How to Improve your Chances for Success with Government Tenders

HOW TO IMPROVE YOUR CHANCES FOR SUCCESS WESTERN AUSTRALIA

Prepared by: Celia Jordaan Ichiban Commercials Solutions Pty Ltd

GOODS AND SERVICES WHO, WHAT AND WHERE IN WESTERN AUSTRALIA GOVERNMENT?

� Workshop presented by the Dept. of Finance, Perth on 17/11/15

�  Focus on Goods and Services Procurement �  Focus on Western Australia �  Purpose of the workshop was to:

�  Explain the role of the Dept. of Finance and the State Supply Commission

�  Provide detail on State Supply Policies and how it applies �  Step through the quote and tender process �  Explain where to find further information and assistance �  Provide handy tips on submitting tenders

�  It is certainly worthwhile attending one of these sessions. The sessions are well presented and the intent is to provide the maximum opportunity for business to get to tender and to win tenders.

�  As an added bonus, the presenters also shared some handy tips as part of the process. It certainly is worthwhile attending one of these sessions if you are tendering on providing government goods and services, do not have success in your tenders or have not done so already.

�  My presentation is certainly not here to replace the workshop or to duplicate the information but is a summary of the points and pointers I took from the session.

�  Department of Finance �  www.finance.wa.gov.au �  Very useful information on policies, process and WA

Government spending reports �  List State Supply Commission Purchasing Officers

�  Tenders WA �  www.tenders.wa.gov.au �  The place to go for WA Government tenders �  All contracts above $50k are published on Tenders WA

�  Contracts WA �  www.contractswa.finance.gov.au �  Details about Common Use Agreements

�  Note $values used are inclusive of GST

Is there a CuA in place?

• Yes -‐ then the Common Use Agreement (CUA) should be used where possible and where prescribed • No -‐ then proceed to quote or tender • All CUAs published on Contracts WA

Is the value more than $50k?

• No -‐ buying done through quotes (either verbal or written • Yes -‐ proceed to written quotes or tender

Is the value between $50k and

$250k?

• Yes -‐ written quotes required • No, more than $250k -‐ proceed to tender • All contracts above $50k published on Tenders WA

Value more than $250k

• Open Tender • Tender panel evaluation & approval • Non-‐successful tenderers to be advised • Successful tender and contract published on Tenders WA

Contract value exceeding $5 million

• Requires additional steps in the tender process • Procurement Plan • Evaluation Report • Contract management plan

�  Govern the criteria to be applied WA government procurement and in simple terms require any procurement to ensure: �  Value for money – not only price but also non-‐price value; �  A transparent and fair procurement process for all; �  Open and effective competition, unless the specific

exemptions apply; �  Common Use Agreements are used where in place; �  Appropriate level of planning, evaluation and management of

tenders and contracts; �  procurement is sustainable and takes into consideration

environmental, socio and economic factors; �  The proper disposal process is followed for disposal of Goods.

� Means: �  There is no bias in tender requests �  The tender states contract periods �  Winners and unsuccessful candidates know of the

outcomes �  Allows for debrief after tenders �  Contract award information is published. �  Exemptions apply but are regulated, e.g.

�  Emergency �  Buying from registered indigenous business �  Buying from disability community sector �  Similar sourcing in past 12 months

�  Tenders are published but quotes are not, you need to get invited

�  Know your market and which agency to target �  “Who buys what and how” report very useful �  Tenders WA

�  Market yourself to the State Supply Commission purchasing officers �  List on Dept. of Finance website �  Maintain contact but don’t hassle them

�  Be competitive �  Seek feedback �  No preferred suppliers other than Common Use Agreement Suppliers

Notes on How to Streamline the Process for Tendering for Goods and Services

�  Where to find Tenders? �  www.tenders.wa.gov.au �  Used by

�  Agencies �  Department of Finance for Common Use Agreement & on behalf of

Agencies �  Tender templates are generally used but are adjusted for the

specific tender request, thus read carefully �  Generally

�  Part A – tender details, contact, briefings, terms and conditions, for information not return

�  Part B – tender criteria, details and pricing – to be completed and returned

�  “Tender”/”Request” used interchangeable �  “Offer” term used for tender submission �  Take the time to read part A carefully

�  Requires you to complete and submit requirements and schedules regarding: �  Pre-‐qualification requirements �  Compliance requirements �  Disclosure requirements �  Selection Criteria �  Insurance requirements �  Price

�  The Workshop runs through the set up of each of the areas in enough detail to understand what is required

�  You have to comply with all the pre-‐qualification requirements

�  Not point scored �  Any “no” will eliminate you �  Examples

�  Licensing and registrations �  Mandatory site briefing

�  If in doubt, contact the tender contact person well in advance

�  Compliance – a “no” may not eliminate �  Disclosure requirements -‐ e.g. subcontractors, criminal convictions

�  Insurance – you will be allowed to obtain insurances upon award

�  Negotiation on contract terms and conditions – is allowed but is a risk, can either request changes or reflect increased cost in pricing

�  Pricing – if issues on schedules used, raise early �  Register interest in tender to ensure you get updates/amendments

�  The Selection Criteria are weighted – proportion effort to weighting

� Make sure you complete all of the Selection Criteria �  Criteria examples are provided at the workshop �  Examples include:

�  Suitability �  Timeframes �  Experience �  Local content �  Skills and experience

�  Important part of showing Value for Money

�  Plan to submit early �  Submit as per the tender submission requirements �  Late tenders will not be considered �  Electronic submission does not mean sending by email �  Electronic is electronic upload on the Tenders WA website

�  Can withdraw an offer at any stage �  WA different to other states

�  If there are issues with validity period required for offer, take this up with the Tender Contact early on (e.g. the impact on pricing/exchange rates)

�  Approval process dependent on value of contract �  Process can take time � Winners and non-‐winners are informed of the outcome �  Post tender debrief is available upon request

�  Debrief specific to your tender �  Cannot disclose details of others �  Can disclose who won and the total contract value �  Highly recommended to request debrief

�  Details of successful tenderer and total contract value posted on Tenders WA

THE REAL REASON WHY WE ATTEND THE WORKSHOP – TO GET THE HANDY TIPS AND ADVICE

�  Complete pricing details as requested in tender �  If you want to change, discuss early with Tender Contact �  If wrong, changes can be made and issued on Tenders

WA

�  Remember that evaluation panel needs to be able to compare apples to apples

�  Using a different pricing schedule makes it more difficult and is a risk

�  Depends on value of contract �  Content matters �  Answer all the selection criteria �  Take time to show relevant Experience

�  ensure spend enough time on it and that it is relevant to the tender request and scope

�  Show what you have done and how it is similar �  Include proof of performance e.g. testimonials

�  Do not clutter response with unnecessary information �  Brochures etc. can be added but include as a reference and attach at the back of submission

�  Avoid acronyms �  Spell out technical terms �  Submit ON TIME

�  2h30 is not 2h31 �  Late tenders will not be accepted

�  Answer every tender as if you have never done work for the government

�  Don’t assume because you have done work before, that your company is known

�  IF IN DOUBT, ASK AND ASK EARLY ON IN THE PROCESS �  Make sure you attend one of the information workshops, it is certainly worthwhile

�  State Supply Commission �  (08) 6551 1500 �  [email protected]

�  Tender Systems – Procurement Systems Support �  (08) 6551 2020 �  [email protected]

�  General Tender Queries – Tender Services �  (08) 6551 2345 �  [email protected]

�  Specific Tender: �  Tender Contact listed in the specific tender

� We help companies with writing, preparing and submitting tenders. Please visit our website for more detail: �  www.IchibanCommercialSolutions.com.au

�  Read our blog on “How to Tender for Success” �  http://ichibancommercialsolutions.com.au/how-‐to-‐tender-‐

for-‐success/ �  Download our free tender checklist

�  http://ichibancommercialsolutions.com.au/free-‐resources/

�  Ichiban Commercial Solutions Pty Ltd provide procurement, tender and risk services to medium and large companies. It is our aim to work together with our clients to find fit-‐for-‐purpose solutions that will unlock value and result in sustainable savings and process improvements.

� With over 19 years experience, Celia Jordaan has worked in different countries, locations and cultures in the areas of procurement, supply chain, contract management, law and risk. She has also worked in the area of risk management, contractor management and safety.

�  Celia Jordaan �  Principal Consultant � m: +61 (0)439518910 �  e: [email protected] �  w: www.IchibanCommercialSolutions.com.au

�  Grab the free resources on our website www.IchibanCommercialSolutions.com.au and register for our monthly newsletter with procurement tips and invitations to future workshops.

May you have many successful tenders!

“If you don’t see yourself as a winner, then you can never perform as a winner.”

Zig Ziglar

“I do not think there is any other quality so essential to success of any kind as the quality of perseverance. It

overcomes almost everything” John D. Rockefeller

How to Improve your Chances for Success with Government Tenders

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