How to find, compete for
and win Public Contracts
– 5 November 2015:
ESPO
supporting Suppliers/SMEs
Sandra Sewell
Corporate Account Manager
Eastern Shires Purchasing
Organisation
One of the UK’s largest public sector consortia,
self-funded and ‘not for profit’ with national
buying power
Bringing demand and supply markets together
offering more than 150 framework options to the
wider public sector
www.espo.org
How we supply
Catalogue - £40m products sold through our
distribution centre
Direct Delivery - £20m products supplied direct
to customers
Frameworks – £1 bn of goods and services to
the wider public sector
Did you know…?
90,000 products picked from our warehouse for
delivery to customers every week
120,000 square foot of warehouse space holding
over 10,000 separate product lines
6,000 customers delivered to every week
So what is a public
contract/framework?
In simple form:
an ‘umbrella agreement’ setting out terms,
such as price, quality and quantity, under
which individual contracts can be created
directly between customer and supplier
How does a framework… erm…
work?
All frameworks are constructed under strict
EU guidelines so customers and suppliers
know they are operating within a fully
compliant and fair arena
Customers order from a range of goods and
services provided by one or more suppliers,
which they can select via call-off or further
competition…
Terminology
• Call–offs or Direct Awards (orders): can be
placed by customers throughout the period of
the agreement - normally a maximum of 4
years
• Further Competitions (sometimes known as
Mini-Competitions): used where there is a
more specific need with a further invitation to
suppliers undertaken – still adhering to EU
procurement guidelines
Engaging the market
• ESPO buyers undertake research into their
markets, as part of their ongoing procurement
role
• Buyers meet with suppliers to understand more
about a wide variety of matters e.g. market
changes or developments, new product or
services available, changes amongst the key
market players (e.g. mergers, acquisitions)
Engaging the market
• Pre-market engagement:
• Informal: the buyer meets with or has
discussions with a range of suppliers he/she
knows operate in the marketplace
• Formal: the buyer may place an
advertisement or a Prior Information Notice
and seek suppliers’ expression of interest in
tendering, from which they can then invite
them to participate in a meeting, or to
respond to a series of consultation questions
using a Request for Information process.
Bidders’ meetings
• There are many ways of conducting bidders’
days and these may be held at ESPO, or at a
client location.
• This could take place after the Invitation to
Tender document is issued, to give bidders
the opportunity to ask questions.
• In the interest of equal treatment, where
questions are raised and answers given,
these will be shared with all those responding
to the advert (whether they attend the
meeting or not).
Engagement during the
procurement process
• ESPO’s role as a Central Purchasing Body is to put in
place formal tendered contracts on products and
services identified by our wider public sector
customers
• It is not ESPO’s role to ‘vet’ or ‘approve’ organisations
outside of an advertised tender requirement, nor do
we keep ‘lists’.
• You need to monitor the OJEU/other media and apply
on each and every relevant occasion (we do not take
responsibility for proactively sending tenderers copies
of PQQ or ITT documentation).
Engagement during the
procurement process
• Since Contracts Finder is the UK Governmentsponsored site – and all ESPO notices, both those
above and below EU Threshold are published on this
site, we recommend you view.
• If you have a clarification question regarding an
Invitation to Tender (ITT) or a Further Competition
exercise, you should direct your questions through
the relevant eProcurement portal.
How do we help SMEs to access
frameworks?
•
Key point: we WANT you to bid so we
ensure our procurement activity is SMEfriendly to enable participation
•
Monitoring of SME engagement through ITT
business questionnaire
•
“National” does not mean you cannot or
should not apply. The framework may offer
customers national coverage but not
necessarily using a single supplier, and…
How do we help SMEs to access
frameworks?
•
Frameworks can be created by splitting into
regional and sub-regional lots
•
We can offer help and advice because here’s
that key point again: we WANT you to bid
and will do what we can to assist you within
the boundaries of compliance
•
Events such as today and ESPO website
pages dedicated to suppliers
•
Lean documentation
And now for the stats…
In the last two financial years ESPO accepted
1,276 tenders.
In 2013-14 72.1% classed themselves as SME
In 2014-15 73%
To put this in perspective, in 2012-13 this was
55% and it was in this year ESPO decided to
monitor SME statistics. We made a conscious
decision to engage and you can see the results.
Collaboration
•
Greater opportunities for economies of scale
and aggregated volume exist when
organisations work together
•
Whilst local authorities, blue light, NHS, do
all operate as separate entities, we also
collaborate on pan-organisation/regional and
national level to create framework solutions
•
ESPO works with both corporate and
education customers, including universities,
FE Colleges, Academy Trusts, independent
and local authority schools
Federation of Small Businesses
• ESPO has been a member of the Federation
of Small Businesses (FSB) since 2013.
• This is the UK’s leading not-for-profit
organisation representing small and
medium-sized businesses
Benefits of being an
ESPO Supplier
•
•
•
•
•
•
•
Access to a vast customer base
Low risk customers – 30 day payment
Transparency
Creating lot structures
Tenders not just scored on price
Incumbent suppliers do not have advantage
Marketing
So where do you look for
those business opportunities?
Contract opportunities are advertised in:
• TED (Tenders Electronic Daily):
http://ted.europa.eu/TED/main/home page.do)
• Contracts Finder:
finder
www.gov.uk/contracts-
• Source East Midlands:
www.sourceeastmidlands.co.uk/contracts
And…
So where do you look for
those business opportunities?
• ESPO’s e-procurement partnership portal (East
Midlands authorities): www.eastmidstenders.org
By registering suppliers are automatically notified
of forthcoming tender opportunities
Some Current Opportunities:
• Sandwiches and Filled Bread Products (121)
• ESPO Own Brand Paper Towels (189)
• Self Drive Vehicle Hire (271)
• Cash Collection and Cash and Valuables in Transit
(324F)
How are suppliers awarded?
•
Respond to an Invitation to Tender by the
stated deadline – no exceptions!
•
Supplier tender evaluated by ESPO
according to EU procedures and rules
•
Bids must satisfy the selection criteria
(variable by ITT)
•
New suppliers cannot be added once
framework has been established
And if you’re unsuccessful?
• You put a lot of effort into your bid, you ticked
all the boxes, dotted your ‘i’s and crossed
your ‘t’s but still didn’t win the business.
• ESPO will write to you and advise you of the
outcome.
• Once a decision has been made there is a
Standstill Period of 10 days during which
suppliers can challenge the decision.
• You can request feedback which can be
written, verbal by phone or face to face.
Due Diligence and ongoing
contract management
• Documents, certificates, and/or supporting
information – confirm held and able to supply
within 5 days
• No need to provide at the time of submission
• We stay in touch with you to listen to your
feedback
Thank you for listening.
Any questions?
Sandra Sewell
ESPO Corporate Account
Manager
m:
07824 824 643