Value for Money

Value for Money (VFM) is the term used to assess whether or not an organisation has obtained the maximum benefit from the goods and services it acquires and/or provides, within the resources available to it. It not only measures the cost of goods and services, but also takes account of the mix of quality, cost, resource use, fitness for purpose, timeliness and convenience to judge whether or not, when taken together, they constitute good value. Achieving VFM may be described in terms of the 'three Es' - economy, efficiency and effectiveness:

  • Economy: doing less with fewer resources, i.e. making savings.
  • Efficiency: doing the same as before, but with fewer resources (money, staff, space).
  • Effectiveness: doing more than before with the same resources as now (or less).

The University is a highly complicated and devolved organisation. Management information can be difficult to judge and use. Therefore, individual members of staff are very much encouraged to identify possible areas where the University could improve its VFM performance. Any suggestions would be very welcome and should be submitted to John Hogan, Registrar.

Dr John Hogan