
managers proactively eliminated the inefficient non-strategic
purchases that are happening every day within their organisations?
By raising awareness in the public sector about the many tools
and services available from GPC-approved suppliers, organisations
could potentially shift invoiced spend onto GPC Visa and get
additional savings as well.
of the unique catalogue retailer, is an approved supplier with an
already pre-tendered framework contact with OGCbuying.solutions.
They have put significant resources towards assisting the public
sector and provide a unique procurement experience to help make
the leap to further efficiencies.
Argos has a dedicated team of public sector personnel visiting
organisations up and down the country – helping them realise
where they can become more efficient with bespoke advice
tailored to maximise savings for individual organisations.
Orders using the GPC can be placed centrally
or at any Argos store and further benefit from
a 5% discount off the latest Argos price.
 a leading figure in efficiencies in the public sector
One of the main areas where inefficiencies lie is the purchasing
of essential non-strategic items on an everyday basis. This can be
a time-consuming process, with the effort required to process
purchase orders and physical purchases soon adding up.
For example, the processing and transactional costs for buying
a £25 kettle can be as much as £94.50, once the raising of a
purchase order, collection of item and settling of an invoice is taken
into account, adding over £69.50 in unseen administration costs.
Yet few public sector organisations seem to take advantage of the
consolidation of low value ad hoc purchases that the Government
Procurement Card offers.
The retail framework agreement that Argos Business Solutions
holds with OGCbuying.solutions is helping public sector
organisations control, centralise and consolidate spend more
efficiently. The agreement means that public sector organisations
can order any Argos product without the need for tendering and
can also combine spend across departments.
With over 17,000 products available to the public sector and over
700 stores nationwide, Argos is an easy source for both regular
orders and unplanned purchases – from the latest vacuum cleaners,
furniture, home starter kits, games consoles, DVD players,
Argos Business Solutions offers
the public sector:
• Choice, value and convenience
to the purchaser
• Cheaper procurement costs
• Control for budget holders
• Convenience for budget spends
13
camcorders, bunk beds, TVs, microwaves, washing machines
and everything in between.
Public sector professionals also benefit from the multi-channel
approach to retail from Argos, maintaining the convenient
shopping process government personnel come to expect as
consumers, including a well-maintained delivery system that
delivers most products in five working days across the country.
A range of public sector organisations are already taking
advantage of the tools and services offered by Argos in this area,
with the company helping the Ministry of Defence (MoD), Prison
Service, NHS, police forces, schools and other educational institutions
realise how best to make their procurement more efficient.
With a progress update on the Gershon report due for Parliament
discussion in the near future, the need to maximise efficiencies
has never been greater. GPC Visa, along with the tools and services
offered by some of its approved suppliers, gives every public sector
organisation the opportunity to streamline their buying processes
to control and increase their budgetary spend through the retail
environment today.
If you would like to find out more
about Argos Business Solutions,
please call 0870 240 2007 or email:
Central government enquiries –
terry.ray@argos.co.uk
Local government enquiries –
chris.pentland@argos.co.uk
 14 Doing business

How do you use yours...?

With just under a month to go until the end of the year, have you and
your organisation done all you can to help meet the government’s
efficiency targets for 2007?

ith just under a month to go until the end of the year,

GPC Visa can now be used for almost
W have you and your organisation done all you can to help
meet the government’s efficiency targets for 2007?
One way you can stay as efficient as possible is to constantly
every type of purchase in any
government department. From paying
review the way you use GPC Visa. Do you, for instance, have an
up-to-date picture of which of your suppliers take GPC Visa cards? for train tickets online to buying
Do all of your card-holding staff know how to use them? And are
you introducing new ways of using GPC Visa wherever possible?
computer systems, GPC Visa is fast,
It’s also important to consider using OGCbuying.solutions’ range flexible and efficient.
of suppliers, as they have all gone through a rigorous, EU-compliant
procurement process. Alternatively, you may have your own list
of regular suppliers whom you trust and wish to continue using.
Either way, GPC Visa is the most efficient way to pay.
GPC Visa can now be used for almost every type of purchase in
any government department. From paying for train tickets online
to buying computer systems, GPC Visa is fast, flexible and efficient.
How do you use yours?

Argos Business Solutions is the business-to-business division of
Argos, the UK’s leading General Merchandise Catalogue retailer.
They provide solutions that enable effective budgetary control
and convenience when purchasing low value non-strategic items,
delivered with effective customer service. Orders using GPC Visa
can be placed centrally or at any Argos store and further benefit
from a 5% discount on the latest Argos prices.
Contact information
Website: www.argosb2b.co.uk/ogc
Email: corporate.link@argos.co.uk
Telephone: 0870 240 2007
B&Q are a leading supplier of RMI products with over 325 outlets
nationwide. They offer a complete range of maintenance and
property improvement products, all at everyday low prices.
B&Q are leading the way in electronic VAT invoicing data through
the VGIS (Visa Global Invoice Specification) solution at their point
of sale. From November you will receive level 3 VAT information.
Contact information
Email: mike.cartwright@b-and-q.co.uk
Telephone: 07886 021241
 Getting suppliers on board 15

In readiness for 2008, why not look to review your existing Barclaycard Business realise that some of you may already
suppliers to identify spend that can be migrated from traditional have your own purchasing policies and we are not
invoices and help deliver additional benefits for your organisation. encouraging you to step outside of these. We would like to
take this opportunity to purely raise awareness of some of
Visa Supplier Matching Service the suppliers available under framework contracts.
Visa offers the above service which allows our customers to
submit their own list of suppliers to be analysed. Visa will identify For a full list please visit www.ogcbuyingsolutions.gov.uk
which suppliers accept payment using Visa and highlight those
that don’t. We can then work with you to recruit your suppliers of
choice so you can both share the benefits of making and taking
GPC Visa payments.

Comet Business Services is one of the largest electrical retailers From Desktop to Data Centre
in the UK. They are the ongoing primary supplier of electrical
All over the world, enterprises are choosing Dell as their total IT
products to many organisations within the public sector. Local
solutions provider. Combining a comprehensive portfolio of
governments, education authorities and housing associations are
competitive products that integrate the latest in scalable and
already benefiting from working with Comet Business Services by
standards-based technology, strong partnerships with industry-
using the Comet Business Services Public Sector discount card
leading players and excellent service and support packages, Dell
which gives you up to 10% discount on the retail price when
experts are able to tailor a complete-end-to-end business solution
buying on behalf of your government organisation.
to specifically meet your business needs.
Contact information
Contact information
Email: ogcregistration@comet.co.uk
Website: www.dell.co.uk/public
Telephone: 0870 129 6091

Barclaycard Business does not and is not endorsing these third-party brands.
 16 Visa Global Invoice Specification
B&Q Brings Business Customers
Electronic VAT Invoices
B&Q’s implementation of the Visa Global Invoice Specification (VGIS) –
an electronic VAT invoicing solution accredited by HMRC with automated
payment provided through Visa Purchasing.
Background on B&Q
B&Q offers up to 40,000 top brand products catering for every
product area from replacement light bulbs for the office to
supplying materials for a housing regeneration team or hospital
maintenance department and all under one roof.
With 325 stores nationwide open early ’til late, seven days a
week, B&Q boasts a wide range of services for professional
builders and maintenance teams, including dedicated trade
staff, free quotations and a call and collect service.
B&Q is an approved supplier within HM Treasury’s Retail Trade
Framework, having gone through a rigorous tendering process
with OGC Buying Solutions – an Executive Agency of The Office
of Government Commerce. This means that they meet all of the
necessary statutory requirements set by OGC Buying Solutions
when a Government Procurement Card (GPC Visa) or Visa
Purchasing card is used at B&Q.
B&Q is leading the way in electronic VAT invoicing data by
implementing a VGIS solution at their point of sale.
Why offer enhanced VAT invoicing data?
Corporate customers across the public and private sectors are
increasingly looking for greater financial control, in particular,
for VAT and internal auditing purposes. Electronic VAT invoicing
data is the key.
Says Mike Cartwright, Business to Business Manager at B&Q:
“We decided to become a ‘VGIS Purchasing card merchant’
when we recently invested in a new EPOS (electronic point of
sale) system as part of our chip and PIN acceptance strategy.
This meant we could make electronic VAT invoicing data
available to Visa Purchasing users which conforms to the VGIS
standard format. This allows for very comprehensive information
to be included within the invoice.
“As a result, instead of receiving a paper invoice, customers
can now benefit from HM Revenue & Customs approved VAT
evidence information on all B&Q purchases on their Visa
Purchasing ‘Evidence for VAT Deductions report’. In addition,
by using their Visa Purchasing card at B&Q, customers no longer
need to use petty cash, make expense claims or issue a paper
purchase order.”
The electronic VAT invoicing data, available exclusively
through Visa is aimed at Visa Purchasing card holders across
public and private sector organisations as a way to reduce
transaction costs. Electronic invoicing with Visa Purchasing
means that payment is at the touch of a button, eliminating
time consuming and costly paper work. By reducing transaction
costs, it is anticipated that sales volumes will be increased
throughout B&Q outlets.
The benefits
By developing VGIS, B&Q is now able to offer VAT-accredited
invoicing for Visa Purchasing card users – a facility which is
greatly valued by customers to the stores.
Comments Mike Cartwright:
“We have sensed a real demand from business customers
for a way to streamline their back office costs, which is why we
embarked on this project.
At B&Q we have always worked hard to make our customers’
lives as easy as possible by offering longer opening hours to
access up to 40,000 products under one roof. Now, by giving
them electronic VAT invoicing data automatically, we are saving
them even more time and eliminating the need for manual
processing of invoices. As a result they are even more likely
to choose B&Q as their preferred supplier, thereby helping to
stimulate customer loyalty.”
The secret of success
B&Q and Barclaycard Business have worked in partnership to
provide all B&Q stores throughout the UK with the ability to
flow VGIS data. The partnership approach fostered by both
organisations has been central to the successful implementation
of this integrated development.
Barclaycard Business is committed to supporting merchants
with VGIS development and has helped generate an
understanding throughout B&Q of the benefits of this VAT-
accredited functionality. Once the business decision was
taken by B&Q to move forward, Barclaycard Business provided
an Implementation Manager to the B&Q account to ensure that
this process was managed smoothly and any challenges
 Visa Global Invoice Specification 17

encountered were resolved without any undue disruption. The future

Throughout all stages of this project, communication between
Barclaycard Business and B&Q has been crucial and has meant
that B&Q’s project objectives were always central to both
organisations’ thinking.
Barclaycard Business has a team of experienced professionals
to help with all stages of VGIS development. This resource was
fully taken advantage of by B&Q and ensured that the project
was delivered successfully. Says Mike Cartwright, Business to
Business Manager at B&Q:
B&Q’s VAT-accredited electronic invoicing solution is available
to Purchasing card users when they purchase goods inside
B&Q stores. However, plans are already in an early stage of
development for phase two, which will extend the facility to the
e-purchasing environment – purchases made over the Internet
and telephone orders.

“The expertise of the individuals on the Barclaycard Business

team has proved invaluable in helping us to bring this initiative
to fruition.”

Business Travel Show

Barclaycard Business will be exhibiting at the Business Travel Show,

5–7 February 2008 at Earls Court, London. With 22% of GPC Visa spend
now on travel, why not come along and see us on stand 437 to discuss
how GPC Visa could help your travel programmes.
It's free to attend – simply register in advance online at
www.businesstravelshow.com
 18
Fantastic plastic:
real savings from
card acceptance
The buying power of the public sector is about to deliver a new route
to hard cash savings running into tens of millions of pounds each year.
he recently launched Government Merchant
T Acquiring framework agreement is set to
result in a boom in the use of credit, debit
and charge cards for payments between public
sector organisations, and also between citizens
and businesses and the public sector.
Crucially, the predicted growth in the use of
cards will also enable the public sector to use its
aggregated procurement muscle to negotiate
more favourable service charges levied by the
banks down to levels enjoyed by retail giants like
Tesco and Wal-Mart.
The result is a win, win, win situation for the
public sector, citizens and all those trading with the
public sector.The public sector will make significant
cash and efficiency savings by using a faster, more
secure electronic system when making and
receiving payments. Citizens will have far more
choice and convenience in the way they make
payments for services, while suppliers can look
forward to cash-flow and efficiency benefits of their
own by receiving secure, automated payment for
goods and services, normally within just four days.
The architect of the new Government
Merchant Acquiring framework agreement is
OGCbuying.solutions’ Head of Payment Cards,
Jim Parkinson.
Flexible benefits
“The potential is enormous. Historically the
collection of payments for a wide variety of
goods and services within the public sector has
been limited to cash, cheque or Direct Debit, with
little scope for payments by alternative cheaper
and more convenient means, says Jim.
“These new arrangements will change that for
the good of all concerned. As a country we spent
New framework agreement announced
£240 billion using cards in 2004 and more than
“Much of the
42 million people are now carrying cards so it has
been a major anomaly that, in many cases, the
option of using a card to pay for public services
work on existing
systems is boring
has not been available.
“Very soon we will see everything from council and repetitive and
tax, parking tickets, court fines, student fees,
school meals, rent, leisure centre fees, charity
switching to an
donations and more being paid for with cards. electronic system
The public sector is all about helping more and
more ordinary people to access public services
enables staff to be
in the most convenient way possible and I used in far more
anticipate these new arrangements will do
just that.
stimulating and
“We have talked in detail to a wide cross productive areas,
section of the public sector to ensure that we
shaped these arrangements in a way that
such as customer
maximises the benefits across the board, for service roles”
large central government departments and
smaller local organisations alike.
“The benefits of electronic payment systems
and electronic trading are generally quite well
understood in the public sector, in terms of much
reduced back office administration, far fewer
opportunities for theft and the manual errors that
require costly, time consuming corrective action
and 24/7 accessibility.
“Much of the work on existing systems is
boring and repetitive and switching to an
electronic system enables staff to be used in far
more stimulating and productive areas, such as
customer services.
“The new service will utilise well proven,
secure technology with minimal set-up costs.
Automated reconciliation promotes transparency
and delivers environmental benefits by
contributing to the paperless office concept.”
 New framework agreement announced 19

Card Acceptance – the key features • Step 2 The card transaction will be passed to the “The new service
Merchant Acquiring is also known as Card Acquirer for processing. The Acquirer will remit
Acceptance. Organisations using the new the sale proceeds to the Merchant’s bank will utilise well
OGCbuying.solutions framework agreement will account, normally within 4 working days.
be able to accept payment from all major credit,
proven, secure
debit and charge cards across the counter, or • Step 3 The Acquirer will request payment from technology
remotely by telephone or via the Internet. the Card Issuer, normally receiving settlement
The framework will be let in accordance with within a few days. with minimal
strict EU procurement rules offering services from set-up costs.
a variety of UK banks. Users will then conduct a • Step 4 The Card Issuer will charge the
further competition to select a bank whose Cardholder, either by paper statement or to a Automated
services most closely meet their requirements. nominated bank account.
Set-up and transaction charges will be highly
reconciliation
competitive and payment transactions will • Step 5 The Acquirer will send the Merchant a promotes
be authorised instantly. monthly statement detailing each day’s banking
along with the costs incurred. These are transparency
How the transaction takes place normally paid by Direct Debit. and delivers
• Step 1 The Merchant (the public sector
organisation) accepts payment by card and environmental
swipes this through either a terminal rented benefits by
through their Acquirer (the bank) or, in the
cases of large organisations, their own terminal contributing
software. The terminal will either dial out for an
authorisation that the card is not reported lost
to the paperless
or stolen, or work within floor limits agreed with office concept”
the Acquirer.

For more information please call OGCbuying.solutions’

customer service desk on 0845 410 2222
or email custcare@ogcbs.gsi.gov.uk
 20 Maximise the benefits

Barclaycard Business successful in being

accredited OGCbuying.solutions supplier
status for Acquiring Services

n 1st November we at Barclaycard Business received

O the confirmation we had been waiting for; we had been

successful in securing supplier status as part of the
OGCbuying.solutions framework agreement for Government
Merchant Acquiring Services.
As the UK’s leading issuer of GPC Visa, we have been working
successfully with the public sector for many years. And, because
of this excellent grounding, we have been able to closely align the
acquiring deal based on these core values and maximise the
expertise and brand integrity of the Barclays Group.
Our pedigree in acquiring spans some 40 years. We look after
the processing and payment of over a third of Britain's retailers, our
processing platform is one of the most advanced in the world and, with the aim of making the process of accepting payment for goods
in 2005, more than 1.8 billion purchases were made with credit and services easier and more cost efficient for you.
and debit cards through 192,000 Barclaycard Business customer You already trust Barclaycard Business to provide your GPC Visa,
outlets in the UK. So you can be assured you will be dealing with so why not let us look after your acquiring needs? For more information
a trusted and experienced partner. on how we can support your organisation please contact us on
Taking card payments enables you to offer your customers 0800 616161 quoting ‘OGC framework agreement’.
choice, convenience and flexibility when doing business with you.
It can help improve your cash flow, as payment is made direct into
your bank account in 3–4 days* and it could also help reduce late
or unpaid bills. With our range of card payment solutions,
customers can pay you in person, over the telephone or even via
• Improves cash flow
your website. New technology, such as contactless payments,
enables customers to pay for low value transactions with cards
instead of cash. Car parking meters and vending machines in
• Reduces cash handling
public places are two examples of where this new technology
could make a difference for both you and your customers.
• Instant authorisation
Under the new framework agreement, Barclaycard Business will
offer a range of preferential rates on these products and services
which you will be able to flex depending on the individual needs
• Convenience for customers
of your organisation. You may wish to avoid the sometimes
complicated detail of acquiring, so we have a single rate offering to • Pre-negotiated contract
cover all card transactions regardless of whether they are credit or
debit. Alternatively, if you are one of our larger customers you may
require a bespoke pricing arrangement and will receive a dedicated
• Preferential rates
relationship manager.
Essentially, the agreed framework is a flexible one where we are • Trusted financial partner
able to structure deals according to your organisation’s requirements,

*This timescale may vary; this will be clarified within the terms of your Merchant Agreement.
 Open your website to ePDQ 21

Accepting Card Payments

Online with ePDQ

s well as bringing efficiencies to your purchasing activities settlement that lets you trade online quickly, easily and safely. It's

A when you pay by card, accepting payments by card can

help streamline many of your payment acceptance and
collection processes.
As an increasing number of people turn to the Internet as a
more convenient way to pay, Barclaycard Business is pleased to
introduce ePDQ – your secure way to accept card payments online.
ePDQ comes in several different guises, each designed to satisfy
different online business needs. The most popular version is our
ePDQ “Cardholder Payment Interface” (or CPI). CPI is a world-
class, secure online service for card payment authorisation and
flexible, reliable and straightforward to integrate with your website.
When a customer chooses to make a payment from your
website and proceeds to “check out”, they are directed to the ePDQ
secure payment environment. Here they can pay quickly and easily
by debit or credit card. ePDQ automates and completes the
transaction – and your staff can then fulfil the customer's order or
issue a payment confirmation advice.
ePDQ processes your payment transactions with the bank,
handles settlement, and provides you with online management
information and regular statements for all your online transactions.

The benefits
• Easier for customers – allows your customers to • You choose the level of security – ePDQ’s
make payments online with their credit and debit enhanced fraud control means you can set
card so you can collect payment more quickly additional rules to help protect your organisation
from fraudulent card transactions
• Gives your customers choice – ePDQ accepts all
major credit, debit and charge card types • Free upgrades – we are committed to keeping
ePDQ at the cutting edge of technology, and
• Security – secure payment pages are hosted by
making sure it is always compliant with the rules
Barclaycard Business and co-branded to give your
of card payment schemes
customer extra reassurance that their card details
will be safe. This also saves you the responsibility • You could be accepting card payments online
and liability for security issues within a few days – ePDQ is straightforward to
integrate with your website and support is
• Works for telephone and mail order payments
available from our dedicated helpline and
too – ePDQ includes, as standard, the facility for
technical team whenever you need it
you to process your mail and telephone
payments together with your Internet payments,
which means your admin and accounting
procedures are simplified

Ready to start accepting online payments?

Is your organisation thinking about accepting online payments? Would you like more information about ePDQ?
Call us on 0800 616161 quoting “GPC News” or email us at gpcnews@barclaycard.co.uk
 22 Housekeeping

Online Services

Now there’s no need to wait for your paper statement to arrive each month.
With Online Services you can have your account information at your fingertips
whenever you want it.

Fast, secure and easy to use

As a card administrator, Online Services can make managing
your cards easier.
Join today
To apply for this free service, simply visit
• Easy access – see your credit limits, statements and
transactions whenever you want www.barclaycardbusiness.co.uk/getonline
and complete the online form. We’ll then email
• Secure ID and verification for log in – keeping personal and you a membership number so you can set up
transactional details safe
your own password, passcode and memorable
• Key financial information – if you have fewer than 10 word for security. It’s as simple as that.
cardholders, the most commonly requested information will
be displayed on your welcome page You can also view a demonstration of Online
Services at www.barclaycardbusiness.co.uk/
• Easier to manage your cardholders – our selection of reports
helps you manage cardholder activity existing_customers/paying_by_cards/online
_services/demo.html
• Search options – making it quick and easy to find the
transaction you’re looking for

• Access to previous statements and transactions – building

to a rolling 13 months of information so if you can’t find your
paper statement, you can view it online, removing the need for
additional paper copies

• Ability to reset passwords – no hassle of contacting us if a

cardholder forgets their password

Your cardholders can benefit too

Once you’ve registered for Online Services, you can register
your cardholders too. This will enable them to view their own
transactions and statements online.
If you’re the only cardholder in your organisation, you’ll be set
up as the card administrator so you can make the most of
Online Services.
 Housekeeping 23

FRAUD ALERT
If you receive an
email such as this
one, on no account
must you click
on the link and
fill in the details.
This is known as a
Phishing attack and
is a known method
to gain your card
details. This alert has
been highlighted by
OGCbuying.solutions
and if you receive
any such emails
please contact us
immediately so
we can notify
them and Visa.

More opportunities to deliver savings Visit www.barclaycardbusiness.co.uk/gpcnews

Do you have anyone new in your organisation,
someone who has recently changed roles or
been promoted and they have not yet applied for
their own GPC Visa card?
Additional cardholders for
additional benefits
Additional cardholders could extend the benefits
your organisation already enjoys through its
Government Procurement Card account:
and you will find a link to an additional
cardholder application form or, alternatively,
please contact us in the normal way.
Cards no longer in use
On the other hand, you may have cards that are
no longer required. If you have, just let us know
and we can update your account. Again, contact
us in the normal way.

• Simplified procurement – cards can be used

for a wide range of purchases, from office
supplies to temporary staff costs
• Increased efficiency – thanks to reduced
administration and bureaucracy
• Control over expenditure – by only allowing
cardholders to spend in specific purchasing
categories
• Less paperwork – which means less impact
on the environment as well as less admin

With no card or interest charges to pay, adding

cardholders won’t cost your organisation at all
and it’s easy to do.
 24 Further Information

Please see the following websites for further details:

GPC News – www.barclaycardbusiness.co.uk/gpcnews
OGC – www.ogcbuyingsolutions.gov.uk
Visa – www.visaeurope.com

If you require further information on any of the items discussed in this newsletter,
please could you email your enquiry in the first instance to gpcnews@barclaycard.co.uk
This will enable us to direct your enquiry to the most relevant team.
OR
If you have a Relationship Manager, please contact them in the normal way.

This newsletter has been printed on recycled paper. Please consider the environment and note that further versions of this newsletter
can be viewed in PDF format on our website: www.barclaycardbusiness.co.uk/gpcnews
BCD884216NLTB1 Created 10/07

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Barclaycard Business is a trading name of Barclays Bank PLC. Barclays Bank PLC is authorised and regulated by the Financial Services Authority. Registered in England. Registered No. 1026167. Registered Office: 1 Churchill Place, London E14 5HP.