How to do business with the Council

James Trotter

Senior Procurement Manager

Leicestershire County Council

Introduction

1. The Opportunity

2. The Tendering Process

3. Further Information

4. Questions

1) The Opportunity

Every year the Public Sector spends over

£100 billion on goods, works and services.

Leicestershire County Council (2007/8)£275m

Social Care

31%

Books & J ournals

1%

Food

2%

Building & Civil Engineering

19%

Transport

9%

Stationery

1%

HR

7%

Design, Print & Marketing

1%

Waste

4%

Facilities Management

1%

Remainder

12%

Furniture

0%

Consultancy

5%

ICT

3% Vehicles

2%

Utilities

2%

How the public sector buys• Accountable - value for money (best practice)

• Legal obligations (EC Treaty / EU Directives)

– Principles• No discrimination• Equal treatment• Fair competition• Proportionality• Transparency

– Advertising

– Formal tender processes

• Consortia (e.g. ESPO)

What are we doing?• National Concordat for SMEs

– Sustainable Commissioning & Procurement Strategy

– Publish list of prime contractors

– Standardising documents and processes

– Proportionate evaluation criteria

– Meaningful feedback

– Complaints procedure

– ‘What it means to be an LCC supplier – our expectations’

• Contract Procedure Rules– Advertise contracts

– Single points of contact for all categories purchased

• Meet the Buyer / How to do business events / Website

Sustainable Commissioning & Procurement Strategy - Performance IndicatorsEconomic• Year on year procurement savings (cashable) achieved• Percentage of payments made within 30 days by the Council where the invoice is undisputed• % spend with SMEs• Number of local SMEs submitting Pre-Qualification Questionnaires to ESPO when expressing an interest

in Council requirementsSocial• No of EIAs completed as part of or prior to procurement process• Level of Equality Framework for Local Government achieved• % of contracts with a Total Value of £1m more that include a Social ClauseEnvironmental• Level of national Flexible Framework achieved• % of high risk contracts where environmental considerations were included in the contract award

(weighting 15%+)• CO2 (tonnes) emitted by Statutory Service suppliers with whom the Council spends £100k+ p.a.Commissioning & Procurement Practice• Corporate Use of Resources Score: Value-for money (out of 4)• Value of procurement spend transacted electronically (including purchasing cards)• Colleague satisfaction with purchasing arrangements• Key Supplier Performance across spend categories• % of contracts supported by ESPO

The Benefitsof Public Sector Business

• Stable

• Local delivery

• Fair and transparent processes

• Foothold into other public sector bodies

2) The Tendering Process

Identify the right opportunity

Complete pre-qualification process

Submit your tender

Evaluation of tenders carried out

Contract awarded

Minimum advertising requirementsEstimated value Advertising

£0 to £25,000 None required (optional)

£25,000 to £50,000 Source Leicestershire (where practical and appropriate)

£50,000 to EU Threshold Source Leicestershire

Over EU Threshold OJEU and Source Leicestershire

Identify the right opportunity

• Direct contact - websites

• Consortia (e.g. ESPO – www.espo.org)

• Advertisements (higher value contracts)

– Source sites - e.g. www.sourceleicestershire.co.uk

– Contrax Online - http://www.contraxonline.com/

– Local / trade press

– Large Tenders above EU thresholds (Official Journal of the EU)

• Tenders Electronic Daily (TED) - http://ted.europa.eu/

Pre-qualification process

• Selection Criteria / Evaluate Organisation

• Pre Qualification Questionnaire (PQQ)

– Used to shortlist suppliers

– Comprises a list of questions

• Financial status

• Experience inc. references

• Company policies and accreditations (e.g. equalities)

• Etc.

– Scored against pre-agreed criteria

Completing your tender

1. Understand the clients requirements

2. Only tender if you can meet the criteria

3. Read documents carefully

4. Take advice and support

5. If in doubt ask

6. Consider collaborating

7. Address the award (and selection) criteria

8. Check your bids before sending

9. Label and address tender documents correctly

10. Keep to the deadlines!

How your tender will be evaluated

• Tenders opened at pre agreed date and time

• Evaluated against agreed criteria by panel

– Process may include: site visits, presentations as set out

in the tender documents

• Clarifications

– Respond quickly and professionally if asked for more

information

Contract Award

• Contract awarded

– to the supplier who best meets award criteria

• Debriefing

– Ask for feedback

3) Further information

• Council Websites e.g. Leicestershire’s

doing business with the council guide.

• Consortia websites e.g. ESPO’s Buyer profile - www.espo.org

• Supply 2 Gov - www.supply2.gov.uk

• SOPO - http://www.sopo.org/

• The Directory of Local Government -

www.lgcnet.com/lgcdirectory

4) Questions