Powerpoint
Upcoming SlideShare
Loading in...5
×
 

Like this? Share it with your network

Share

Powerpoint

on

  • 1,085 views

 

Statistics

Views

Total Views
1,085
Views on SlideShare
1,085
Embed Views
0

Actions

Likes
1
Downloads
10
Comments
0

0 Embeds 0

No embeds

Accessibility

Categories

Upload Details

Uploaded via as Microsoft PowerPoint

Usage Rights

© All Rights Reserved

Report content

Flagged as inappropriate Flag as inappropriate
Flag as inappropriate

Select your reason for flagging this presentation as inappropriate.

Cancel
  • Full Name Full Name Comment goes here.
    Are you sure you want to
    Your message goes here
    Processing…
Post Comment
Edit your comment
  • This slide gives us an idea of the many elements that can make of the procurement process. As you can see it is not just the RFP document. However, the RFP documents does lay the foundation for the process.

Powerpoint Presentation Transcript

  • 1.  
  • 2. Agenda
    • Best Value Defined
    • RFP Planning
    • RFP Components
    • RFP Evaluation & Selection Process
      • Evaluation Criteria
      • Evaluation Instrument
      • Selection of Vendor
  • 3. What is Best Value?
  • 4. Best Value - Defined
    • State Finance Law §163 :
        • “ A best value award is one which optimizes quality, cost, and efficiency and typically applies to complex services and technology contracts”
  • 5. RFP Planning Implementation Other Approvals as required OFT, Civil Service, AG, OSC Business Need Specification/ Requirement Development Release RFP Proposals Due Questions Due Respond to Questions Evaluation Begins Draft RFP Develop Evaluation Guide/Instrument Interviews Evaluation Complete Monitor/ Manage Contract Identify Evaluators Meet w/ Evaluators Internal Approvals Distribute Proposals to Evaluation Teams Develop Solicitation List Issue RFP Amendment if necessary CR Ad Meet w/ Evaluators Site Visit
  • 6. RFP Planning
    • Develop a procurement strategy
      • Develop a timeline
        • Conducting a procurement is a “Project”
        • Identify the events of the procurement
        • Effective planning/budgeting of time
      • Start with the end in mind
  • 7. RFP Planning
    • Procurement must appear in Contract Reporter at least 15 business days prior to the due date of proposals
    • Develop solicitation list/letter
      • How can the RFP be obtained?
      • Designated contact person
      • Issue date, due date
      • Site Visit
      • Questions and Answers due
  • 8. RFP Components
    • Table of Contents
    • Introduction
      • Statement of purpose
    • Calendar of Events
      • Date of Issuance
      • Proposers’ Conference
      • Site Visit
      • Date Questions and Answers Due
      • Date Responses to Questions and Answers Due
      • Due Date of Proposals
      • Oral Presentation and Demonstrations
    • Agency Mission
      • Statement about the duties of your Agency
  • 9. RFP Components
    • Administrative Process
      • Restate the timeline
      • Technical Proposal submission requirements
      • Cost Proposal submission requirements
      • Single award/multiple awards
    • Criteria
      • Minimum qualifications
      • Specifications of services
      • Additional information
      • References
    • Contract Terms and Conditions
    • Questions & Answers
      • Issues raised may result in the issuance of an amendment to the RFP
        • Make any necessary change(s)
        • Distribute to potential vendor pool
  • 10. RFP Components
    • Procurement policies, statutes & disclosures
      • Appendix A
      • Vendor Responsibility ( G-Bulletin 221 )
      • Procurement Lobbying Law ( G-Bulletin 224 )
      • Consultant Disclosure Law ( G-Bulletin 226 )
      • Sales and Compensating Use Tax ( G-Bulletin 222 & 222a )
      • Other (as applicable)
        • HIPAA
        • Agency specific appendices
        • Prevailing Wage
  • 11. RFP Components
    • Mandatory Contract Provisions
    • Rationale
      • Concerns raised prior to bid submission
      • Avoid prolonged, fruitless negotiations
      • Save agency time and money
      • Prevent gaps in program/service delivery
  • 12. RFP Components
    • Evaluation Criteria
      • Minimum qualifications (pass/fail)
      • Technical criteria
      • Cost
        • Multiple years – define escalation (e.g., limit annual increase to Consumer Price Index (CPI) as published by the U.S. Department of Labor.)
      • Relative weight – cost vs. technical
        • RFP must disclose the relative weight
        • RFP should identify if a particular criterion is weighted more heavily than others (e.g., 40 of 70 points will be assigned to experience)
  • 13. RFP Components
    • Method of Award
      • Single Award
        • Upon completion of the evaluation process, a contract will be awarded to the proposer whose proposal met all mandatory requirements and obtained the highest composite score, inclusive of both cost and technical
      • Multiple Award
        • RFP should reserve the right to make multiple awards
        • RFP should state the number or “up to” number of awards to be made and how work will be allocated among the vendors
        • MUST be determined prior to receipt of proposals and documented in the Evaluation Instrument
  • 14. RFP Components
    • RFP language should:
      • Allow agency to reject any and all bids
      • Allow agency the right to request clarification and revisions
      • Allow agency to waive a mandatory
        • If unmet by ALL proposers and non-material
      • Allow agency the right not to proceed with an award
      • Establish a minimum period of proposal validity (e.g., price firm for 180 days and/or proposal irrevocable for 60 days)
  • 15. RFP Evaluation and Selection Process
    • Steps in developing your evaluation strategy
      • Set the Technical/Cost ratio
      • Define the criteria – Mandatory (pass/fail) vs. Desirable (scored)
      • Determine distribution of points among criteria
      • Create key for assigning points within criteria
    Critical Steps
  • 16. RFP Evaluation and Selection Process
    • Questions & Answers
      • Issues raised may result in the issuance of an
      • amendment to the RFP
        • Review all evaluation criteria
        • Make any necessary change(s) in
        • Instructions, Instrument, Score Sheets
    • Clarifications
      • Must reserve the right in the RFP
      • Cannot result in a material change to the bid
      • If cost proposal is extremely low, agency can
      • seek verification from the vendor that they
      • understood the intent of the RFP
  • 17. RFP Evaluation and Selection Process
    • Ties
      • If two offers’ Composite scores are tied, price shall be the determining factor
      • If Technical and Cost scores are both the same, agency must have a pre-defined tie-breaking mechanism. May have different mechanisms for different types of procurements.
  • 18. Technical Evaluation Strategy
    • Develop the criteria while developing the RFP
      • Must be clearly stated in the RFP
      • Must be important to the result you are seeking
      • Must be measurable
        • Pass/Fail
        • Scale
    • Mandatory Qualifications Checklist
      • Pass/Fail – Yes/No
      • If not met, disqualify
      • Disqualified proposals
        • Both Technical and Cost proposals must be submitted to OSC for all disqualified vendors
  • 19. Technical Evaluation Strategy
    • Technical evaluation forms must:
      • Identify the vendor
      • Identify the evaluator
      • Have a reference list of points and meanings
        • 5 points = exceeds all requirements
        • 4 points = meets all requirements
        • 3 points = meets most requirements
        • 2 points = meets some requirements
        • 1 point = meets few requirements
      • Have a space for the evaluator to enter
      • his/her rating
      • Have adequate space for comments
  • 20. Cost Evaluation Strategy
    • RFP should have a cost form
      • Must be able to do an equivalent cost comparison
      • Costs submitted should be complete
      • Costs submitted should be meaningful
    • Financial Standing of a Company
      • Technical Evaluation
      • Scored or pass/fail
  • 21. Cost Evaluation Strategy
    • Developing a Cost Form
      • Examples: Job Titles and Hourly rates, Deliverable based, Unit Price, Categories (ie: SW, Training, Support)
      • Understand what you are really asking for
        • (ie: what is a page? a sheet? a document?)
      • Capture the cost of all major components
      • Capture the accumulated costs of all minor components
  • 22. Cost Evaluation Strategy
    • Cost score is a calculation
    • Not an analysis!
    • Check the Math
      • Check it AGAIN!
      • Have a second person check it!
  • 23. Cost Evaluation Strategy
    • Options for Cost Score
      • Recommended formula
      • Max Points * (Low Bid ÷ Bid Being Evaluated)
      • Procurement Council formula
      • Max Point * [1 - [(Bid being Evaluated – Low Bid) ÷ Highest Bid]]
      • Other – check with us before you commit
  • 24. Cost Evaluation Strategy
    • Do NOT score cost proposals based on a key (as below). Formula should show a relationship among the bids.
      • $10,000 = 30 points
      • $10,100 = 25 points
      • $18,500 = 20 points
      • $18,501 = 15 points
      • $21,700 = 10 points
      • $21,725 = 5 points
      • $21,750, $25,000 and $31,622 = 0 points
  • 25. Evaluation Strategy
    • Who should be an evaluator?
      • Expertise
      • Time to participate fully in the process
      • No conflict of interest
      • Different teams of evaluators can be used for different criteria but the same evaluators must do any single criterion for all bidders
  • 26. Evaluation Strategy
    • Instructions to evaluators must:
      • Be submitted to OSC with procurement package
      • Define decision parameters and explain expectations
      • Evaluate proposals against standards set in the RFP
      • Define the use of decimals if they will be allowed
  • 27. Evaluation Strategy
    • Check your math!
    • Use decimals and rounding consistently
    • Submit evaluator notes
    • Only one proposal received
      • Must evaluate it
      • Submit justification of cost
      • Justify limited response
        • Canvass non-responding vendors
    Important Reminders
  • 28. Evaluation Strategy
    • Do not short list until cost has been included
    • Determine purpose and process for interviews prior to RFP release
      • Use a script
    • Document the process
      • Each evaluator should document his/her score and explain with comments
    Important Reminders
  • 29. References
    • OSC Internet Site http://www.osc.state.ny.us/
    • Vendor Responsibility G-Bulletin 221
      • Procurement Lobbying Law G-Bulletin 224
        • Advisory Council on Procurement Lobbying Model Forms/Language http://www.ogs.state.ny.us/aboutogs/regulations/advisoryCouncil/ModelLang.html
      • Sales and Compensating Use Tax G-Bulletin 222 & 222a
        • NYS Department of Taxation and Finance http://www.tax.state.ny.us
    • Consultant Disclosure Law G-Bulletin 226
      • O*NET OnLine http://online.onetcenter.org/
    • Procurement Guidelines http://www.ogs.state.ny.us/purchase/AboutPSG.asp
  • 30. Questions and Answers ?
  • 31. Presenters’ Contact Information Priscilla Cassidy Bureau of Contracts Office of the State Comptroller [email_address] (518) 474-0039 OSC Website: www.osc.state.ny.us Kathy Heffernan Bureau of Contracts Office of the State Comptroller [email_address] (518) 486-6231