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Procurement for Communications

   Martin Chown, Executive Director, Government Procurement Service




22/05/12                                                              1
Savings for the Nation


 Government Procurement
      Integrated organisation within Cabinet Office working with the senior
       commercial community to transform and improve procurement delivery
       within Central Government.

      Centralise procurement of common goods and services to deliver
       significant and sustainable cost reductions for Government.

      Improve the use of technology, processes and maximise the use of
       Government wide procurement resources.

      All Central Government spend, including Arm’s Length Bodies, Non-
       Departmental Public Bodies and Agencies, to be channelled through
       centralised deals.




22/05/12                                                                       2
Savings for the Nation


 Key Facts
     £8.4n of public sector procurement spend in 2011-12.

     Over 2,000 suppliers.

     Over 14,500 customers across 1,400 organisations.

     4,600 contracts currently in place.

     Over 100 EU-compliant framework agreements.

     275 staff across two sites – Liverpool and Norwich.

     Commission average of 0.5%.


05/22/12                                                                      3
A new structure
    Specialist          •   Providing strategic management of suppliers.
   procurement              Co-ordinating spend under the leadership of
      service               the Government Procurement Service



OUR role

Create route to market which works for users and suppliers


Co-ordinate Departments and WPS to define strategy and specification




     Implement effective contracts which support the route to market


Manage supplier performance, MI reporting and procurement services
Savings for the Nation


 Communications progress
      New team created and progressing well

      GPS are part of overall communications structure

      COI frameworks transitioned on 14th December

      User guides written including standard tenders

      GPS website operational with all contract detail

      Transition arrangements agreed with departments.




22/05/12                                                                         5
Savings for the Nation


 Frameworks
      Most existing frameworks expire in the next 12 months
      Stakeholder groups have been defining business requirements
      First two frameworks will launch in September and November
      The tenders will be released in July and September


      Fewer frameworks         Much faster tendering
                                                          Focus on active high   Shorter duration with
          covering            process with less burden
                                                         performance suppliers      more flexibility
     spend in multiple lots        on suppliers



     Used in conjunction with a dynamic route to market.....



22/05/12                                                                                                 6
Savings for the Nation


 Dynamic route to market
      Used in conjunction with frameworks and contracts finder
      Each framework will have complimentary dynamic route to market
      Suppliers will complete qualification to join
      Fast process for low-medium value jobs
      Process for dynamic marketplace still being worked up


      GPS can manage the         Web based system          Suppliers can feature on
      pitch process with our     with alerts working          both frameworks
          spot buy team          with contracts finder       and dynamic route




05/22/12                                                                              7
Centralised model – immediate focus




  Framework 1                          Framework 2

•Creative and Design                  •Market Research
     •Advertising                  •Communications Planning
  •Direct Marketing                   •Strategy Planning
    •Digital Media                        •Evaluation          High
       •Events                                                 value
         •PR                                                  projects
   OJEU July 2012                    OJEU September 2012
Award September 2012                 Award November 2012




                                                                Low
                                                               value
                                                              projects
                 Dynamic route to market                      (£100k
                                                                sub
                                                              OJEU)
Centralised model: future activity (2013)




     Potential
                      Review the requirements for an Integrated Solution
Integrated Solution




  Media Buying                 Commence Media Buying review




                                    Press Cuttings review
Media Monitoring
                          Opportunities to develop Media Monitoring
Contracts Finder

   One stop shop for opportunities, tenders and
    contracts

   SME and VCSE focused

   Free to use- opportunities available through E-alerts

   Rich source of data on what Government buys

   Reuse data to create your own business
    opportunities
     GPS is an integrated part of overall communications
           structure

          Use contracts finder for new opportunities

          Focus on two new frameworks for 2012

          Dynamic route to market will be launched

          Please work with us as we develop the new commercial
           arrangements




22/05/12                                                          12

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Procuring Communications Services Centrally

  • 1. Procurement for Communications Martin Chown, Executive Director, Government Procurement Service 22/05/12 1
  • 2. Savings for the Nation Government Procurement  Integrated organisation within Cabinet Office working with the senior commercial community to transform and improve procurement delivery within Central Government.  Centralise procurement of common goods and services to deliver significant and sustainable cost reductions for Government.  Improve the use of technology, processes and maximise the use of Government wide procurement resources.  All Central Government spend, including Arm’s Length Bodies, Non- Departmental Public Bodies and Agencies, to be channelled through centralised deals. 22/05/12 2
  • 3. Savings for the Nation Key Facts  £8.4n of public sector procurement spend in 2011-12.  Over 2,000 suppliers.  Over 14,500 customers across 1,400 organisations.  4,600 contracts currently in place.  Over 100 EU-compliant framework agreements.  275 staff across two sites – Liverpool and Norwich.  Commission average of 0.5%. 05/22/12 3
  • 4. A new structure Specialist • Providing strategic management of suppliers. procurement Co-ordinating spend under the leadership of service the Government Procurement Service OUR role Create route to market which works for users and suppliers Co-ordinate Departments and WPS to define strategy and specification Implement effective contracts which support the route to market Manage supplier performance, MI reporting and procurement services
  • 5. Savings for the Nation Communications progress  New team created and progressing well  GPS are part of overall communications structure  COI frameworks transitioned on 14th December  User guides written including standard tenders  GPS website operational with all contract detail  Transition arrangements agreed with departments. 22/05/12 5
  • 6. Savings for the Nation Frameworks  Most existing frameworks expire in the next 12 months  Stakeholder groups have been defining business requirements  First two frameworks will launch in September and November  The tenders will be released in July and September Fewer frameworks Much faster tendering Focus on active high Shorter duration with covering process with less burden performance suppliers more flexibility spend in multiple lots on suppliers Used in conjunction with a dynamic route to market..... 22/05/12 6
  • 7. Savings for the Nation Dynamic route to market  Used in conjunction with frameworks and contracts finder  Each framework will have complimentary dynamic route to market  Suppliers will complete qualification to join  Fast process for low-medium value jobs  Process for dynamic marketplace still being worked up GPS can manage the Web based system Suppliers can feature on pitch process with our with alerts working both frameworks spot buy team with contracts finder and dynamic route 05/22/12 7
  • 8. Centralised model – immediate focus Framework 1 Framework 2 •Creative and Design •Market Research •Advertising •Communications Planning •Direct Marketing •Strategy Planning •Digital Media •Evaluation High •Events value •PR projects OJEU July 2012 OJEU September 2012 Award September 2012 Award November 2012 Low value projects Dynamic route to market (£100k sub OJEU)
  • 9. Centralised model: future activity (2013) Potential Review the requirements for an Integrated Solution Integrated Solution Media Buying Commence Media Buying review Press Cuttings review Media Monitoring Opportunities to develop Media Monitoring
  • 10.
  • 11. Contracts Finder  One stop shop for opportunities, tenders and contracts  SME and VCSE focused  Free to use- opportunities available through E-alerts  Rich source of data on what Government buys  Reuse data to create your own business opportunities
  • 12. GPS is an integrated part of overall communications structure  Use contracts finder for new opportunities  Focus on two new frameworks for 2012  Dynamic route to market will be launched  Please work with us as we develop the new commercial arrangements 22/05/12 12

Editor's Notes

  1. GPS is part of cabinet office we work on the commercial arrangements for a wide range of common goods and services. We cover different categories of spend including energy, travel, ict, property, fleet, professional services. office supplies, and now communications. We are centralising spend to deliver savings for the public sector bringing together organisations who buy the same items and services to deliver better VFM We are driving the use of technology and investing in capability for procurement across government. 1. Spend analytics to understand data & build information 2. Investment in capability to deliver step change performance All CG spend is being channelled through central deals – the WPS spend is absolutely vital. The spend brings aggregation and leverage, our commercial strategy and work with suppliers will then realise the value and innovation for the public sector.
  2. We are focussed on operational delivery, we run the organisation on lean principles with visible performance metrics and tight control over business processes. We seek to engage with the suppliers to help us build our forward plans – the best solution is one that is effective for the customers and the supplier market. OUR ROLE Create route to market..... Not just contracts. Co ordinate across departments – bring expertise to the work Implement effective contracts Manage performance – MI + Supplier metrics + spend and savings
  3. There is a real need to replace existing contracts and frameworks, we need this to fulfil our ambition for better government communications. We have been leading stakeholder groups to define business requirements and plans – there is still work to do We are planning for the first two new comms frameworks to go live in Sept and November - I encourage you to take part in these. So what's different..... Fewer frameworks covering multiple lots Much faster tendering process – less burden on suppliers Focus on active suppliers with high performance Shorter duration with more flexibility
  4. Frameworks have their place and are effective A complimentary route to market suits communications services very well A fast process for low to medium size jobs works well with our ambition to be more agile. The process for this is still being worked up – we have the fundamentals right but we are now working on the practicalities of making this work well for everybody involved So what's different ... A web based system that is easy for suppliers and comms teams to access Suppliers can work with both frameworks and the dynamic route GPS has supporting teams in place including spot buy
  5. Our first two new frameworks have been scoped out with the departments to combine many current arrangements There will be fewer frameworks with a simpler contractual structure, this supports the communications plan and our needs going forward. The first framework will be open in July and cover creative and design, advertising, direct marketing, digital, events and PR. This will go live in September. The second framework will be open in September and will cover Marker research, comms planning, strat planning and evaluation. Each framework will be separated in to well defined lots to ensure that services can be fairly competed for our future comms requirements. The dynamic route to market will be complimentary and will reflect the framework structure to provide a fast and efficient route to market for low- medium size jobs. UNCLASSIFIED
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