In the public sector, goods and services must be purchased compliantly to encourage free competition between suppliers and ensure value for money. This blog will provide an overview of the route-to-market options available to you so that you can make an informed decision about what is right for your organisation.
Legal Requirements
As a public sector organisation procuring goods, services and works, before purchasing it is important that you identify the nature of your procurement and understand its anticipated value. Procurement Regulations apply to all purchases by public sector bodies, with structured provisions applicable to high-value contracts in excess of certain thresholds. The estimated value of the contract is calculated over the whole lifetime of the contract inclusive of VAT. Structured tendering procedures apply where the value is equal to or exceeds the following thresholds.
The rules, regulations and procedures that apply to procurements above these thresholds can be complex and onerous, and organisations should ensure they comply with the regulations at every turn, seeking professional support and guidance if they do not have the required knowledge or experience. Dukefield Procurement Limited are a full-service procurement consultancy who, through their team of qualified procurement professionals, can support organisations to undertake their procurements in compliance with the procurement regulations
Frameworks
A framework agreement is an agreement between a contracting authority and one or more suppliers for the provision of goods, services or works. The framework agreement provides public sector bodies with access to a compliant route to market where the goods, services or works have been competitively tendered in compliance with the UK Public Contracts Regulations. Prospective suppliers bid for a place on the framework, are evaluated on factors including price and quality against given criteria, and having been selected as a supplier, are able to supply the goods, services and works under the framework to public sector bodies.
Frameworks save time as they remove the requirement for public sector bodies to complete their own full tender in compliance with the UK Public Contract Regulations. Saving money from less resource-intensive processes is a great benefit, along with the savings that often occur from the competitive pricing offered by framework suppliers.
As framework suppliers are selected through a competitive bid process, they have already been vetted which removes the need for public sector bodies to undertake similar intensive vetting processes, whilst also providing a measure of quality assurance and credibility of supply. Frameworks are also underpinned by a common set of terms and conditions, which provides public sector bodies with added assurance and protection.
Routes-to-market
Public sector bodies can choose to either procure their requirements through a framework, or via a full tender process. Frameworks typically offer flexibility in purchasing goods, services and works, and depending upon your specific requirements, you may choose to purchase your goods, services or works via a framework either through a direct award or through running a further competition, If not wishing to engage in a framework, organisations can consider running their own full tender process. These options are summarised below.
Framework
Direct Award
You may be able to compliantly appoint a supplier without the need to engage in a further competition i.e., by a process of Direct Award. The grounds upon which you can direct award will vary from framework to framework and our team are here to assist you in this regard. Whether you have unique requirements, wish to retain a proven and capable supplier, or have identified a solution or supplier of choice, you may be able to compliantly Direct Award, thus delivering what you require in a timely and cost-effective manner. Please contact our team to see how best we can assist you.
Further Competition
A further-competition under a framework allows you to market your requirements to the select pool of suppliers who have been awarded a place on the framework to deliver the required goods, services or works.. The framework allows you to reach a selected group of suppliers who have already demonstrated they have the knowledge and know-how to deliver the goods, services or works in question. A further-competition, though a much quicker and simpler process than a full tender,still requires a detailed specification of your schools’ needs. Our procurement professionals are here to assist you to compile your specification and thereafter assist you throughout the further competition process; compiling the tender documentation, managing the competitive process and, working with you, undertaking the evaluation of bids and selecting your preferred supplier (s). We are here, to assist, so please contact our team for more details.
Full Tender
If a further competition under a framework is not right for you and you require the undertaking of a full tender to source your solution, we are able to assist. Our expert team of procurement professionals are able to assist you to draft your specification, compile your invitation to tender documentation, undertake the procurement process, facilitate the evaluation of supplier bids and thereafter work with you to identify your preferred supplier (s). A full tender process allows you to present your requirements to all suppliers throughout the UK, thus ensuring maximum competition and choice. These exercises can be complex and time-consuming and it is vitally important to have the right procurement support as part of your tender team. We have extensive experience of providing procurement support services to public sector bodies, so why not contact our team to see how best we can support you.
Dukefield Procurement are the contract managers for a number of UK Public Contracts Regulations compliant frameworks. We also provide a range of other procurement and tender support services that can be tailored to your individual needs.
Visit our dedicated procurement hub website, email us at info@dukefieldprocurement.co.uk or give us a call 0345 900 2877 to find out more.