Supplier Meeting regarding supply of Low Carbon Vending Services Steph Holmes Head of Procurement Jessica Osowski Category Manager – Business Services 2 Agenda • 09.30- Registration and refreshments • 10.00- Welcome and introduction to the day • 10.10- The Low Carbon Vending Services Project, the INNOCAT Project and Procurement Process Questions and discussion • 11.00- Workshop session and feedback • 12.00- Closing address- Mrs Pat McGrath- Director of Accommodation and Commercial Services • 12.10- Coffee and networking • 12.30- Self-guided Site Visit- Please see the campus map at the back of the room. 09/04/2015 © The University of Sheffield 3 Who is here today? • Representation from the: • Supply chain • UoS project team • Buyers group • INNOCAT 09/04/2015 © The University of Sheffield 4 Our commitment to low carbon • Challenging carbon reduction target • 43% reduction by 2020 on a 2005 baseline • Vending is one of a number of carbon reduction projects: • Others include: • Combined Heat and Power for Western Bank • Energy saving initiatives • Green Impact (an environmental accreditation and awards scheme run by the National Union of Students) • Commitment to sustainable procurement through the DEFRA flexible framework 09/04/2015 © The University of Sheffield 5 Low Carbon Vending Services • UoS current vending service contract • ends November 2015 • Review of requirements • Customer demand staff, students, visitors • Carbon strategy operational and embedded carbon • Collaboration with other buyers University's Sustainable Procurement Group INNOCAT 09/04/2015 © The University of Sheffield 6 Current Scope and Scale • University of Sheffield and Students Union – 75 vending machines • Wider buyers group - still growing……in excess of 1000 • Currently contract split between 3 suppliers • Mixture of: • Cold drinks • Hot drinks • Confectionery 09/04/2015 © The University of Sheffield 7 Market Engagement • Communicated the ‘unmet need’ • Early market engagement • Pre-procurement • Invited your views on the feasibility of the requirement and the capability and capacity of the market to offer a solution • Contribute to achieving improvements in one or more aspects of the requirement • Contribute to a total solution • Provide a total solution, or • Deliver incremental improvements or a step change in the short, medium and long term. 09/04/2015 © The University of Sheffield 8 The unmet need is for a vending service that will: • Meet the current and future vending needs of the customer population and client • Demonstrate a progressive reduction in operational and embodied carbon over the life of the contract • Deliver a net positive income stream for the client (based on whole life cycle costs) 09/04/2015 © The University of Sheffield 9 09/04/2015 © The University of Sheffield 10 Buyers Group 09/04/2015 © The University of Sheffield 11 Response from the supply chain? • Positive - clearly some suppliers motivated • Confident that we can deliver progressive reduction in carbon footprint without compromising income and quality • Need to work together with supplier(s) • Develop a procurement strategy and contract that facilitates the required outcomes 09/04/2015 © The University of Sheffield 12 Procurement Strategy • Following market engagement we will develop a Procurement Strategy • Specification • Procurement approach • Evaluation criteria • Contract arrangements How can our procurement process support on-going supply chain innovation to deliver a progressively lower carbon vending services? 09/04/2015 © The University of Sheffield 13 Indicative Procurement Timeline • Nov/Dec 2014 – Summary findings of market consultation – opportunity to comment • End Jan 2015– Advertise tender and pre-qualification • End Feb 2015– ITPD distributed • May 2015– Competitive Dialogue • August 2015– Best and Final offers • Autumn 2015 – Award • Jan 2016 – New contract on site 09/04/2015 © The University of Sheffield