British Food Plan
Stakeholder review into balanced scorecard
approach for public food procurement
February 2014
Contents
The British Food Plan .......................................................................................................... 1
Balanced Scorecard………………………………………………………………………………..3
Questions to stakeholders…………………………………………………………………………8
What happens next...............................................................................................................8
Annex A: Criteria for a balanced scorecard for the procurement of food & catering
services…………………………………………………………………………………………….11
Annex B: Potential costs and benefits of implementing the balanced scorecard…………37
The British Food Plan
Public sector food and catering accounted for £2.1bn (6.5%) of the food service sector in
2011. This includes the procurement of central government departments, including prisons
and the armed forces as well as other bodies like schools and hospitals.
Defra, with Dr Peter Bonfield, is working on a British Food Plan to enable public
procurement to support a healthier future people, farmers and food processors, in
particular a sustainable and competitive UK food and farming sector. This work includes
reaching out to the wider public sector, such as schools, hospitals, colleges, care homes
and local authorities, as well as developing a toolkit for procurers that supports a more
transparent and consistent approach to procurement as a result.
The British Food Plan is aiming to deliver results by June 2014. Activities are focused on:
 Developing a toolkit, including a balanced scorecard for use when letting
procurement contracts;
 revising the Government Buying Standards for Food and Catering (the GBS),
which will underlie the balanced scorecard, and working to facilitate
implementation by central Government Departments. This involves working with
Crown Commercial Service (CCS), which puts in place contracts for use across
Government and the wider public sector;
 working with central government procurers and those from schools and
hospitals to trial this toolkit; and
 monitoring procurement patterns, and identifying and sharing good practice.
1
Why we need your views
This stakeholder review seeks your views on the balanced scorecard, and its use in letting
procurement contracts. A list of questions is provided in this document.
Broadly, we are seeking to assess:

whether our approach to the balanced scorecard is sound and results in a useful
tool that builds upon the GBS;

whether the balanced scorecard has been weighted sensibly between cost and
non-cost criteria;

whether the criteria have been classified appropriately – are the mandatory
requirements appropriate and proportional?

whether any further criteria should be added to the scorecard; and

the costs and benefits of implementing the balanced scorecard compared to the
current GBS.
2
Balanced Scorecard approach
What is a balanced scorecard?
In general, a balanced scorecard describes an evaluation approach where more
straightforward criteria, such as cost, are ‘balanced’ against more complex criteria, such as
health and wellbeing, resource efficiency and quality of service (see figure 1). By using a
balanced scorecard, priority themes such as farm assurance, food waste management,
and engagement with SMEs can be built into procurement decisions, alongside wellestablished criteria, such as animal welfare, nutrition, and energy management.
Why have we created a balanced scorecard?
We reviewed the Government Buying Standards (GBS) for Food and Catering and
considered the costs and benefits of potential new criteria. We now propose combining
mandatory requirements (essentially the current GBS) with other criteria (award criteria)
which will be used to assess letting contracts for public procurement. This would allow
some aspects of quality to be weighed against cost, and give suppliers an incentive to be
better than the minimum.
Figure 1: The balanced scorecard
3
Technical specifications and award criteria
Each of the five headings under the balanced scorecard can have mandatory
requirements, either technical specifications or contract performance conditions, and
award criteria aspects to them. The technical specifications are the factors that must be
met to qualify for consideration for the contract. Contract performance conditions must be
met to be properly performing the contract once awarded.
Award criteria are to enable procurers to evaluate bids against each other. They give
opportunities for suppliers to be rewarded for operating to higher standards.
The table below sets out the definitions we have used in Annex A.
Table 1:
Criteria
proposed for
technical
specifications
These criteria are those that are proposed for use as Technical
Specifications. All organisations bidding for contracts will be expected to
meet these requirements. They are, in most cases, drawn from the
mandatory elements of the existing Government Buying Standard for Food
& Catering Services.
Award Criteria
The award criteria are for use in the bid evaluation process. Relevant
considerations to their assessment are included. They are largely drawn
from areas covered by the Government Buying Standard Best Practice
standards.
The proposed award questions relate to these criteria. In most cases
they have been framed to specify an outcome, rather than requiring a
particular solution. This is to allow for flexibility and innovation by bidders.
Procurers may require evaluation guidance to help them rate each
response.
The evaluation guidance has not been developed yet. The aim will be to
develop this guidance so that diligent tenderers and procurers tend to
interpret them in the same way.
Other potential
Award Criteria
Other potential award criteria, where listed, are also examples of evidence
that might be submitted as part of a response. These criteria are generally
those which have been introduced as part of this project, or are those in
which we have less confidence.
Contract
Management
KPIs
In each case a set of specific, measurable contract management KPIs will
be suggested. At the time of writing (February 2014) these have not been
detailed.
4
Weighting
Annex B summarises some potential costs and benefits which are likely to arise from the
implementation of the balanced scorecard. They are broken down between economic,
environmental and social. The purpose of Annex B is to provide insight into the magnitude
of the costs and benefits of each of the criteria and sub-criteria, with a view to inform the
weightings for the balanced scorecard. Your comments will help us determine the
appropriate balance.
How does the balanced scorecard relate to the current GBS?
The balanced scorecard sets out the mandatory criteria that tenders must meet to be
considered for contracts using the scorecard. The mandatory criteria in the Government
Buying Standard for Food and Catering are also mandatory in the scorecard. They will
usually be suitable for technical specifications or in other cases as contract performance
conditions. Criteria that are not mandatory in the current GBS are currently categorised as
award criteria in the balanced scorecard.
Benefits of the balanced scorecard

It sets out clearly the mandatory criteria that tenders must meet to be considered for
contracts using the scorecard. These include all the criteria of the Government
Buying Standard for Food and Catering.

It means bidders can be rewarded for operating to higher standards where it is
economic to do so, yet procurers are not forced to adopt measures that would
increase costs.

Using the balanced scorecard is likely to take procurers to Bronze level under the
Catering Mark scheme, and caterers meeting Silver or Gold standard are likely to
score well under the Quality of Service criteria. Procurers can therefore achieve
recognition for their efforts, and this may result in increased uptake and economies
of scale.

It can also be readily adapted in future updates, as requirements could be moved
into or out of the mandatory section. The scorecard will assist procurers in applying
the GBS criteria and help them meet obligations under the Responsibility Deal on
Public Health and Public Services (Social Value) Act, as well as meeting the
reporting requirements of the Greening Government Commitments.

The balanced scorecard aims to make the process transparent and open for the full
range of businesses to gain access to government contracts, including SMEs.
Bid evaluation process
The two principles we propose to embed in this respect are: transparency for the suppliers
and some discretion for procuring authorities as to weightings to reflect their priorities.
5
The process to evaluate bids will require procurers to confirm that bidders are able to
supply food and catering services that meet the defined technical specifications. Bidders
will also be asked to provide evidence against the Award Criteria for each issue.
In order to evaluate bids against the Award Criteria procurers will be provided with a rating
scale, or ‘evaluation matrix’. Our aim is to make the rating as objective as it can be, but
without being so prescriptive that it constrains innovation, or results in the exclusion of
valid means of producing the desired outcomes.
The structure of the evaluation matrix used for a particular issue will depend on the nature
of the criteria. If the criteria are in the form of a list of simple, objective factors then
performance can be rated using a simple checklist. This form is easy for procurers, but if
the checklist is not exhaustive it may exclude alternative means of achieving the same
desired outcome. Table 2 is an example of a rating scale could be presented for criteria
suited to a checklist.
Table 2: Approach 1, rating scale suited to a checklist
Rating
% Score
Evaluation
Excellent
100
8 to 10 of a list of ten Award Criteria are met
Good
65
5 to 7 of a list of ten Award Criteria are met
Adequate
30
4 to 6 of a list of ten Award Criteria are met
No award
0
0 to 3 of a list of ten Award Criteria are met
Another approach is to provide detailed guidance against each rating level but without
setting out an exhaustive list. This may provide a solution that allows contractors to
develop their own ideas and supports innovation, but it will also require more effort on the
part of the procurer who will have to weigh up what could be very different proposals
against each other. The key to this more flexible approach is to ensure that the guidance
can be interpreted and applied consistently by all competent procurers and tenderers.
An example of this approach is outlined in table 3, through the evaluation of the
management system used to manage a particular issue (e.g. energy, water, waste).
6
Table 3: Approach 2, detailed guidance against each rating level
Rating
Excellent
% Score
100
Evaluation
The applicant has provided detailed and robust evidence of a
documented policy and management system. The policy is
translated into measureable objectives, which are reviewed
regularly. Progress against objectives is monitored, and
improvement actions are documented and implemented in a
timely manner.
Evidence that the management system has been externally
audited is provided. The management system may be
certified or registered within an appropriate management
systems certification scheme.
Good
70
The applicant has provided detailed evidence of a
documented policy and management system. The policy is
translated into measureable objectives, which are reviewed
regularly. Progress against objectives is monitored, and
improvement actions are documented and implemented in a
timely manner.
Adequate
40
The applicant has provided evidence of a documented policy
and management system.
No award
0
Inadequate evidence of an appropriate management system.
The final version of the balanced scorecard is likely to use a mixture of different
approaches, in some cases leaving the scoring open and more open to judgement and in
others seeking to provide an exhaustive list of factors in each case, with suggested
weightings.
7
Questions to stakeholders
Supporting documents
The questions refer to the supporting documents, Annexes A and B, which provide more
information on the balanced scorecard. Please refer to these when responding. Space has
been included in the table under Annex A for stakeholder comments in relation to the
following questions.
Questions
What are we trying to create?
1. Overall, do you agree with the balanced scorecard approach (in essence it is about a
clear and transparent range of requirements with clear evaluation criteria to allow
procuring authorities to balance some requirements against others e.g. higher
production standards against cost)? If yes or no, please give your reasons.
2. Do you agree with the headline range of considerations? If not, what would you
change?
3. Specific criteria:
a. Are the criteria included relevant and appropriate? Should we include any
additional criteria as mandatory requirements (technical specifications/ contract
performance conditions) or as award criteria? Please offer a justification.
b. Under each heading, criteria are classified as proposed as mandatory or for
award. Do you agree/disagree with the current placement of criteria under each
heading? Please offer a justification.
c. In respect of each of the award criteria, what do you think the weightings for
those criteria should be (total points across categories = 100) Please refer to
Annex B. You should note that the technical specifications are mandatory and
do not need to be weighted.
d. Do you think the wording used to describe the criteria proposed for technical
specifications and award is clear?
8
How will it work?
4. Costs and Benefits
NOTE: These questions are aimed at public sector procurers. However, procurers
may need to obtain this information from their catering contractors.
Contractors and other stakeholders may also be able to provide useful information
in this respect and should do so where possible.
We accept that procurers may be unable to provide accurate figures to all the
questions below. However, any estimates and explanation you can provide would
be appreciated and will inform the development of appropriate weightings.
a. Production standards:
-
What would you expect to be the additional costs impacts and benefits (
cost savings as well as social, economic and environmental benefits)
which would result from complying with the requirements as to UK
production standards, outlined in the balanced scorecard, compared to
the current Government Buying Standards?
b. Health and well-being:
-
Is it possible to procure more flexibly and with more seasonal variation
(i.e. take advantage of easily available seasonal food, without reducing
turnover?) What would the costs and benefits of this be?
-
What do you see as the benefits, in health terms or otherwise, if any, of
increasing the amount of fresh food and seasonal food that is
purchased? Please refer to any studies you may be aware of.
c. Resource Efficiency:
How many tonnes of waste do your authority’s food and catering services
produce per month/ quarter?
- How do you currently manage it and how much does it cost you to
dispose/recycle this waste? [if you can break this down by type of waste,
this would be appreciated]
- What potential do you consider there to be to reduce energy use across
the food and catering operation from farm to fork, and what do you see
as the benefits of doing so? To what extent do you consider that as a
procurer you could take into account lifecycle emissions in your tender
decision?
d. Social and Economic:
-
-
How much produce do you currently source in the local area (e.g. 50km
from point of serving, or appropriate regional area) and what potential is
there to source more?
9
-
What is the potential to source more food from or through SMEs and
what would the impact be on the local economy?
e. Quality of Service Provision:
-
How do you monitor quality of catering within your organisation, for
example by using caterers with qualifications or accreditations, running
consumer tasting events, etc.?
5. Do the methods and criteria proposed in your view place any unnecessary burden on
particular sectors such as social enterprises, SMEs, local producers etc.?
6. Of approaches 1 and 2, to bid evaluation which do you prefer? Do you accept that a
mixture of both may be the best? Please give reasons.
7. Are there any additional comments on the balanced scorecard approach/ criteria you
would like to add?
What happens next?
We would be grateful if stakeholders could send their responses by March 21th to
gbs@defra.gsi.gov.uk. All responses will be considered carefully to inform the
development of the balanced scorecard; however there will be further opportunities to
comment after the review process.
10
Annex A: Criteria for a balanced scorecard for the
procurement of food & catering services
Purpose and scope of this document
This document presents the first draft of a tool for use in tendering for food and catering
services by the public sector in the UK. This is arranged in five sections, covering the key
headline requirements:
1.
2.
3.
4.
5.
Production (at farm level)
Health & Wellbeing
Resource Efficiency
Social & Economic Value
Quality of Service Provision
The detailed criteria that relate to these requirements are intended to enable procuring
authorities to incorporate environmental and social considerations into their decisionmaking in such a way that the Most Economically Advantageous Tender (MEAT) can be
selected. This may not necessarily be the lowest cost tender.
This tool incorporates the Government Buying Standard on Food and Catering. The
mandatory technical specifications and contract performance conditions from the buying
standard are included in the “mandatory conditions” sections, as are the award conditions.
The latter are more developed in this tool to ensure clarity and transparency and full
recognition of bids that go beyond the minimum. In this document, we haven’t set out
exactly which of the mandatory conditions should be regarded as technical specifications
and which are contract performance conditions (a distinction made in EU law). This will be
clarified at a later date.
In respect of the Award Criteria, we have also set out questions to show you how the
criteria would be used in practice, and the main section of this document sets out
alternative approaches to using these criteria for your comment. Further guidance may be
needed to help procurers assess bids against those criteria.
11
Production
1.1 Supply Chain Management
Stakeholder Comments
Mandatory Criteria
(tender
specifications or
contract
performance
conditions)
Award Criteria
1. A purchasing approvals system that includes within its scope a means of checking that
technical specifications for food production specified in this scorecard are met
2. A system for monitoring and reporting on compliance with the technical specifications
for food production, and on provenance.
Award Question(s)
Please describe the systems you have for the above, and how well they enable you to
ensure compliance.
Other potential
Award Criteria
N/A
Contract
Management KPIs
Compliance reports to the contracting authority.
Notes
An appropriate purchasing approvals system may be based on sub-clause 7.4 of ISO
9001, or equivalent;
12
1.2 Animal Welfare
Mandatory Criteria
(technical
specifications or
contract
performance
conditions)
1. All food served must be produced in a way that meets UK legislative standards for
animal welfare, or equivalent standards that achieve the same or similar outcome.
https://www.gov.uk/animal-welfare
Where it is not possible to source the quantities required of supplies that meet UK
welfare standards at a reasonable cost, this should be alerted to the procurer and
alternative arrangements agreed on an individual basis for each product. In such an
eventuality, EU standards must be met at minimum.
NOTE for stakeholders: UK standards are generally similar to EU standards for food
production. There are however differences in animal welfare standards for some aspects
of meat, egg and dairy production.
NOTE for stakeholders: The absolute welfare criteria of the GBS (see below) still apply.
However, it is proposed that the overarching requirement as to UK production standards,
which is qualified by cost, will apply in this modified form. A small additional cost should
not be regarded as meaning the cost is unreasonable.
Eggs
2. All eggs, including fresh in-shell, liquid and powdered eggs, shall be sourced from
systems that do not use conventional cages. If from a caged system, enriched cages
shall be used.
Pork and Pork Products
3. Pork and pork products must be compliant with UK standards, as set out in the
Welfare of Farmed Animals Regulations 2007, or equivalent.
13
Award Criteria
Assurance: The extent to which the contractor makes use of robust assurance systems
to ensure that UK production standards are met.
Relevant factors
Meat, pork, poultry, eggs and dairy products are sourced from producers which are
independently audited annually to confirm they meet UK legislative standards for animal
welfare or their equivalent. Proof of compliance, such as membership of a recognised
farm assurance scheme such as Red Tractor, or equivalent, must be provided.
Higher welfare standards: The extent to which the contractor will provide food that
meets higher animal welfare standards
Relevant factors



Award Question(s)
Eggs and egg products are produced to a higher welfare standard that gives
laying hens more space than UK conventional caged systems (so max 38 rather
than 39 per m2), e.g. UK Red Tractor, or equivalent.
Sow conditions for production of pigmeat meet UK welfare restrictions on the
use of farrowing crates for maximum 6 days
Chicken is free range
Please describe how your organisation will ensure that all food served is produced in a
way that meets UK legislative standards for animal welfare, or equivalent.
Please describe how your organisation is improving standards of animal welfare in its
supply chain, over and above those required by UK legislation.
Other potential
Award Criteria
Contract
Management KPIs
Notes
Key elements of Red Tractor will be set out in order to allow equivalence to be assessed.
Laying hens: code of recommendations for the welfare of livestock
14
https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/69367/pb7
274-laying-hens-020717.pdf
The Egg marketing Regulations apply EU legislation that defines ‘enriched cages’ and
‘free range’:
http://archive.defra.gov.uk/foodfarm/food/industry/sectors/eggspoultry/faq/marketing.htm
1.3 Biodiversity, Pollution, Water & Land Management
Mandatory
Criteria
(technical
specifications or
contract
performance
conditions)
All Food
1. All food served must be produced in a way that meets UK legislative standards for food
production, or equivalent standards that achieve the same or similar outcome. [a list of
areas of protection e.g. use of pesticides, will be developed to include at least all the
regulatory and Good Agricultural and Environmental Condition requirements of CAP crosscompliance]
Where it is not possible to source the quantities required of supplies that meet UK
production standards at a reasonable cost, this should be alerted to the procurer and
alternative arrangements agreed on an individual basis for each product. In such an
eventuality, EU standards must be met at minimum.
2. At least 10% of the total monetary value of primary commodity (i.e. raw ingredient) food
and drink procured shall be certified to Integrated Crop Management standards that require
the systematic:
- monitoring, protection and enhancement of biodiversity;
- prevention and control of pollution;
- monitoring and management of energy, water and GHG emissions; and
- management of soil and watercourses.
NOTE: This can be evidenced through using LEAF, Organic Certification or similar
standards for Integrated Crop Management. The 10% is of the total monetary value and
can be made up of any combination of commodities allowing the procurer flexibility to find
the best solutions for their circumstances.
15
Fish
3. All fish served shall be demonstrably sustainable; with all wild-caught fish meeting the
FAO Code of Conduct for Responsible Fisheries (includes Marine Stewardship Council
certification and Marine Conservation Society ‘fish to eat’).
Palm Oil
4. From 2015 all palm oil (including palm kernel oil and products derived from palm oil)
used for cooking and as an ingredient in food shall be sustainably produced. Support and
advice on procuring sustainable palm oil is available from http://www.cpet.org.uk/ (e-mail
cpet@efeca.com, telephone 01305 236 100).
Award Criteria
Higher production standards: the extent to which the food supplied meets higher
standards
Relevant factors
A higher proportion (>20%) of produce is certified to Integrated Crop Management
standards that require the systematic:
- monitoring, protection and enhancement of biodiversity;
- prevention and control of pollution;
- monitoring and management of energy, water and GHG emissions; and
- management of soil and watercourses.
NOTE: This can be evidenced through using LEAF, Organic Certification or similar
standards for Integrated Crop Management. The >20% is of the total monetary value and
can be made up of any combination of commodities allowing the procurer flexibility to find
the best solutions for their circumstances.
Environmental Stewardship: Suppliers confirm the production holding meets ES standards,
which can be demonstrated by one of the following:
 Proportion of food sourced from farmland subject to Entry Level Stewardship
/Organic Entry Level Stewardship payments
 Proportion of food sourced from farmland subject to Higher Level Stewardship
payments
Assurance: The extent to which the contractor makes use of robust assurance systems to
ensure that UK production standards, or equivalent, are met.
16
Relevant factors
Produce is sourced from producers which are independently audited annually to confirm
they meet UK legislative standards, or their equivalent. Proof of compliance, such as
membership of a recognised farm assurance scheme such as Red Tractor, or equivalent,
must be provided.
NOTE: Key elements of Red Tractor will be set out in order to allow equivalence to be
assessed.
Guarantee that UK production standards will always be met:
Relevant Factors
Confirmation that these factors will always, or for a particular percentage of food and food
products always be met.
Award Question
(s)
Please describe how your organisation is protecting and enhancing biodiversity, water/air
quality and good land management in its supply chain, including through using assurance
schemes such as Red Tractor or its equivalent.
Other potential
Award Criteria
Contract
Management
KPIs
% certified produce
Health & Wellbeing
2.1 Variety & seasonality
Mandatory
Criteria (technical
specifications or
contract
performance
In respect of fresh produce, menus shall be designed to reflect the natural growing or
production period for the UK, and in-season produce shall be highlighted on menus.
NOTE: Flexibility in menu planning can enable suppliers to take advantage of seasonal
17
conditions)
gluts, which may result in cost savings and help to reduce waste associated with over
production.
Award Criteria
N/A
Award Question
N/A
Other potential
Award Criteria
N/A
Contract
Management KPIs
TBC
Notes
This is in order to promote engagement with food and its production, reduce on-farm food
waste, keep costs down, and promote a varied diet as well as to ensure that fruit and veg
that is eaten is rich in vitamins.
See www.eatseasonably.co.uk for more information on seasonal diets.
2.2 Nutrition
Mandatory Criteria
(technical
specifications or
contract
performance
conditions)
Schools
If the requirements are applied to schools then the requirements the school food Healthy
Eating standards https://www.gov.uk/school-meals-healthy-eating-standards shall take
precedence.
Hospitals
If the requirements are applied to NHS then the requirements of… shall take
precedence.
Armed Forces
If food and catering services are supplied to the MoD then the requirements of the
Defence Fuel & Food Services - Food Quality Standards shall take precedence
(https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/239931/fo
od_quality_standard.pdf)
18
Oily Fish
If lunch and an evening meal is served then fish shall be provided twice a week, one of
which shall be an oily fish. If only lunch or an evening meal is served then an oily fish
shall be available at least once every 3 weeks.
Reducing Saturated Fat
At least 50% of hard yellow cheese shall have a maximum total fat content of 25g/100g;
at least 75% of ready meals shall contain less than 6g saturated fat per portion;
at least 75% of milk shall be reduced fat;
At least 75% of oils and spreads shall be based on unsaturated fats.
Meat and meat products, biscuits, cakes and pastries (procured by volume) shall be
lower in saturated fat, where available.
Increasing Fruit and Vegetable Consumption
At least 50% of the volume of desserts available shall be based on fruit – which may be
fresh, canned in fruit juice, dried or frozen.
A portion of fruit shall be sold at a lower price than a portion of hot or cold dessert.
Meal deals shall include a starchy carbohydrate, vegetables and 1 portion of fruit.
Reducing Salt
Vegetables and boiled starchy foods such as rice, pasta and potatoes, shall be cooked
without salt.
Salt shall not be available on tables.
At least 50% of meat and meat products, breads, breakfast cereals, soups and cooking
sauces, ready meals and pre-packed sandwiches (procured by volume) meet
Responsibility Deal salt targets and all stock preparations shall be lower salt varieties
(i.e. below 0.6g/100mls).
NOTE: The 50% shall apply individually to each food category described in the above
specification, and not only the combined volume.
19
Cereals
At least 50% of breakfast cereals (procured by volume) shall be higher in fibre (i.e. more
than 6g/100g) and shall not exceed 12.5g/100g added sugars.
Award Criteria
Higher nutritional standards: this could include meeting nutritional requirements of
particular age groups and reducing sugar and snack intake.
Relevant factors
Menu cycles are analysed to meet stated nutrient based standards relevant to the major
population subgroup of the catering provision.
Savoury snacks are only available in packet sizes of 35g or less.
All sugar-containing drinks are available in no more than a 330ml portion size (excluding
hot drinks).
Confectionery and packet sweet snacks are in the smallest standard single serve portion
size available within the market.
Calorie and allergen labelling
Menus (for food and beverages) include calorie and allergen labelling.
Systems for monitoring and managing nutritional aspects of provision including
use of third party audited systems like Food For Life Catering Mark
Caterer has a recognised Award: for meal provision, such as the Food for Life Catering
Mark (particularly the Silver or Gold marks), or can provide evidence that it would qualify
for such an award.
Award Question(s)
Please describe how your organisation will measure and manage the nutritional aspects
of its service provision, including actions to enable and encourage healthier diets?
Other potential
Award Criteria
Is this where we might put criteria related to going further than the minimum %ages for
criteria above?
Contract
Management KPIs
TBC
20
2.3 Nutritional Labelling
Mandatory Criteria
(technical
specifications or
contract
performance
conditions)
Labelling of pre-packaged and loose foods shall meet requirements of EU Regulation No.
1169/2011 on provision of food information to consumers (EU FIC).
Award Criteria
FSA and/or DH to advise on best practice nutritional labelling.
Award Question(s)
Please describe how your organisation communicates nutritional information to its
customers.
Other potential
Award Criteria
N/A
Contract
Management KPIs
TBC
2.4 Food safety & hygiene
Mandatory Criteria
(technical
specifications or
contract
performance
conditions)
FSA to advise on technical specifications
Award Criteria (s)
N/A
Award Question
N/A
Other potential
Award Criteria
N/A
Contract
TBC
21
Management KPIs
2.5 Traceability
Mandatory
Criteria (technical
specifications or
contract
performance
conditions)
Traceability of fresh, chilled and frozen produce
Traceability of fresh, chilled and frozen produce shall comply with current UK legislation
or equivalent
NOTE: Traceability and labelling of beef ,eggs, fish, shellfish, most fruit and vegetables,
honey, olive oil, wine and imported poultry is regulated in the EU. Regulation covering
sheepmeat, goatmeat, swinemeat and poultry will come into force in 2015.
Origin of prepared food
In line with the industry principles on country of origin information, food and catering
service suppliers shall be able to indicate the origin of the meat, meat products and dairy
products, either on the menu or accompanying literature, or at least when the information
is requested by the consumer or contracting authority.
Award Criteria
Country of origin information systematically recorded and reported.
Origin of produce is assured through supply chain certification schemes with
traceability or chain-of-custody systems e.g. Red Tractor, LEAF, Organic, or equivalent.
Award Question(s)
Please describe the systems that your organisation uses to establish, record and
communicate traceability and origin of produce.
Other potential
Award Criteria
Contract
Management KPIs
TBC
22
Resource Efficiency
3.1 Energy Management
Mandatory Criteria (technical
specifications or contract
performance conditions)
Energy management policy
Food and catering service contractors and their suppliers shall have in place
an energy management policy appropriate to the nature and scale of their
energy use and consumption. Their policy shall commit the organisation to
the continual improvement of its energy performance
On-site catering operations shall be run in accordance with the host building’s
overall energy management policy.
Catering equipment
The following catering equipment, when procured, shall be procured in
compliance with mandatory Government Buying Standards:

Domestic refrigerators and freezers

Commercial refrigerators and freezers

Covers for refrigerated units

Domestic electric ovens

Domestic dishwashers
Compliance with the Energy Efficiency Directive Article 6
All products purchased for use for the relevant contract by the contractor
must be compliant with the EED Article 6
Award Criteria
1.Good energy management system in place and being implemented
Relevant factors:
23
Environmental Management Systems (EMS)




Energy aspects are managed within scope of an EMS specified
according to the principles of ISO14001, or equivalent;
EMS is certified against, or registered to, ISO14001 or EMAS, or
equivalent;
Evidence of EMS development in line with BS8555, or equivalent is
provided;
Membership of IEMA ACORN Scheme for EMS implementation, or
equivalent.
NOTE: The implementation of an EMS supports continual improvement
through policy development, implementation, monitoring and regular review.
2. System for checking compliance with the EED, Article 6, and for
procurement of energy efficient catering equipment and supplies.
3. Implementation of best practice measures
 Evidence of implementation of Carbon Trust Sector Guide CTV035
for Food preparation and catering.
 Taking on board learning from BIS – Procurement compact
 the Best Practice Government Buying Standards are used for
procurement of: Domestic Dishwashers; Commercial cooking
equipment, including ovens, fryers and steam cookers; Domestic
fridge freezers
Where no GBS covers an appliance, Ecolabel or equivalent is relevant.
Please describe the management systems that your organisation maintains in
order to continually improve its energy performance, both within its internal
operations and those located at sites under the control of the contracting
authority. Please provide evidence of monitoring, review and improvement of
energy performance.
Award Question(s)
Please describe what energy performance criteria your organisation uses
when procuring catering equipment and supplies.
Energy efficiency directive: Provide an explanation of how you will ensure
24
that in respect of contracts with central govt depts. and agencies all relevant
products and buildings comply with Article 6 of the EED. This requires the
default standard to be met unless there is clear evidence that this is not costeffective, economically feasible or the products are not technically suitable,
consistent with wider sustainability standards or with effective competition.
Other potential Award Criteria
Contract Management KPIs
TBC
3.2 Water
Mandatory Criteria
(technical
specifications or
contract
performance
conditions)
Kitchen taps shall meet the minimum Government Buying Standard.
Award Criteria
N/A
Tap water shall be visible and freely available, and such provision shall be promoted.
Pre-bottled water (mineral or spring) shall not be included in the hospitality menu.
Award Question(s)
Other potential
Award Criteria
N/A
Contract
Management KPIs
TBC
3.3 Waste
Mandatory Criteria
(technical
specifications or
contract
Food waste
Food and catering service suppliers which will supply on-site catering services must:
25
performance
conditions)



Take steps to minimise food waste in their on-site operations, using the indicative
checklist from the Government Buying Standard (criterion #19) as a guideline on
potential areas to cover;
Review and revise the actions they are taking with suitable regularity so as to
continue to reduce food waste wherever possible; and
Feed back to clients on progress and results with suitable regularity.
The contracting authority shall check whether a separate food waste collection service
can be provided. If the service can be provided, while achieving value for money, then it
shall meet the best practice standard (see Government Buying Standard for Food and
Catering Services).
Reducing Landfill
Where waste management is included in the contract, facilities shall be available to staff
and customers for recycling cans, bottles, cardboard and plastics.
Paper products
The minimum Government Buying Standards for paper products shall apply where
relevant e.g. disposables, such as kitchen paper, napkins, and cardboard cups
26
Award Criteria
Waste minimisation: steps will be taken to minimise food waste
Relevant Factors




Systems in place for minimising food waste, as well as ensuring that all other
waste is reduced, in accordance with the waste hierarchy.
A food waste minimisation plan in place. The plan includes actions and estimated
quantifiable reductions. The supplier ensures that appropriate training is given to
staff to ensure best practice in terms of food waste minimisation.
Food and drink to be consumed in restaurants and canteens served using cutlery,
glassware, and crockery which are reusable and washable.
Disposable paper products meet the requirements of the EU Ecolabel, or
equivalent.
Packaging waste (secondary & tertiary): Packaging waste in delivering food for the
catering service is minimised
Relevant Factors


tertiary and secondary packaging consists of high (≥ 70%) recycled content
cardboard; and
where other materials are used, the tertiary packaging is either reusable, or all
materials contain some recycled content.
Waste disposal: a reliable food waste collection service
Relevant factors


An appropriately-licensed separate food waste collection service is provided.
The food waste collected goes for treatment to either an in-vessel composting
facility, or anaerobic digestion facility, or other suitable facility, as opposed to
landfill.
NOTE: Waste collection may be part of the catering service contract or may be part of an
overall site waste management contract.
Award Question
Please describe the measures that your organisation is taking to minimise waste in all
stages of food production and food service, including any measures taken to minimise
packaging waste.
27
Other potential
Award Criteria
Contract
Management KPIs
TBC
Social & Economic Value
4.1 Fair & ethical trade (supply chain)
Mandatory Criteria
(technical
specifications or
contract
performance
conditions)
1. At least 50% of tea and coffee must be produced in accordance with fair trade
standards.
Award Criteria
The contractor works to improve labour conditions and other ethical aspects of its direct
and indirect supply chain.
Relevant factors





Where food is sourced from states that have not ratified the International Labour
Organization Declaration on Fundamental Principles and Rights at Work (1998),
or are not covered by the OECD Guidelines for Multinational Enterprise, the
supplier of catering and food services shall carry out due diligence against ILO
Declaration on Fundamental Principles and Rights at Work (1998).
Dairy products must meet the Voluntary Code of Practice on Best Practice on
Contractual Relationships. http://www.dairyuk.org/code-home
Where food is sourced from countries that have not ratified the ILO Declaration
on Fundamental Principles and Rights at Work (1998), or are not covered by the
OECD Guidelines for Multinational Enterprise audits have been conducted
against social / ethical supply chain standards e.g. SA8000 compliance, audit
evidence for Ethical Trade Initiative (ETI) Base Code compliance, or equivalent.
Higher proportions of tea and coffee procured is produced in accordance with fair
trade standards. E.g. 100%
Procurement of other produce e.g. bananas, cocoa is in accordance with fair
trade standards.
28
Award
Question(s)
Please describe how your organisation is working to improve labour conditions and other
ethical aspects of its direct and indirect (supply chain) operations.
Other potential
Award Criteria
Contract
Management KPIs
TBC
Notes
The ILO Declaration covers four Fundamental Principles:




Freedom of association and the effective recognition of the right to collective
bargaining
Elimination of all forms of forced or compulsory labour
Effective abolition of child labour
Elimination of discrimination in respect of employment and occupation
http://www.ilo.org/declaration/lang--en/index.htm
4.2 Equality & diversity
Mandatory
Criteria (technical
specifications or
contract
performance
conditions)
Catering and food service suppliers operating in the UK shall have a written equality and
diversity policy to implement the relevant requirements of UK Equality Act (2010).
29
Award Criteria
The extent to which the organisation has promoted equality and diversity.
Relevant factors
Evidence that policy is actively implemented, KPIs are monitored and improvement actions
linked to policy objectives are planned and executed.
Investors in People certification or equivalent
Award
Question(s)
Please describe what your organisation has done to promote equality and diversity, what
outcomes it has achieved and what plans it has for further improvement.
Other potential
Award Criteria
Contract
Management
KPIs
Workforce composition metrics (e.g. gender representation, ethnicity, disability, age,
religion & belief, sexual orientation, carer/non-carer, working pattern)
4.3 Inclusion of SMEs
Mandatory Criteria
(technical
specifications or
contract
performance
conditions)
The contractor must:
1. Advertise all food-related tenders to SMEs.
2. Take and report on steps to remove barriers for businesses of all sizes to
compete for all contracts along the supply chain for this contract.
Award Criteria
Good systems in place to ensure that SMEs are able to compete and barriers are reduced
Relevant Factors
Contracts are broken into “lots” to facilitate bids from small producers;
Contract documents are simplified, with a degree of standardisation.
Requirements are clearly stated, up front;
iii) Contract lengths are geared to achieve the best combination of price and product;
iv) Longer-term contracts are offered to provide stability;
v) Tenders are widely advertised;
i)
ii)
30
vi)
vii)
viii)
ix)
Potential bidders are advised on how to tender for contracts;
Projects to help small producers do business are undertaken;
Social enterprises are encouraged to compete for contracts;
Small producers and suppliers are made aware of sub-contractors/suppliers, so
that they know who to do business with;
x) The inclusion of small and local producers is encouraged by specifying more
fresh and seasonal produce.
xi) Competition on quality rather than brand
Fair treatment for suppliers
Relevant factors


Award Question(s)
Suppliers of food and catering services provide fair and prompt payment terms for
their supply chain e.g. 30 days maximum.
Length of contracts and notice period
Describe your organisation’s processes for ensuring there is open and fair competition for
its supply chain.
Please describe how your organisation facilitates bids from SME suppliers.
Describe your organisation’s approach to ensuring fair treatment of its suppliers.
Other potential
Award Criteria
Contract
Management KPIs
% SME suppliers (by value, or other metric where commercially sensitive)
Notes
31
4.4 Local & cultural engagement
Mandatory Criteria
(technical
specifications or
contract
performance
conditions)
N/A
Award Criteria
Systems in place to ensure that local food traditions are taken on board, that provenance
is communicated, and that there is greater engagement with the origin of food and its
growing and cooking
Relevant factors






Award Question(s)
Provenance of food is communicated and celebrated.
Food served supports local food traditions, as well as the cultural diversity of the
area.
Foods with local or regional significance e.g. those with protected designation
of origin (PDO), protected geographical indication (PGI), or traditional
specialties guaranteed (TSG) status, are incorporated within menus to give
them cultural value.
Opportunities to influence more sustainable choices are acted upon, for example
targeting healthier breakfasting habits.
Consumers are encouraged to cook with fresh ingredients themselves where
appropriate. The development of skills & knowledge related to food and food
preparation is encouraged.
Consumers are connected with farmers through, for example, communication
materials, engagement programmes, educational programmes, open days etc.
Please describe what your organisation will do to encourage consumers to feel more
connected to the food that they eat, and to foster a sense of community & place.
Other potential
Award Criteria
Use of local heritage varieties and rare breeds?
Contract
TBC
32
Management KPIs
4.5 Local economy
Mandatory Criteria
(technical
specifications or
contract
performance
conditions)
N/A
Award Criteria
Developing connections with the local economy
Relevant factors



Efforts made to investigate local/regional suppliers, e.g. making inventory of local
producers and suppliers.
Working to create supply networks or hubs to assist local businesses
Other action taken similar to what would be expected under the Public Services
(Social Value) Act
Training
Relevant Factors
Apprenticeships and work experience offers?
Award Question(s)
Please set out the actions you will take to improve the local economy through the
provision of food and catering services to the contracting authority, and how your
organisation will secure these opportunities.
NOTE: the local economy is that within the area where the food service is being
delivered, rather than local to sites where the food is processed.
Other potential
Award Criteria
33
Contract
Management KPIs
TBC
Notes
The Public Services (Social Value) Act 2012 requires that the contracting authority
consider:
“(a) how what is proposed to be procured might improve the economic, social and
environmental well-being of the relevant area, and
(b) how, in conducting the process of procurement, it might act with a view to securing
that improvement.”
Quality of service provision
5.1 Timeliness and Reliability
Mandatory Criteria
(technical
specifications or
contract
performance
conditions)
[input welcome in this respect]
Award Criteria
Award Question(s)
Other potential
Award Criteria
Contract
Management KPIs
34
5.2 Customer satisfaction
Criteria proposed
for technical
specifications
N/A
Award Criteria
Tasty and well-presented food
Relevant Factors
 Suppliers undertake regular customer satisfaction surveys.
 Evidence that management systems support the linking of customer feedback to
improvements in customer satisfaction.
 Menu cycle of 3 weeks or more to ensure variety
 Use of blind-tasting panels (as used by MoD and MoJ) to promote
Award Question(s)
Please describe how your organisation will ensure that the food it serves is tasty, wellpresented and professionally served.
Other potential
Award Criteria
Consumers involved in selection of new lines / recipes
Contract
Management KPIs
35
5.3 Administration
Mandatory Criteria
(technical
specifications or
contract
performance
conditions)
Award Criteria
Steps taken to reduce administrative inefficiencies
Relevant factors
Streamlined invoicing systems, e.g. monthly rather than daily
Online ordering and billing
Award Question(s)
What steps will you take to increase administrative efficiencies in respect of the catering
contract?
Other potential
Award Criteria
Contract
Management KPIs
Notes
Note: Further legal consideration of this table will be undertaken during the stakeholder review period, taking on board the
revised EU Public Procurement Directives.
36
Annex B: Costs and benefits of implementing the balanced scorecard
Annex B summarises some potential costs and benefits which are likely to arise from the implementation of the balanced scorecard.
They are broken down between economic, environmental and social. The purpose of this document is to provide insight into the
magnitude of the costs and benefits of each of the criteria and sub-criteria, with a view to inform the weightings for the balanced
scorecard. We appreciate stakeholder feedback relating to the magnitude of each of these, and whether the costs and benefits listed
here are broadly correct. Please let us know if you have any comments on this, and if there are additional costs and benefits not listed
here which you think should be included. Moreover, if you are aware of any evidence or data which will help us verify (and if possible,
quantify) these costs and benefits please let us know.
Production Standards
Economic
(Business,
Government,
Labour market,
consumers)
Costs
Supply chain management
There may be an extra cost to suppliers of
implementing a reporting system for supply
chain management, but we expect this is not
significant considering existing rules on
traceability, UK production standards and
reputational issues for caterers.
Animal welfare/biodiversity/pollution/land
management
There may be an extra cost to government of
complying, as food that meets these standards
can be more expensive. Provisional Defra
calculations indicate that there would be an
increase in overall costs to taxpayers and
private sector (consumers and caterers) of
Benefits
We would expect there to be a higher proportion of food that
actually meets UK standards of production as a result. This will
mean a lower risk of farmers who meet those standards being
undercut by those who don’t meet them. We expect that this will
be of benefit to the UK food and farming sector which is largely
subject to assurance schemes, and may stimulate some rural
growth.
There will also be a decreased risk of crises of provenance such
as horsemeat fraud (and consequent repercussions).
By having higher levels of confidence in production standards
and supply chains, we would expect a level of increased
demand and therefore revenues in central government canteens
and other customer-funded catering in the wider public sector.
37
between undiscounted £69m and £125m over
the 10 year period1. This higher cost may be
passed on to consumers
Environmental
-
If there is an increase in compliance with UK production
standards, which are the same as EU standards for
environmental aspects, there would be improvements in terms of
biodiversity, pollution and land management.
Social
-
Due to the public valuing higher production standards,
particularly animal welfare standards, we expect there would be
an improvement in wellbeing among the public (even if they do
not consume the product, or if it is produced abroad). Good
standards of production have an existence value.
Health and Wellbeing
Economic
(Business,
Government,
Labour market,
consumers)
1
Costs
Variety and seasonality
There may be a transitional cost in terms of
administration incurred by businesses (and
passed on to final purchaser) of shifting to more
seasonal produce e.g. the cost of rewriting
menus, identifying producers etc.
Benefits
Variety and seasonality
Economic theory suggests that during periods of high supply
(seasonal gluts), costs of produce will fall. If suppliers make
greater use of seasonal gluts there are potential cost savings to
businesses.
Better Nutrition
Poor diet, including consumption of too much energy, saturated
fat, salt, added sugars and insufficient amounts of fruit,
vegetables, oily fish and fibre is associated with increased risk of
cardiovascular disease, diabetes and some cancers. Where
intakes of energy are greater than needs this can lead to
overweight and obesity itself impacting on poor health. Health
Costs based on two different scenarios- contact Defra for details of calculations
38
problems due to being overweight or obese are associated with
a cost to the economy in excess of £5bn per year2. As better
nutrition has been linked with better health it may indirectly lower
these costs. It could also positively affect the economic
performance in future generations e.g. through fewer workdays
lost to sickness in future. By giving recognition to those
contractors who offer healthier food, we can expect even better
health outcomes.
Environmental
Social
2
-
Healthier food can be expected to be more appealing and lead
to less food waste.
Variety and Seasonality
Increasing use of seasonal and local food may lead to better
engagement with food and production methods. This may have
an indirect benefit of increasing wellbeing, as people value
knowing where their food comes from.
Better Nutrition
Poor diet is associated with risk of overweight, obesity,
cardiovascular disease, diabetes and some cancers. Therefore
improving nutrition in public sector institutions may have an
indirect benefit of encouraging healthy eating in other areas of
life, leading to reduced morbidity and mortality among the
population.
Nutrition Labelling
Helps consumer make informed decisions in order to achieve a
healthy balanced diet – the benefits of which are mentioned
above.
Food Safety and Hygiene
There are health benefits of reducing the risk of illness, which
will mean reduced costs to health services and an indirect
https://www.gov.uk/government/policies/reducing-obesity-and-improving-diet
39
benefit of improved wellbeing of consumers.
Traceability/ Labelling
The public will be more aware of where food comes from.
Benefits linked to improved production standards and existence
values (above).
Resource Efficiency
Economic
(Business,
Government,
Labour market,
consumers)
Environmental
Costs
Waste
There may be administrative costs of setting up
better waste management and recycling
systems, however these shouldn’t be significant.
Less landfill means reduction in tax revenue for
government, but this is compensated for by
smaller Landfill Tax payments by authorities, so
this is a neutral impact overall.
Energy Efficiency
Some businesses may incur upfront costs of
ensuring compliance to energy efficiency
requirements. However, most are likely to
already comply with the minimum criteria which
are outlined in the previous GBS.
Benefits
Short supply chains can be more flexible, as it is easier for
procurers to contact suppliers directly to adjust orders, whereas
importing for long distances may be harder to do. This flexibility
could reduce waste.
The reduction in waste will mean reduced costs of disposal, and
reduction in landfill tax charges incurred by businesses.
Increased energy efficiency should lead to ongoing cost savings
to businesses.
-
-
Reducing waste to landfill will lead to a reduction in methane
emissions.
Reducing waste and increasing recycling will mean less use of
raw materials and fossil fuels in production (e.g. of packaging),
reducing costs to business and the environment. It may also
help the UK move towards a circular economy.
Increased composting of food waste will mean reduced landfill
costs and a cheaper source of compost or soil improver for UK
businesses.
40
Social
Reducing carbon emissions and waste to landfill will have social
benefits, in particular in the longer term.
Social and Economic
Economic
(Business,
Government,
Labour market,
consumers)
Environmental
Social
Costs
Businesses may incur administrative costs of
implementing ethical standards.
There may be additional ongoing costs of
ensuring these standards are consistently met.
Benefits
Local Cultural Engagement
Enhancing local cultural engagement within public procurement
may yield the indirect benefit of encouraging consumers to buy
more local produce in their personal consumption.
Local Economy
Enabling local farmers and suppliers to supply contracts, helps
develop local supply chains.
-
There may be some benefits in terms of reduced carbon
emissions in the transport stage, but these benefits may be
countered by higher emissions in the production process.
Fair and ethical trade
Ethical trade has an existence value - the public value it even if
they do not consume the product. Therefore, with improved
standards we expect there would be an improvement in
wellbeing among the public (even if they do not consume the
product).
The requirements may lead to an improvement in working
environment and therefore wellbeing of the workers whose
condition has improved.
Local Cultural Engagement
Buying more local produce and understanding local provenance
is likely to reduce anxiety associated with longer supply chains
which has arisen post horsemeat fraud.
It also improves community spirit and wellbeing as more citizens
increase their involvement in the local community and feel more
connected to their food and community.
41
Quality of Service Provision
Economic
(Business,
Government,
Labour market,
consumers)
Costs
Higher quality ingredients may cost more and
there are costs in sourcing new suppliers.
Benefits
Environmental
-
If food is better quality, there is likely to be less food waste as
people are more inclined to finish meals. Therefore businesses
will enjoy the indirect benefit of lower disposal costs.
Social
-
Consumers are likely to be more satisfied if fed higher quality,
tastier meals, and as a result enjoy higher wellbeing. This may
have other benefits such as, for example, less disruption or
complaints in schools, prisons, and hospitals.
Social benefits to people working in restaurants of serving
good food and cooking.
Finishing meals means better nutritional intake (link to
nutritional benefits listed above).
-
42